TaxTMI 
TaxTMI 
WHETHER A PARTNERSHIP FIRM ( 1PARTNER IS NOT A DOCTOR) RUNNING A HOSPITAL WILL BE ELIGIBLE FOR 44AD?
44AD OR 44ADA
10 Jul 2020 
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Presumptive taxation under section 44AD may apply to partnership firms operating hospitals if not an excluded profession.
Applicability of the presumptive taxation scheme to a partnership firm operating a hospital turns on three conditions: the assessee must be an eligible resident (individual, HUF or partnership firm other than an LLP); the business must not fall within the statutory exclusions including activities treated as professional practice; and gross receipts must not exceed the statutory turnover ceiling. If the hospital activity is not treated as a profession and receipts are within the turnover threshold, the partnership may compute income under the presumptive scheme. (AI Summary)
Applicability of the presumptive taxation scheme to a partnership firm operating a hospital turns on three conditions: the assessee must be an eligible resident (individual, HUF or partnership firm other than an LLP); the business must not fall within the statutory exclusions including activities treated as professional practice; and gross receipts must not exceed the statutory turnover ceiling. If the hospital activity is not treated as a profession and receipts are within the turnover threshold, the partnership may compute income under the presumptive scheme. (AI Summary)