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We used 44ADA in ITR3 and it got defective. Error…

We used 44ADA in ITR3 and it got defective. Error code 181. We wanted ITR4 for 44ADA, but had to go…

We used 44ADA in ITR3 and it got defective. Error code 181. We wanted ITR4 for 44ADA, but had to go with ITR3 because of capital gain. Now I have 3 questions regarding this problems Question 1: Do 44AA and 44ADA apply in parallel under certain circumstances and conditions?

Question 2: If answer to question 1 is YES, what are these circumstances and conditions?

Question 3: If answer to question 1 is YES, then for professionals who are eligible for 44ADA, if professional income is declared under 44ADA in ITR3, then detailed BS and PL have to be filled in ITR3?

Please solve my queries as soon as possible

0
Kanishka Apr. 08, 2023

Answer 1: 44AA and 44ADA cannot apply in parallel.

Section 44ADA overrules section 44AA. Section 44AA provides for maintenance of books of accounts whereas section 44ADA allows an assessee to compute his income using presumptive method.



Answer 2 and Answer 3: Not applicable as answer to Question 1 is no.