almost 4 years ago
Using this standard, computation of income can be understood with the following example: Facts: XYZ manufacturing company has gross receipts of Rs. 1 cr. wherein it has done digital transactions of Rs. 40 Lacs and non-digital dealings of Rs. 60 Lacs Solution: XYZ can submit tax on Rs. 4,80,000/- [40 Lacs * 8% and 60 Lacs * 6%] A loophole in PTS: Though PTS is giving easy way-out to Assessee to finish its liability without any accounting compliances, however, at the same time, it disqualifies the PTS Assessee to claim any other benefits enumerated in the Act; Excluding income which does not form part of total income in terms of section 10A to 10BA; Deductions to be made in computing total income u/s 80HH to 80RRB.