Savings account interest is not on TIS or AIS ? also this year f&o turnover is 10 cr.?

[curiousvi]

1. I don’t see post office savings ac interest on TIS or AIS - neither I see savings ac interest on either TIS or AIS … this year it is changed?

2. This year F&O turnover limit for audit is 10 crore starting this year ?
   earlier it was 2 crore?

3. If FNO profit is less than 6% of the turnover and you have chosen presumptive taxation last year - what should you do ?

4. Lets say I am short about 25k in advanced tax payment - so total interest I have to pay is 1% each month I dont pay full tax ? so this will be about 250 per month ?

@Quicko @Meher_Smaran

[Meher_Smaran]

@curiousvi

I don’t see post office savings ac interest on TIS or AIS - neither I see savings ac interest on either TIS or AIS … this year it is changed?

Ideally it should be reported but sometimes the portal throws up incomplete info

@curiousvi

This year F&O turnover limit for audit is 10 crore starting this year ?
earlier it was 2 crore?

That’s correct

@curiousvi

If FNO profit is less than 6% of the turnover and you have chosen presumptive taxation last year - what should you do ?

Once opted, We have to go for presumptive taxation for 5 consecutive years else we will not be eligible for 5 years starting from the year of omission.

@curiousvi

Lets say I am short about 25k in advanced tax payment - so total interest I have to pay is 1% each month I dont pay full tax ? so this will be about 250 per month ?

Yes. This is as per section 234C if advance tax is not paid on time as per due dates. Along with this,

According to section 234B, If 90% assessed tax amount is paid within the due dates (By end of FY) , there is no need for any interest payment. Please check if the 25k is less or more than 10% of your total tax.

@Quicko can confirm if any corrections required

[curiousvi]

1. ok to clarify - if adv tax is not paid in full by due date there will be penalty interest of 1% on total tax due ?
   But lets say if I paid less than 90% of assessed tax amount before end of FY - there will be additional 1% - so total 2% per month ?
   so in my example will be 25kx 2% = 500 Rs per month until I pay in full tax with interest?

2. You said once opted for presumptive - u have to go for 5 years - but what if you made less than 6% of the turnover ? are you saying one must pay at least 6% of the turnover in tax even though one might have made less than 6% of turnover? what is the way out of this ? @Quicko @Meher_Smaran

[Quicko]

Hi @curiousvi

1. Advance Tax Interest: If you miss or underpay advance tax instalments, interest under Section 234c is charged at 1% per month on the shortfall for each delayed quarter, up to March 31. If by March 31 you haven’t paid at least 90% of your total tax liability, then Section 234B applies and charges 1% interest per month from April onwards until you pay the remaining tax. So, the combined interest doesn’t stack as 2% per month — they apply during different periods.

2. Presumptive Tax (44AD): Under Section 44AD, once you opt in for presumptive taxation, you’re expected to declare at least 6% of turnover (if digital) or 8% (if cash) as your income.
   If you declare less than 6%/8%, you must maintain books of account and get a tax audit done under Section 44AB. You are not forced to pay tax on 6% if your actual income is lower, but to prove it, you need to exit presumptive, maintain books, and get audited. Also, once you opt out, you can’t opt back under the presumptive scheme for the next 5 assessment years.