Filed Under 44AD Instead of 44ADA and Claimed Full Refund: Now Facing Audit and Penalties

Mitali , Last updated: 18 August 2025  
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The taxpayer received professional income with TDS deducted under section 194J, amounting to Rs 220,000 approx. from the total income of Rs 22,00,000. Since this was professional income, the correct section is 44ADA. Under Section 44ADA, only 50% of gross receipts is considered as "deemed" net prof

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Published by

Mitali
(Finance Professional)
Category Income Tax   Report

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