Presumptive Tax Calculator
Calculate tax for small businesses (44AD) and professionals (44ADA). Simplified taxation without maintaining books.
Calculating presumptive tax...
Presumptive Taxation Scheme
| Section | For | Limit | Presumptive Rate |
|---|---|---|---|
| 44AD | Small businesses | Rs 3 crore turnover | 8% cash, 6% digital |
| 44ADA | Professionals | Rs 75 lakh receipts | 50% of receipts |
Frequently Asked Questions
Who can opt for 44AD?
Resident individuals, HUFs, and partnership firms (not LLPs) with turnover up to Rs 3 crore can opt for 44AD. Professionals like doctors, lawyers, architects cannot use 44AD - they should use 44ADA.
What professions are covered under 44ADA?
Legal, medical, engineering, architectural, accountancy, technical consultancy, interior decoration, and other notified professions. Film artists and authorized representatives are also covered.
Do I need to maintain books under presumptive taxation?
No, if you declare income at or above the presumptive rate, you don't need to maintain books of accounts. However, you should keep basic records of receipts for your reference.