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Beneath the cash flow tax rules, a person engaged in prescribed organization or occupation is required to mandatorily preserve textbooks of account, put together money statements and acquire his accounts audited. More, gain/loss According to these types of money statements could well be regarded to arrive at taxable gains right after earning vital changes.
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Displays the financial level of hours labored and of go away used in Just about every class over the pay period of time.
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Section 44AD – As per Part 44AD, where by a taxpayer opts for presumptive taxation scheme for virtually any of the financial year he is needed to continue to choose for the same for next 5 several years. If he fails to take action, he won't be qualified to opt for presumptive taxation scheme u/s 44AD for 5 several years succeeding the calendar year wherein he opts out. More, with regard to Individuals 5 monetary years where by taxpayer is ineligible to select presumptive taxation plan click here u/s 44AD, normal guides of account must be managed and audit shall be executed if total earnings exceeds primary exemption limit.
However, to offer reduction to small taxpayers through the laborous job of retaining publications of account and finding them audited, profits tax law has introduced the notion of presumptive taxation scheme.
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