Comment on Taxation Simplified
commented on
06 Jun 2013, 11:49 AM
@KRS/Skann/Raj195, Looks like a tricky situation, especially since ITR4 is completely online and all the notices being received are also automated for the first time.
Guess CBDT didn’t think about this situation especially with lower volume f&o traders.
I am trying to get more clarity on it from my CA friends, but the reason why the automated notice received seems like because of section 44AD.
As per this section, if a person is doing business(we’d have to assume including share trading business) and if the turnover is less than 1crore and if your profit is lesser than 8% of turnover, you will have to get your books audited.So this would mean that if you have a loss than you will have to compulsorily have your books audited.
My advise would be to consult your CA on this and I will try to find out from officials at CBDT if we can get any clarity on this.