{"id":24203,"date":"2022-01-22T20:42:46","date_gmt":"2022-01-22T15:12:46","guid":{"rendered":"https:\/\/itatonline.org\/digest\/?post_type=qa&#038;p=24203"},"modified":"2022-01-25T10:41:11","modified_gmt":"2022-01-25T05:11:11","slug":"tax-audit-and-f-and-o-loss","status":"publish","type":"qa","link":"https:\/\/itatonline.org\/digest\/qa\/tax-audit-and-f-and-o-loss\/","title":{"rendered":"TAX AUDIT AND F AND O LOSS"},"content":{"rendered":"<p>Facts of the case:<\/p>\n<p>1. Assessee is carrying on business of manufacturing paper bags and ROI is filed u\/s 44AD till AY 20-21.<\/p>\n<p>2. For AY 21-22 alongwith manufacturing activity he has also done Futures and Options transactions the summary is as below:<br \/>\nManufacturing Activity- Turnover Rs. 9.91 lk and Profit Rs. 1.59 lk<br \/>\nF&amp;O &#8211; Turnover Rs. 2.24 crore and Loss Rs. 3.12 lk<\/p>\n<p>Assessee has prepared separate P&amp;L for both business and common balance sheet.<br \/>\nQuery:<\/p>\n<p>1. Can assessee take the benefit of Proviso to Section 44AB(a) (As nothing in Cash for F&amp;O business- criteria met. For manufacturing business this criteria of cash transaction is not met)-<\/p>\n<p>Show F&amp;O loss under normal business without doing audit and continue the Manufacturing business under section 44AD.<\/p>\n<p>2. Also If assessee need to claim the loss and get it carried forward than Audit will be required? (As time limit to file regular return is ended)<\/p>\n<p style=\"text-align: center;\">Pl guide<\/p>\n","protected":false},"comment_status":"open","ping_status":"closed","template":"","qa_expert":[33],"qa_category":[23],"qa_tag":[463,141,81],"class_list":["post-24203","qa","type-qa","status-publish","hentry","qa_expert-advocate-shashi-ashok-bekal","qa_category-income-tax","qa_tag-fo","qa_tag-speculation-income","qa_tag-tax-audit"],"acf":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa\/24203","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/qa"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=24203"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=24203"}],"wp:term":[{"taxonomy":"qa_expert","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa_expert?post=24203"},{"taxonomy":"qa_category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa_category?post=24203"},{"taxonomy":"qa_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/qa_tag?post=24203"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}