• Query related to income tax

Hi, Good day.

Account is Auditable u/s 44AB. ( AY-22-23 / proprietorship firm ( IT business + Share trading ) ).
Audit report is already uploaded. 

But Recently it was found that speculative income from Share Trading not included.
(speculative turnover 4 lakh , speculative gain 2 lakh around).

Now one expert suggested me to add that 2 lakhs speculative income part to "NO ACCOUNT CASE" in ITR filing as modifying Audit report not advisable and pay the tax on 2 lakh.


Can you please give your thought. 

Can you please tell me if I can add part of incomes in "NO ACCOUNT CASE" in ITR whereas my WHOLE account is Auditable u/s 44AB ..

Thank you
Asked 1 month ago in Income Tax

As far as law is concerned that speculative income is a business income and should have been a part of your tax audit report.

 

Practically professionals don't agree to revise the tax audit report as it can attract assessment also, however the most correct method is to revise tax audit and include it in the business turnover and profit.

 

Alternatively, if your CA is suggesting you to show it as no account case, you can do that also but rather than doing that I would recommend to show it as separate business and showing it as normal profit rather than no account case.

 

Hope you find the information helpful, if yes do rate if 5 and provide your valuable feedback for my improvement.

Thank you.

Naman Maloo
CA, Jaipur
4081 Answers
74 Consultations

5.0 on 5.0

Yes you can do that assuming speculative gain is calculated properly and entire tax has been paid on such gain.

Vivek Kumar Arora
CA, Delhi
4518 Answers
638 Consultations

5.0 on 5.0

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