HOW To File INCOME TAX RETURN (ITR) For SMALL BUSINESSMAN
The old ITR-4S tax form has been renamed ITR-4. This VIDEO contains information on filing ITR-4 for FY 2016-17 (AY 2017-18)
Who can file ITR 4 ?
ITR 4 can be filed by all those who opt for presumptive income for instance
a small businessman having turnover less than Rs 2crore may opt for the scheme u/s 44AD and declare the profits at 8% of gross receipts(6% in case of digital receipts) .To know more ,click here
A doctor can opt for presumptive income scheme u/s 44ADA if his gross receipts do not exceed Rs 50 lakhs and can declare 50% of gross receipts as his income.To know more ,click here
An engineer can also opt for this scheme.
Persons engaged in the accountancy profession,Interior decoration,Technical consultancy can also for this scheme.To know more ,click here
Freelancers engaged in the above profession can also opt for this scheme if their gross receipts do not exceed Rs 50 lakhs.
When you are running a small business, you may not have enough resources to maintain proper accounting information and calculate your profit or loss. This makes it difficult to keep track of your income from such a business and find out how much tax you need to pay.
With this in mind the Income Tax Department has laid out some simple provisions where your income is assumed based on the gross receipts of your business. This method is called the presumptive method, where tax is paid on an estimated basis.
From FY 2016-17 onwards, if gross receipts are received through digital mode of payments ,then Net Income is estimated at 6% of such gross receipts and for cash receipts ,rate is same at 8% of such cash receipts.
You don’t have to maintain books of accounts of this business.
Eligibility Criteria for this Scheme
To be eligible for this scheme:
Your gross receipts or turnover of the business for which you want to avail this scheme should be less than Rs 2 crore.
You must be a Resident in India.
This scheme is allowed to an individual, a HUF or a partnership firm. It is not available to a Company.
The taxpayer can voluntarily declare a higher income and pay tax on it. In case the taxpayer chooses to declare lower income than 8% of gross receipts – he shall have to maintain books of accounts and get them audited.
Income Tax Return (ITR) | Income Tax Return for Business | Income Tax E-File | ITR for Business Income
How to file ITR 1 for employees : https://www.youtube.com/watch?v=mUtVe2Topmw
Deductions under Income Tax : https://www.youtube.com/watch?v=R5bSuZJnWk0
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Mr. Mafuz we are filing Income Tax Return for the AY 2017-18 i.e. FY 2016-17 so the limit is 5 lakh
But the limit that you specified was announced on Budget 2017 so 3.5 lakh shall be applicable for AY 2018-19 i.e. FY 2017-18.
I think this will clear your confusion.
We have been providing services in taxation, financial accounting and advisory domain backed by experienced CPA’s. During this extension period, we would be glad to assist you for tax return preparation and share some of your concerns regarding skilled resource availability. We take pride-in delivering quality services consistently.
I have 3 queries:
1.A person is a running Cash Credit limit and a Term loan so under secured loan in the Balance Sheet only outstanding loan should be entered or full loan amount.??
2. how Cash credit limit shall be mentioned in loan amount..??.
3. where to mention Stock market profit or loss incurred.??
Sir, I had filed ITR 4 last year in 505 Contractors other's , but there is no serial no 505 in 18-19,AY ,
Can you tell me what can I select from the drop down list , IAM a small Fabrication Contractor, GTO 8.50 Lakh
Hi, I am living in Madhya Pradesh and Filling belated returns. As I Spoke wid tax consultant, he said you need to register for service tax if your turn over is above 10 lakhs. But as I have checked the list of states where the threshold limit for GST is 10 lakhs and my stated "MP" is not there....Can I show turnover more than 10 lakhs? is there any change took place? Pls help me..its last day.
Thanks for such a quick reply sir ....ek question tha sir hamne apna bussiness jan 2017 me chalu kia hai to hame kya 31st march tak tax bharna hoga ya nxt 31 march 2019 ko ...confused between assessment year and finiacial year....
Owned buildings at another site may be used as alternate workspace if a building cannot be occupied. This depends upon the location of the building and whether the building would be affected by the same hazard that prevented use of the primary building. The alternate facility may be a viable business recovery strategy if the building can be configured with the required equipment or existing equipment can be configured to need business requirements.
Systems and Equipment.
Evaluate these systems to determine whether they meet the needs of the program. Identify and plan to overcome emergency communication system limitations such as weak radio or cellular service or areas where a warning system cannot be heard. Upgrading this critically important system may be required. Verify that these systems are in reliable working condition.
If fuel, battery backup power or batteries are required, make sure the system can run for the required time and chargers are available. Document how to operate these systems and mark the locations of controls. Make sure the information is available during an emergency. Many of these systems also require periodic inspection, testing and maintenance in accordance with national codes and standards. Train staff so a knowledgeable person is able to operate systems and equipment.
Materials and Supplies.
Be sure to compile a list of available resources using the Emergency Response Resource Requirements and Business Continuity Resource Requirements worksheets as a guide.
Preparing for an emergency, responding to an emergency, executing business recovery strategies and other activities require resources that come from outside the business. If there were a fire in the building, you would call the fire department. Contractors and vendors may be needed to prepare a facility for a forecast storm or to help repair and restore a building, systems or equipment following an incident.
The following external resources should be identified within plan documents. Include contact information to reach them during an emergency and any additional instructions within the preparedness plan.
Public Emergency Services.
Contractors and Vendors.