Tax Audit for Services Under Information Technology : What Comes Within This ?

Print Friendly, PDF & Email

Tax audit law is contained u/s 44AB of the Income Tax Act. There is clear distinction between profession and business as far as threshold amount for getting accounts audited is concerned. While for businesses, it is 10 million or 1 Crore of turnover, for profession it is 25 lakhs ( 2.5 million) . Thus , a premium subscriber has asked about his clients who are in different types of jobs related to information technology ,whether their job comes within 25 Lakhs threshold or 1 Crore threshold . In other words, whether the jobs will be regarded to be covered as business or profession because the job relates to information technology. I re-frame the issue further for easy understanding¬† “What types of services comes within the meaning of Information Technology used for section 44AA while defining profession ?”

This content is for annual and Semi Annual members only.
Log In Register