Presumptive taxation - A Practical Perspective ( Hindi ) - Ho jayegi ba...

Playlist Title - CA-IPCC- Presumptive taxation  - A Practical Perspective

Playlist Link - https://www.youtube.com/playlist?list=PL_16BSQMjAHOxy3tmCL-rT9neu3ZFjPkQ

This playlist introduces slowly the subject and then makes the audience master the art of presumptive taxation  

In wonderful tutorials we also see the practical side of things and real returns being filed for actual cases using the presumptive sections 44AD ( non transport businsses )and 44AE (for transport  businesses )

549(Income tax) How to File ITR 4S( presumptive return)for salary and Business income   AY 2014 15)Hindi

 

By - Amlan Dutta

 

Video Link - 

 

 

Assesse - Individual      Previous year - 2013 14   Assessment year - 2014 15   Income head - Business ,salary 

 

Income of a individual can be from salary , business /profession , capital gains , House property and other sources

 

 

 Here the individual is having income from heads - salary and painting contracts business

 

Since business turnover is less than 1 Cr , Government gives option to take advantage of presumptive scheme to declare Business income

 

 Here the Govt divides the business in 2 categories (1) Goods carrying vehicles Business u/s 44 AE (2) Other businessness u/s 44AD  

Here , the  business is From Painting Contracts  ....

 

This is not a Goods carrying vehicle business and his turnover is less than 1 Cr  So he decides to take advantage of 44 AD section for showing presumptive income for business......Now , as per the section , if turnover of the  business is less than 1 Cr , then assesse can show 8 % of the turnover as income ...as such he will not be required to then keep books u/s 44 AA and get them audited u/s 44AB 

 

The painting Contracts Business  turnover is 50 lacs and the individual actually had profits at 50 % i.e 25 lacs ...

 

.under presumptive scheme  , the individual  can clearly benefit a lot so he shows income from business as 8 % i.e 4 lacs under presumptive scheme u/s 44 AD He is also employed at Asian Paint and has salary of 3 lacs

 

So his Gross total income is 7 lacs (GTI is sum total of income from all heads ---Here salary plus Business income ) 

 

Now , for individual , for tax savings instrument's are available from sections 80 C to 80 U

Here the individual has invested in

(1)Provident fund for 1 lac  (80C),

 (2)medical insurance for 10000 rs (80 D )and 

(3) education loan interest 10000 Rs ( 80 E ), 

 

 So he gets benefit of 120000 Rs as per eligible deductions under chapter VIA So ,

 

Total income = 7lac - 1.2 lacs = 5.8 lacs 

So , tax will charged as per income slabs on 5.8 lacs (...since total income is above 5   lacs , he will not get rebate u/s 87A of 2000 Rs or total income whichever is less)

  Tax as poer income slabs will be applied 0 % for 0-2 lacs , 10 % fopr 2-5 lacs ,so here 10 % on 3 lacs --30000 , and 20 % for 5-10 lacs --so here , 20% on 80000=16000

So tax = 46000 + edu cess at 3 % = 47380

 

Some TDS was deducted on salary income u/s 192 by the employer ....he pays the balance tax using challan 280

 

 Once taxes are paid , return needs to be uploaded and acknowledgment printed ...it needs to be signed and sent to the department via speed post ...until receipt is obtained for acknowledgement , the return submitted will not be processed ! We show this all online !  Hope this process is clear! 

 

Spread knowledge , make it free ,

 

 Peace , 

Amlan Dutta