What Information Will You Need A Income Tax Audit?

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What Are The Purposes Of Tax Audit?

1. It even helps in keeping an eye on the frauds and malpractices in filing Income Tax Returns. 2. There is a reporting of findings by the auditor following a thorough examination of correctness or imprecisions in the ITRs filed. 3. It is also important for analyzing the correctness of ITRs filed in a taxation year by enterprises or persons, plus the preservation of accounts by the CA.

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What Is a Presumptive Taxation Scheme?

1. When anybody is registered under the presumptive Income Tax Filing scheme and has an overall revenue or income of more than ₹2 crores, it is necessary to go through a tax audit. 2. Moreover, for anyone registered under this scheme, claiming that the profits of the business are below the profits estimated according to the presumptive taxation scheme, a tax audit, in this case, is also necessary.

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Tax Audi Is Necessary For Whom?

1. A business holder cannot claim presumptive taxation under Section 44 AD as he has pursued it in a specific taxation year and not for any of the 5 succeeding years later. 2. A worker of a company whose gross income is over ₹50 lakh. 3. business holder who hasn’t elected a presumptive taxation scheme, and has a gross revenue/turnover of over ₹1 crores. 4. A worker in a company can opt for presumptive taxation and claim revenues lower than the set limit under presumptive taxation.

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