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Presumptive taxation scheme lets the taxpayers declare their taxable cash flow at a prescribed fee regardless of real gain/gains and in turn relieves them from the load of preserving normal books of account and obtaining the similar audited.
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Segment 44ADA gives an easy technique of taxation for smaller pros. Area 44ADA offers a plan of presumptive taxation for gains and gains arising from professions outlined less than Part 44AA(1) in the Income Tax Act, 1961.
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All deductions for small business expenses are considered to have been authorized. After profits are taxed at fifty% in the gross receipts, the stability of 50% is considered to become permitted in direction of the many business costs in the assessee.