ITAT ruled that a partnership firm providing IPD services, room...

ITAT ruled that a partnership firm providing IPD services, room rentals, and diagnostic facilities does not qualify as engaging in medical profession under Section 44AD(6) and 44AA(1). The firm's income from facility services is distinct from doctors' professional fees, which are separately declared by individual practitioners. The tribunal accepted the firm's business income classification with net profit ratios between 6-11% of turnover, consistent with previous years' treatment. The addition proposed based on partner's statement was rejected as unwarranted since the remaining receipts were already treated as business income. The provisions of Section 44AD were held inapplicable to the firm's operations, and the assessee's appeal was allowed.