Sec. 44AE of Income Tax Act, 1961

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....ec. 44AE of Income Tax Act, 1961<br> Query (Issue) Started By: - Rajan Kumar and associates Dated:- 5-8-2025 Last Reply Date:- 18-8-2025 Income Tax<br>Got 2 Replies<br>Income Tax<br>Whether a person doesn&#39;t own Motor Vehicle, but having the same on hire/lease. is he eligible to opt Presumptive Taxation u/s 44AE? Reply By TANAY GHILDIYAL: The Reply: When we read Section 44AE which is a specia....

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....l provision for the transport and goods carriage operators. The section specifically states that any person who is in the business of Hiring, plying and leasing of goods carriage have the option to file their income tax return under this section subject to the person owns 10 or less than 10 vehicle. Therefore any person who owns more than 10 vehicles automatically falls out the ambit of Section 44....

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....AE. This explanation is with respect to the relevance of the vehicle you own and the impact on the section 44AE by owning such vehicles. When it comes to the question of ‘Whether ITR U/s. 44AE can be filed without owning any goods carriage” . The answer is subjective. Though the section starts with the lines “Notwithstanding anything to the contrary contained in sections 28 to 43C, in th....

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....e case of an assessee, who owns not more than ten goods carriages………..” the intention of the legislature is to ease the filing of the return of income for traders engaged in the business of Hiring . leasing or plying of vehicles. Thus even though you do not own any vehicle but lets say you take vehicle on lease and carry on the business then you can avail the benefit of section 44AE. But....

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.... on strict interpretation of the section , it specifically mention that “any persons who OWNS not more than ten goods carriages …….“ thus in this case though you provide the similar services but since you do not own the vehicle , you will fall under the general provision and would not be eligible for filing of return U/s. 44AE. The solution depends on the facts of the case and I would rat....

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....her suggest you to go by normal provision rather than 44AE to file the ITR.   Tanay Ghildiyal 9873938771  Reply By Rajan Kumar and associates: The Reply: Thanks for your valuable reply. But in the Form ITR-3 we have to declare in S. No. 63 "Registration No. of the Goods Carriage" then "Whether Owned/Leased/Hired". That where my query arises.&nbsp;<br> Discussion Forum - Knowledge Sharing ....