SECTION 44AD OF INCOME TAX ACT - 5 YEAR'S CONTINUITY RULE (1ST PART)

RESPECTED MEMBERS,
I HAVE RECEIVED A QUERY REGARDING SECTION 44AD OF THE INCOME TAX ACT, THAT WHAT IS THE 5 YEAR’S RESTRICTION UNDER THIS SECTION.
IN THIS REGARD MY PERSONAL OPINION IS THAT -
IF BUSINESS PROFIT IS COMPUTED U/S. 44AD - FOR ANY ASSESSMENT YEAR - THEN PROFIT IS ALSO REQUIRED TO BE COMPUTED U/S. 44AD - CONTINUOUSLY FOR SUBSEQUENT 5 ASSESSMENT YEARS - IT MEANS SECTION 44AD IS TO BE FOLLOWED CONTINUOUSLY FOR 6 ASSESSMENT YEARS (I.E., FOR INITIAL ASSESSMENT YEAR + NEXT 5 ASSESSMENT YEARS).
FOR EXAMPLE - IF SECTION 44AD IS INITIALLY ADOPTED FOR AY 2024-25 THEN THIS SECTION IS ALSO REQUIRED TO BE CONTINUOUSLY FOLLOWED UP TO THE AY 2029-30.
I HOPE THIS INFORMATION MAY BE USEFUL. THIS OUR FIRST VIDEO ON THIS TOPIC. WE WILL REMAIN CONTINUE ON THIS TOPIC IN OUR NEXT VIDEO ALSO.
DISCLAIMER : THE VIEWS IN THE VIDEO ARE THE PERSONAL VIEWS OF THE AUTHOR. KINDLY REFER THE RELEVANT PROVISIONS OF THE INCOME TAX ACT BEFORE ACTUAL IMPLEMENTATION.
FRIENDS I ALSO INTEND TO CONTEST CENTRAL COUNCIL ELECTIONS OF OUR INSTITUTE ICAI IN THE MONTH OF DECEMBER, 2024. I REQUEST YOU TO PLEASE GIVE ME YOUR WHOLE HEARTED SUPPORT IN THESE ELECTIONS.
THANKS AND REGARDS,
CA SHARAD JAIN
MOBILE NO 9827237841

[@asthaora9629]

Very Informative 👍

[@blazestriker3372]

Sir is it the same for professionals unde 44 ADA