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The presumptive plan of taxation reduces the compliance load on tiny professions and facilitates ease of executing business. Under the presumptive scheme of taxation, earnings/taxable income is presumed at fifty% of your gross receipts.
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Presumptive taxation underneath Sec 44ADA simplifies tax calculation for modest experts. Portion 44ADA outlines procedures and benefits, with boundaries revised in Funds 2023.
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Presumptive taxation scheme allows the taxpayers more info declare their taxable profits at a prescribed charge irrespective of actual profit/gains and subsequently relieves them with the load of preserving normal textbooks of account and getting the same audited.
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Following opting for presumptive taxation, if your earnings goes beyond the established Restrict then You must get your guides audited.
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