Please Help: Regarding Applicability of Tax Audit

Posted Date : 04-Jan-2012 , 09:23:29 pm | Posted By Rishu Garg

Assessee turnover of Shares during a FY 2010-2011 is: Speculative - 2cr, Non Speculative- 50lacs. Is Tax Audit provisions is applicable on him or not ? or Is there any other criteria for filing the ROI without Tax Audit,if it is applicable on him ?

Category : Income Tax | Answers : 5 | Comments : 1 | Hits : 858

Answers

Answer By: CA VIPIN GARG

Dear Rishu, As far as i concern, yes he will be under the ambit of tax audit, because speculative turnover will also be countable for the purpose of tax audit. There is no other criteria where you can get rid off tax audit..

Hope you got the answer you were looking for, have a nice day.........

Answer By: Siddharth Bumb

YES , SUCH ASSESSEE IS LIABLE FOR TAX AUDIT. If you are dealing in shares and showing it as an business then provision of 44AB is applicable. As per section 44AB if your turnover exceeds specified limit then you are eligible for tax audit though it is speculative business.
Rectify me if i am wrong.

Answer By: PRIYANKA

Yes, even I think that this assessee would be liable for tax audit, as turnover of business is seen while calculating turnover limit for tax audit, and business includes both speculative and non speculative business. It is not mentioned specifically anywhere , that Speculative business is outside the ambit of section 44 AB.

Answer By: Mrattunjay

yes required

Answer By: Rambabu Senkarasetti

Yes. Applicable