Threshold Limits for Book Keeping
Yes, there are threshold limits for book keeping for manpower and employment agencies in India. According to the Income Tax Act, 1961, manpower and employment agencies with a turnover of less than Rs. 25 lakhs in the previous financial year are not required to maintain regular books of accounts.
However, they are still required to keep some basic records, such as:
- Cash book
- Bank statements
- Purchases register
- Sales register
- Wages register
- Tax payment records
Manpower and employment agencies with a turnover of more than Rs. 25 lakhs in the previous financial year are required to maintain regular books of accounts, in accordance with the provisions of the Income Tax Act.
These books of accounts should be maintained on a day-to-day basis and should be able to provide a true and fair view of the financial transactions of the agency.
The specific requirements for bookkeeping for manpower and employment agencies are laid down in the Income Tax Rules, 1962. These rules can be found on the website of the Income Tax Department.
To visit: https://www.mca.gov.in/
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