India - Income Tax Act 2010 - Saarc

1.293 CH. IV - COMPUTATION OF BUSINESS INCOME S. 44Bof the amount payable is still due, shall be deemed to be the owner ofsuch goods carriage.]6[Special provisions for computing profits and gains of retail business.44AF. (1) Notwithstanding anything to the contrary contained in sections 28 to43C, in the case of an assessee engaged in retail trade in any goods ormerchandise, a sum equal to five per cent of the total turnover in the previousyear on account of such business or, as the case may be, a sum higher than theaforesaid sum as declared by the assessee in his return of income shall bedeemed to be the profits and gains of such business chargeable to tax under thehead “Profits and gains of business or profession” :Provided that nothing contained in this sub-section shall apply in respect of anassessee whose total turnover exceeds an amount of forty lakh rupees in theprevious year.(2) Any deduction allowable under the provisions of sections 30 to 38 shall, forthe purposes of sub-section (1), be deemed to have been already given full effectto and no further deduction under those sections shall be allowed :Provided that where the assessee is a firm, the salary and interest paid to itspartners shall be deducted from the income computed under sub-section (1)subject to the conditions and limits specified in clause (b) of section 40.(3) The written down value of any asset used for the purpose of the businessreferred to in sub-section (1) shall be deemed to have been calculated as if theassessee had claimed and had been actually allowed the deduction in respect ofthe depreciation for each of the relevant assessment years.(4) The provisions of sections 44AA and 44AB shall not apply in so far as theyrelate to the business referred to in sub-section (1) and in computing themonetary limits under those sections, the total turnover or, as the case may be,the income from the said business shall be excluded.]7[(5) Notwithstanding anything contained in the foregoing provisions of this section,an assessee may claim lower profits and gains than the profits and gains specifiedin sub-section (1), if he keeps and maintains such books of account and otherdocuments as required under sub-section (2) of section 44AA and gets hisaccounts audited and furnishes a report of such audit as required under section44AB.]8[(6) Nothing contained in this section shall apply to any assessment yearbeginning on or after the 1st day of April, 2011.]9[Special provision for computing profits and gains of shipping business in thecase of non-residents.1044B. (1) Notwithstanding anything to the contrary contained in sections 28 to43A, in the case of an assessee, being a non-resident, engaged in thebusiness of operation of ships, a sum equal to seven and a half per cent of the6. Inserted by the Finance Act, 1997, w.e.f. 1-4-1998.7. Inserted by the Finance Act, 1999, w.r.e.f. 1-4-1998.8. Inserted by the Finance (No. 2) Act, 2009, w.r.e.f. 1-4-2009.9. Inserted by the Finance Act, 1975, w.e.f. 1-4-1976.10. For relevant case laws, see Taxmann’s Master Guide to Income-tax Act.