Good Cas who can file properly

[canikhil]

no no,I'm not asking question.
My point was towards Xray Bhai that if someone is trading only Cash Market,chances are less that he'll attract audit.But option traders are likely to do audit anyhow due to addition of sell side's premium.Then why so much confusion.

trading in cash will attract audit if you are involved in closing trades without taking delivery. As long as you are taking delivery, you have the option of declaring the transactions as capital gains/loss

 

[canikhil]

Nikhil Bhai,Please do one thing if you have time.Re-create the examples using 2Crs limit in a new thread.

Will do I hope your trading is going well

 

[lemondew]

You been the gifted to figure this out missed out by many.

Thats a nice thread by Nikhil Bhai.But first page itself is confusing.
Why?
Because he quoted 44AD limit there(which was 1 Cr),but did not cover the trading turnover of an individual with example.



Here he quoted 44AD limit only and on that basis he said Audit is required.

The fact is-
Case 2
Turnover is Below 1 Cr
Gains: Rs 50000 (assumed)
Salary: Rs 250000
Total=Rs 300000

may be someones trading turnover is just 5L(assumed)
8% of 3L=40000.

So,Audit not required at all.

He demonstrated 8% of 1Cr only,that is why that thread has repeated queries with lot of confusion.He ignored trading turnover of individual.

 

[Smart_trade]

Take following case :

1) Turnover in F & O ......40 L
2) Profit in F&O............... 50,000
3) Other business income.. 80,000
4) Interest on bank FD/RD.6,00,000

So total income = 50,000+ 80,000+6,00,000= 7,30,000

8% of 40 L = 3,20,000

A )Total income subject to tax ( we are not considering deductions) is more than 3,20,000 so no audit is required....

Or

B) one needs 8%of turnover as profit in trading alone, if the overall all profit is above 2,50,000 irrespective of other income like bank FD interest and other business income ??So in this case as trading income is less than 3,20,000 this case will require audit.

Which of the above is correct ??

Smart_trade

 

[vijkris]

You been the gifted to figure this out missed out by many.

Ya.. this gifted fellow passed 12th class with 43% marks..

12th Marks ka koi lene dena nahi hai, success ke liye aja bhai.

 

[TraderRavi]

Take following case :

1) Turnover in F & O ......40 L
2) Profit in F&O............... 50,000
3) Other business income.. 80,000
4) Interest on bank FD/RD.6,00,000

So total income = 50,000+ 80,000+6,00,000= 7,30,000

8% of 40 L = 3,20,000

A )Total income subject to tax ( we are not considering deductions) is more than 3,20,000 so no audit is required....

Or

B) one needs 8%of turnover as profit in trading alone, if the overall all profit is above 2,50,000 irrespective of other income like bank FD interest and other business income ??So in this case as trading income is less than 3,20,000 this case will require audit.

Which of the above is correct ??

Smart_trade

add to that if one have two business then profit of 8% for each required ?

 

[TraderRavi]

what are the CA charges for IT filing with non audit case and with audit case , generally.

 

[Smart_trade]

what are the CA charges for IT filing with non audit case and with audit case , generally.

My CA charges 10,000-12,000 + ST for Audit and IT filing...the accounts the client has to prepare in Tally....or if we want him to write accounts extra charge of Rs 3000-5000.

Rs 5000 + ST when no audit is needed but Balance sheet and P L accounts are prepared with all schedules.

Rs 3500 when no audit and no Balance sheet...only business IT filing

Rs 1500-2500 for salary IT filing.

Helping in scrutiny cases is extra ...comes to 5000-7500

ST

 

[travi]

what are the CA charges for IT filing with non audit case and with audit case , generally.

Depends a lot on Turnover and the number of records.
But on an average you can get it done for inr. 5-10k bcos IT filing will have to be accompanied by Audit else CA's neck is on the line.

 

[travi]

This is being re-iterated again by me:

1. Always get audited, that way you can carry forward losses for upto 8yrs.
When you're in profit and going to pay tax, offset can be done which maybe worth it.

2. Ppl want to get away with that 8% clause for audit but as CA Nikhil also confirmed, once that path is chosen, you have to do it for 6 years, that means in a year where you actually aren't in that much profit, you'll have to shell out premium tax amounts.

So it's not like, oh this year I'm +8% so i'll skip CA audit and pay flat tax on TO and next year Ohhh, I'm in loss, no need for Audit.
Aise nahi chalega bhai log IT Dept bhi shana hai
& another thing, Audit IT Filings are less susceptible unless it looks suspicious compared to self audit/declared IT Filing for IT Notices that are shipped by the truckload. (IMHO)