Income Tax : The article argues that Section 58(3) of the Income-tax Act, 2025 does not independently mandate books of account or tax audit for...
Income Tax : The article examines whether Section 58(3) of the Income-tax Act, 2025 makes tax audit compulsory whenever profits fall below 6%, ...
Income Tax : This guide explains the presumptive taxation schemes available under the Income-tax Act, including Sections 44AD, 44ADA, and 44AE....
Income Tax : The Income-tax Act provides presumptive taxation schemes under Sections 44AD, 44ADA, and 44AE to reduce compliance burdens by allo...
Income Tax : The issue concerns whether declaring profits below the presumptive rate automatically triggers tax audit or whether turnover thres...
CA, CS, CMA : There is no requirement for submitting the Financial Statements i.e. Balance Sheets and Income & Expenditure Account for the appli...
Income Tax : The Tribunal held that deduction of tax under Section 194J cannot automatically classify receipts as professional income. Tax auth...
Income Tax : The ITAT Delhi held that once income higher than the presumptive rate under Section 44AD was declared, the assessee was not requir...
Income Tax : The Tribunal held that GST collected is not part of income for presumptive taxation under section 44B. It ruled that GST is a stat...
Income Tax : The Tribunal held that once income is declared under the presumptive taxation scheme of Section 44AD, individual cash deposits can...
Income Tax : ITAT held that cash deposits during demonetization were explained as business sales declared under Section 44AD. Without disprovin...
Explains when IT services qualify for 44AD or 44ADA, highlighting classification risk and compliance requirements under the “cash ≤ 5%” rule.
The ITAT held that additions based on incorrect and unreconciled bank data cannot be sustained. The assessment was remanded for fresh verification of actual cash deposits and credits.
ITAT Chennai confirmed that 8% profit estimation for a civil contractor was reasonable, rejecting the assessee’s 6% claim and AO’s 10% estimate, emphasizing consistency with subsequent years’ presumptive returns.
The Tribunal held that Section 44AD could not be applied to a goods carriage business excluded under Section 44AE and restored the matter for fresh examination. The AO must verify conditions under Section 44AE and recompute income accordingly.
The Court held that Section 44AF, as a special provision, overrides the requirements of Section 139(9). It ruled that treating the return as defective was unjustified and directed issuance of the refund.
The 2025 Act introduces compulsory tax audit for businesses declaring profits below 6% or 8% of turnover. The shift eliminates the earlier opt-out condition, expanding audit applicability from 2026-27.
Delhi ITAT held that cash credits recorded in a cash book attract Section 68 even under presumptive taxation. The Tribunal sustained ₹78 lakh addition but deleted profit addition.
The Tribunal directed estimation of income at 8% under Section 44AD after disallowing expenses due to lack of evidence in Friends Transport Carrier vs ITO.
The Tribunal held that income declared under Sections 44AE and 44AD by a transport HUF owning 10 trucks was valid. Additions for alleged profit diversion were deleted as the AO’s suspicion of tax evasion lacked evidence.
An analysis of India’s presumptive tax provisions for non-residents, covering sections 44B, 44BB, 44BBA, and 44BBB. Includes scope, challenges, and DTAA interaction.
