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Hey I am on Medialย โขย 3m
๐ฅ๐๏ธ BJP announced No Tax On businesses and startups Upto 2 Crores turnover ๐ฐ๐ฎ๐ณ๐ โข Presumptive Taxation ( Section 44AD ) For Small Businesses: Individuals, HUFs, and partnership firms (except LLPs) can opt. 1= Taxable Income Presumed: โข 8% of turnover for cash transactions. โข 6% of turnover for digital transactions. 2= Simplified Compliance โข No need to maintain detailed books of accounts. โข No need for tax audit if turnover โค โน2 crore. โข Reduces compliance burden for small businesses. 3= Latest Updates โข Higher Turnover Limit: Increased from โน2 crores to โน3 crores if cash receipts โค 5% of total turnover. โข Encourages Digital Transactions: More businesses can now benefit if they use digital payments. 4= Tax Payment & Compliance โข Advance Tax: Entire tax liability must be paid by March 15 of the financial year. โข Fixed Presumed Profit: Even if actual profit is lower, tax is still calculated on 6-8% of turnover. โข Cannot Claim Business Deductions: No deductions for rent, depreciation, salaries, etc. 5= Restrictions & Limitations โข No Opting In & Out Frequently: Once opted out, cannot re-enter for 5 years. 6= Not Allowed For: โข Commission agents, brokerage firms, and agency businesses. โข Businesses engaged in hiring, leasing, or plying goods carriages. โข No Loss Carry Forward: Business losses cannot be adjusted in future years. 7= Advantage for startup and businesses โข Less paperwork & compliance burden for small businesses. โข No tax audit required if turnover โค โน2 crores โข Lower tax rate (6%) for digital transactions โข Encourages digital payments & transparency โข High Growth opportunities and easy market entry โข Competitive Advantage for competing with giants ๐ฎ๐ณ๐ฐ What's your take on this ?
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