Comment on Notice under Section 139(9)? - Possible reason

Dear Zerodha / Nitin,

First of all, Greatly Appreciate your efforts here in helping clients deal with this tax filing complications.
I received u/s 139/(9) with error code 14 and 23 for AY 2013-14. I made F&O losses and as per the rules i understand i have to get my books audited. I consulted an auditor and he says minimum fee is around 25K to 35K for preparing book of accounts and complete the audit, also it would take close to 10 days.Already 1 week of the notice period(15 days deadline) is gone. Instead I feel that if I show 8%(64K) profit on turnover(profit+loss = 8L) and reupload the ITR4 under 139/9 rectification I will be paying 20% to 30% on 64K as per my tax slab which would be 13K to 18K (lesser than auditor fee) . Or should i just ignore this and let the tax filing go invalid and file a ITR-2 and forego my business (F&O) losses without carrying it forward for next 7-8 years for offseting future business profits.

Please suggest if the options that I am looking at(paying tax on 8% of turnover or filing an ITR 2) are right and will not create future problems from IT Dept. Running behind CAs is not helping and I want close this before the deadline of 15 days.This rule is really a great pain in addition to the incurred losses 🙁

Regards,
Hari

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