The 2-Minute Rule for 44 cash
The 2-Minute Rule for 44 cash
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The presumptive scheme of taxation reduces the compliance burden on small professions and facilitates relieve of doing enterprise. Under the presumptive scheme of taxation, income/taxable profits is presumed at 50% of the gross receipts.
Presumptive taxation plan relieves smaller taxpayers from maintaining regular publications of account and have them audited. Threshold restrictions underneath 44AD and 44ADA elevated in Spending budget 2023.
In the above mentioned case, Mr Ram can select presumptive taxation In case the tax is compensated on fifty% of gross receipts. Therefore, Ram can prefer to pay tax underneath the presumptive scheme of taxation beneath section 44ADA.
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Below, we can easily Assess his taxable cash flow beneath usual provisions plus the presumptive scheme as underneath:
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