Notice u/s 139(9) with error code 181
Dear Expert,
I have received a notice from IT department u/s 139(9). The reason mentioned is error code 181:
"a) The Gross Receipts is not mentioned in the Profit & Loss A/c, OR b) The profit shown is less than 50% of the gross receipts as prescribed u/s 44ADA but has not mentioned the maintenance of the books of accounts and audit report u/s 44 AB in part A-General and the total income exceeds the maximum amount not chargeable to income tax."
For the last financial year (2016-17), I had the following sources of income:
1. Salary
2. Capital Gains (equity and MF)
3. Professional Income (Financial and corporate advise, Professional income was Rs. 2 lakhs)
5. Other Sources (interest Income)
I had filled ITR 3 for current assessment year and since professional income was a small, I took the benefit of section 44ADA.
Thus in Part A General (Audit Information) also I filled 'No' for
i. Are your liable to maintain accounts as per 44AA - No
ii. Are you liable to for Audit under 44AB - NO
In filling ITR 3,
a. In the Profit and loss schedule I mentioned my Gross Receipts (2 lakhs) in 53(ii)a and Gross Profits (Rs. 1 lakh) in 53(ii)b.
b. On Schedule BP, I had mentions Rs. 1 lakh under section 44ADA (point 35ii). Thus the 'Income Chargeable under Business / Profession came out to be 1 lakh which 50% of my gross receipts (2 lakhs).
c. Under Nature of Business, I had filled 607 - Professional others.
Kindly advise what changes I have to make in my ITR 3 to remove defect.
Thanks and regards
KV