Service tax amount cannot be included in gross receipt for Tax Audit u/s 44AD

Sagarkumar Ishwarbhai Bhavani Vs ITO (ITAT Mumbai) ITAT Mumbai held that as service tax doesn’t partake the character of income, the same cannot be included in the gross receipt of the assessee for the purpose of computing Tax Audit applicability u/s 44AD of the Income Tax Act. Facts- The assessee has preferred the present appeal contesting that CIT(A) has erred in confirming the action of AO in holding that service tax is liable to be included in the turnover for the purpose of taxation under section 44AD of the Income Tax Act. Conclusion- Held that service tax collected by assessee from it...