IF turnover/ gross receipts of busines is below the turnover limit prescribed u/s 44AD (i.e 1 crore), than is it compulsory to apply provisions of sec. 44AD and fill the ITR 4S OR ELSE can we compute the Income as per normal provisions of Income Tax Act and fill the ITR 4  in each of the following cases:-

1) Turnover/ gross receipts of busines is 35 Lacs &

2) Turnover/ gross receipts of busines is 7 Lacs

No it is not mandatory to file ITR-4S in both the cases, however section 44AD is applicable & mandatory in both cases. 

Sec 44AD says if turnover is below 1 crore then you have to opt any one of the followng three options - 

1) Declare net profit of 8% or above and you may file ITR-4S without giving detailed balance sheet and profit & loss account.

2) Declare net profit of 8% or above and file ITR-4 by giving detailed balance sheet and profit & loss account.

3) Declare net profit of less than 8% and get your accounts audited and file ITR-4 by giving detailed balance sheet and profit & loss account.