Yogesh Jain
asked
i am holding ia ice plant , i sale of rs-5500000/- i maintance the books, my net profit is rs 250000/- so, i know our prop. firm- reqired is complasy audit ,or not audit
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narahari
answered
In case of Business: – If Total Sales/ Gross Turnover exceeds Rs 1 Crore in any previous Year
In case of Profession: – If Gross Receipts exceeds Rs 25 Lakh in any previous Year
Assesses covered u/s 44AD/44AF/44BB/44BBB are also required to audit of accounts if they claim that their profit will be less than limit specified in respective section. e.g. u/s 44 AD Audit of accounts is required when two conditions are satisfied:-
Claim lower profit than limit specified u/s 44AD (Limit of 8%)
your turnover - 5500000
8% - 440000
if you want to show net profit 250000 then you need to audit your book of accounts
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rohit awasthi
answered
dear
Audit of accounts is compulsory
In case of Business: – If Total Sales/ Gross Turnover exceeds Rs 1 Crore in any previous Year
In case of Profession: – If Gross Receipts exceeds Rs 25 Lakh in any previous Year
Assesses covered u/s 44AD/44AF/44BB/44BBB are also required to audit of accounts if they claim that their profit will be less than limit specified in respective section. e.g. u/s 44 AD Audit of accounts is required when two conditions are satisfied:-
Claim lower profit than limit specified u/s 44AD (Limit of 8%)
your turnover - 5500000
8% - 440000
if you want to show net profit 250000 then you need to audit your book of accounts
income tax calculation income 440000
upto 250000 - Nil
190000 - 19000
total 19000
ES-3% 570
total tax 19570
income tax calculation income 250000
upto 250000 - nil
Jitendra Suthar
answered
Hiiii friend.....
In your case your Turnover or sales is not exceeding Rs. 1Crore, so you are not auditable under section 44AB.
But in this case your profit is less than 8 % of turnover, So as per section 44AD, if the Net profit is less than 8% of turnover then you have to get Audited your Books of Accounts and File Income Tax returns as audited u/s 44AD.
Regards,
