I own a proprietorship company and plan to submit return under 44AD.I dont maintain books of accounts due to lack of resources and small company. I can only submit returns vide ITR3 since ITR4(Sugam) is not eligible to me as I am a director in another company. I have the following doubts 1. Is slno 64 of ITR3 form relevant to me and should I fill the same ? 2. If yes, ITR4 is simple and asks only for Turnover and presumptive Profit %(6% or 8%) whearas ITR3(sl no 64) asks for Turnover, Expense and then Profit. Since under 44AD I am filing a presumptive (approx) income, it is difficult to derive at expense since books of accounts not maintained. Ref SCHEDULE BP – DETAILS OF INCOME FROM BUSINESS OR PROFESSION - E2 of ITR 4 form Ref Slno 64 in ITR 3 form 2. Is it neccesary to maintain books of accounts to file returns vide ITR3 form under 44AD section ? Links for ITR4 and ITR3 forms enclosed https://www.incometaxindia.gov.in/forms/income-tax%20rules/2019/itr3_english.pdf https://www.incometaxindia.gov.in/Forms/Income-Tax%20Rules/2019/ITR4_english.pdf
Yes you must file details in S.no 64 of Form.
So the expenses is just the difference between profit and turnover so it shouldn't be a problem.
No sir 44AD also says you must show actual profit or 6% whichever is higher but most people take it otherwise as per their convinience.
No it's not necessary to maintain books to file ITR 3.
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Thank you
We can help you with filing Income Tax return u/s 44AD without requiring to disclose expenses even though you are director and have to file ITR-3. You can connect at catejasyshah @ gmail
Hello,
1. You will have to fill Sl. No. 64 for your business income details.
2. Not necessary to maintain books of accounts.
I hope that this answer satisfies your requirements.
Regards,
CA Hunny Badlani
Hi,
1. Yes, you are required to fill the same.
2.Expenses would be the difference between the turnover & profits.
3. There is no need to maintain the books of accounts.
Hello Sir,
1. Yes, S.no. 64 of ITR3 form relevant to you and you should fill the same.
2. You can calculate the expenses simply by deducting profit from turnover i.e Turnover minus profit.
3. No, it is not necessary to maintain books of accounts to file returns vide ITR3 form under 44AD section.
