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Nonetheless, to provide relief to modest taxpayers from your wearisome career of protecting books of account and obtaining them audited, income tax legislation has released the strategy of presumptive taxation scheme.

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Despite opting for presumptive plan under part 44ADA, taxpayer can declare section eighty tax preserving deductions and investments.

Written down value of property can be computed as if depreciation is and it has generally been claimed about the property

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In the above illustration, the overall receipt is underneath the revised/improved presumptive Restrict of Rs. seventy five lakh and the cash receipt is lower than 5% of the total receipts.

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The Restrict is improved to INR seventy five lakhs if the total volume received in cash doesn't exceed five p.c of the full gross receipts of such prior yr.