The TAX AUDIT under Section 44AB ITA 1961 is mandatory for:

Question

Accepted Answer

B. BUSINESSES with TURNOVER > Rs 1 CRORE (Rs 10 crore if 95% of receipts and payments are non-cash); PROFESSIONS with gross receipts > Rs 50 LAKH; assessees opting for presumptive scheme who declare profits below specified percentages

1. Section 44AB Income Tax Act 1961 prescribes mandatory TAX AUDIT by a Chartered Accountant.
2. APPLICABLE TO:
3. (a) BUSINESS with TURNOVER > Rs 1 CRORE in financial year; OR
4. (b) Business with TURNOVER > Rs 10 CRORE in financial year IF 95% of total receipts and total payments are in non-cash mode (digital);
5. (c) PROFESSION with GROSS RECEIPTS > Rs 50 LAKH in financial year;
6. (d) Assessees opting for PRESUMPTIVE SCHEME under Sections 44AD/44ADA/44AE who declare profits below specified percentages.
7. AUDIT REPORT in FORM 3CA/3CB and 3CD.
8. DUE DATE: 30 September of assessment year (extended/varied as case).
9. PENALTY for default (Section 271B): 0.5% of turnover or Rs 1,50,000 — whichever is LESS.
10. Hence option B is correct.
_Source: CS Executive Paper 4 Tax Laws (ICSI BoS) + Income Tax Act 1961 + CGST Act 2017 — Income Tax Act 1961, Section 44AB_

Answer

all businesses (cf. Income Tax Act 1961, Section 44AB) (cf. Income Tax Act 1961, Section 44AB) (cf. Income Tax Act 1961, Section 44AB) (cf. Income Tax Act 1961, Section 44AB)

Answer

only Government companies (cf. Income Tax Act 1961, Section 44AB) (cf. Income Tax Act 1961, Section 44AB) (cf. Income Tax Act 1961, Section 44AB) (cf. Income Tax Act 1961, Section 44AB)

Answer

only listed companies (cf. Income Tax Act 1961, Section 44AB) (cf. Income Tax Act 1961, Section 44AB) (cf. Income Tax Act 1961, Section 44AB) (cf. Income Tax Act 1961, Section 44AB)