subcontactors profit

[ishwar hegde]

If main contractors commission is 3% , can we claim this out of 8% profit?

AI Summary

Subcontractor Challenges 8% Net Profit Demand, Cites 3% Commission to Main Contractor in Profit Calculation Dispute A subcontractor is seeking advice on whether they can justify reporting a 4.8% net profit in their tax return when the assessing officer demands an 8% net profit, citing dissatisfaction with the provided documentation. The subcontractor argues that they pay a 3% commission to the main contractor, which should be considered in the profit calculation. They are inquiring if their position is justified and if there are any precedent cases to support their claim.