Under section 63 of the Income-tax Act, 2025, a person carrying on business (who is not eligible for…

Under section 63(1) of the Income-tax Act, 2025 (Table: Sl. No. 1(a)) (formerly s.44AB of the 1961 Act), a person carrying on business must get his accounts audited by an accountant if his total sales, turnover or gross receipts in business exceed Rs. 1 crore in the tax year. The limit is raised to Rs. 10 crore only where both cash receipts and cash payments do not exceed 5% of the respective totals. Rs. 50 lakh is the limit for gross receipts of a profession, not a business, and Rs. 60 lakh and Rs. 2 crore are not audit limits under section 63.