A partnership firm engaged in retail trade declares net profit @ 5% of gross turnover. As such it is not required to maintain books of accounts. It pays salary and interest to its partner in accordance with law. Consequently its net profit as well as taxable income is reduced to nil. How can the above be filled up in ITR 5 so as to reflect that the profit declared complies with the provisions of section 44AF and also the computational provisions of the I.T. Act?
Submitted by navin on Fri, 10/24/2008 - 01:06
If the assessee does not maintain books of accounts , he has to fill in column no. 51 of Part A- P&L. The business profit is to shown as per column 51d of schedule P&L. It is provided in schedule BP also in the same manner.
