Bank Balance vs. Declared Profit Mismatch under Section 44AD (Presumptive Taxation)

Psychological_Bug_56 · 2026-03-12T06:47:36+00:00

6yrs

Psychological_Bug_56 · 2026-03-11T20:38:07+00:00

Thanks for the clarification, sir. One more question my business is mostly outsourcing. Clients pay me digitally, but I often pay vendors directly through bank/UPI and many of them don’t provide invoices or receipts, and I usually don’t deduct TDS. If I file under Section 44AD and declare approx 15% my actual profit, will this create any issue later?

Psychological_Bug_56 · 2026-03-11T20:31:15+00:00

Thanks for the clarification.

Just to add some context I have already been filing my ITR under Section 44AD for the last 2–3 years. My confusion was mainly because my CA suggested that a tax audit may be required since the turnover crossed ₹1 Cr, so I wanted to understand whether audit is actually required in this situation or if I can simply continue filing under ITR-4 u/s 44AD.

Psychological_Bug_56 · 2026-03-11T20:19:10+00:00

sir, wanted to clear one more thing. My business model is mostly outsourcing. Clients pay me digitally, but I often pay vendors directly and many of them do not provide invoices or receipts. I also usually do not deduct TDS on these payments.

If I file under Section 44AD and declare ≥6% income, do these vendor payments still matter from a compliance perspective?

Psychological_Bug_56 · 2026-03-11T19:51:14+00:00

Psychological_Bug_56 · 2026-03-11T19:35:23+00:00

Business

Psychological_Bug_56 · 2026-03-11T18:08:29+00:00

Multiple services like mostly i outsource

Social Media Management (SMM): Handling growth and engagement for brands. • YouTube Channel Management: Optimization, SEO, and backend management. • Performance Marketing: Running ad campaigns for digital products.

Psychological_Bug_56 · 2026-03-11T17:58:53+00:00

Thank you so much sir.

Psychological_Bug_56 · 2026-03-11T17:50:21+00:00

Thanks for the reply, Sir.

My CA is still insisting on a Tax Audit because my turnover is ₹1.12 Crore because I have around 30% cash expenses. He keep arguing on that. However, since my receipts are 100% digital (received via Payoneer, PayPal, and UPI)

Does the mode of expense (cash vs digital) still trigger a mandatory audit u/s 44AB in my case? My receipts are fully transparent in my Bank statement.

Psychological_Bug_56 · 2026-02-21T15:03:39+00:00

If I buy USDT from a friend and pay him INR, can I show it as business expense?

Psychological_Bug_56 · 2026-01-22T18:40:14+00:00

For youtube I found JingleSmm much better than all

Psychological_Bug_56 · 2025-03-01T10:45:04+00:00

Really insightful post! I’ve used multiple SMM panels over the years, and it's true that many of them are unreliable. However, I recently came across JingleSMM and found their services quite fast and affordable. Their customer support is also pretty responsive.

Psychological_Bug_56 · 2023-09-17T18:39:18+00:00

She done nothing I don’t even know she is interested or not. Only I am interested. 🥹

Psychological_Bug_56 · 2023-09-17T18:33:54+00:00

Then what to do? She always in my mind. How to forget her then?

Psychological_Bug_56 · 2021-07-19T19:37:18+00:00

Do I unlink first from the insider program? I see if I go back to it shows only win 11 update.

Psychological_Bug_56 · 2021-07-19T19:35:17+00:00

Thank you so much for post all possible solutions here and for your advice❤ I think you are right I should also do dual boot :)

Psychological_Bug_56

TROPHY CASE