Audit for Professionals
The tax audit limit for professionals is Rs 50 lakhs from FY 2016-17 onwards.
Starting financial year FY 2016-17 (return filing for AY 2017-18), presumptive income scheme has been extended to professionals with receipts up to Rs 50 lakhs. Under this scheme, their income is assumed to be 50% of receipts. Books of accounts are not required to be maintained and audit is not applicable.
Following Table can help you understand better,the audit limits in case of business & profession with or without opting presumptive income scheme.
Turnover Limit for Audit
|Category of Taxpayer||FY 2016-17 Onwards|
|Business (Not opting Presumptive Income Scheme)||1 crores|
|Professionals(Not opting Presumptive Income Scheme)||50 Lakhs|
|Business opting Presumptive Income scheme u/s 44AD||2 crores|
|Professionals opting Presumptive Income scheme u/s 44ADA||50 lakhs|
More reading here – Understanding presumptive income scheme for Professionals
As per Press Release of the Income Tax Department dated 20th June 2016.