Gross receipts declared in itr returns f.y.24-25

[Sundaraiah kollipara]

Sir,

A doctor professional income gross receipts Ra. 25 lacs Rs. 5 lacs personal expenses but doctor professional income account records not maintained F.Y. 24-25

Total assets increased F.Y. 24-25 Rs. 10 lacs

Total liabilities decreased F.Y. 24-25 Rs.5 lacs

Personal expenses Rs. 5 lacs F.Y. 24-25

Question:

Assesses Gross receipts income declared Rs. 25 lacs or Rs. 20 lacs in ITR returns Sec 44ADA provision of it purpose F.Y. 24-25

AI Summary

Presumptive taxation under Section 44ADA sets deemed profit on declared gross receipts; unexplained asset increases may be taxed. Applicability of the presumptive taxation regime determines taxable income from declared gross receipts by applying the prescribed deemed-profit percentage and generally obviates detailed books for eligible professionals; personal expenditures are not deductible merely because incurred, and unexplained increases in assets or decreases in liabilities may be treated as income if not satisfactorily explained, independent of choosing the presumptive method.