GK
TAXES IN INDIA
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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4 goods carriages
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8 goods carriages
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10 goods carriages
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12 goods carriages
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Detailed explanation-1: -The provisions of section 44AE can be adopted by an assessee who is engaged in the business of plying, hiring or leasing of goods carriages and does not own more than ten goods vehicles at any time during the previous year.
Detailed explanation-2: -An assessee who satisfies the following conditions is eligible for income scheme under section 44AE: The assessee is running the business of plying, hiring, or leasing such goods carriages. Additionally, the assessee owns not more than ten goods carriages at any time during the previous year.
Detailed explanation-3: -The scheme of section 44AD is designed to give relief to small taxpayers engaged in any business, except the following businesses: ➢ Business of plying, hiring or leasing of goods carriages referred to in section 44AE. ➢ A person who is carrying on any agency business.
Detailed explanation-4: -Section 44AD and 44AE both are applicable. In the above said case, turnover of both the business shall not be clubbed and both the business shall be chargeable to tax u/s 44AD and 44AE of the Act respectively.