I used ITR 4 from FY 2017–18 to FY 2020–21, which is 4 years. For intraday Turnover i used 44 AD and turnover was never more than 10 lakh, and my annual income was never beyond the exemption limit.
but this FY 2021–22 year, thanks to the @Quicko website’s ease of use, I filled out ITR 3 with carry forward losses ( total income was below basic exemption limit ) @Quicko advised skipping the audit.
however I asked CA He informed me that since you changed the ITR Form, an audit is required. What should I do right now?
or should I just wait for the intimation order ?
If audit coumpulsory and it is treated as not filling itr i dont have to file itr since my income below limit. And - i dont care about carry forward losses since its not that big only 1 lakh only ------. Or should i revise my ITR without carry forward loss ?
As per Section 44AD(5), if you have opted out of the presumptive scheme of taxation before the completion of 5 years and have a total income more than the basic exemption limit then books of accounts need to be maintained and a tax audit is also required.
In your case since your taxable income is less than the basic exemption, maintenance of books of accounts or tax audit is not required.
However, it is always up to the taxpayer to opt-in/out of a tax audit.
It is always a good practice to file your ITR and report all your financial activities, especially after the SEBI and CBDT’s data partnerships. In case the income is below the basic exemption limit, there won’t be any tax liability.
Quicko is a tax planning and filing platform, in case the user wants a tax audit, we can connect them with CAs within our network. You can reach out to us on [email protected].