Soumya (Proprietor) (69 Points)
30 April 2024A person is providing creative services to a Media Company. and is being paid consultancy services as creative head. for the same . Total service income < 75 lakhs in the year.
Can he get the benefit of Section 44ADA? If not can he go under Section 44AD.
Thank you
CA Rashmi Gandhi
(Chartered Accountant)
(86285 Points)
Replied 30 April 2024
Soumya
(Proprietor)
(69 Points)
Replied 30 April 2024
Thanks for the reply . But which section 44ADA or 44AD ?
in 44ADA Creative services professional is not covered under list of specified professions : So my query is : 1. Can this person go under 44AD ? 2. is there any way to fit him under 44ADA.
Nikhil Kaushik
(Fellow CA)
(85382 Points)
Replied 30 April 2024
Soumya - what is the Profession code you use for filing returns for this person in earlier AYs?
sabyasachi mukherjee
(26273 Points)
Replied 30 April 2024
Soumya
(Proprietor)
(69 Points)
Replied 01 May 2024
Nikhil Kaushik
(Fellow CA)
(85382 Points)
Replied 01 May 2024
got it. as long as the gross receipts remain below 75 lakhs, you may go for 44ADA in this case. But please ensure that the person complies with GST. He should be liable for GST registration by the end of July (assuming that this revenue is evenly spread).
Some people may argue that he may be eligible for 44AD. If you go with that, please ensure that you are covered under the business codes provided under 44AD.
CAclubindia
