Part time salary and section 44ad
This query is : Resolved
02 November 2011
hi,One of my Friend earn part time salary (who see the ESI & PF related documentation-not accountant)from 10 to 12 firms having gross annual receipt of 150000 less expense around 45000/- so net income 105000(150000-45000) and also receive full time salary of Rs 80000/- annually .so his total income Rs 185000/-.
1) can he file return under section 44AD 2)can he treat part time salary as professional income & is he required to maintain book of accounts..please suggest.
1) can he file return under section 44AD 2)can he treat part time salary as professional income & is he required to maintain book of accounts..please suggest.
04 November 2011
Dear Anuj,
You just mentioned PART TIME SALARY. For an income to be charged under the head Salary there should be employer and employee relationship. So if the employer employee relationship exists whether its a part ime or full time, it shall be charged under the head Income from Salary.
You just mentioned PART TIME SALARY. For an income to be charged under the head Salary there should be employer and employee relationship. So if the employer employee relationship exists whether its a part ime or full time, it shall be charged under the head Income from Salary.
04 November 2011
thanks for the reply sir.but can we treat it as professional income if i not use the word part time salary.
05 November 2011
You may treat the income as Consultancy Charges Received.
Since your friend is not a qualified professional (like CA, CS, CMA etc) as referred in Section 44AA(1), his income may be treated as Business Income.
He can file his Return U/s 44AD by showing such Consultancy Income as Business Income.
Since your friend is not a qualified professional (like CA, CS, CMA etc) as referred in Section 44AA(1), his income may be treated as Business Income.
He can file his Return U/s 44AD by showing such Consultancy Income as Business Income.
Message likes :
1 times
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- About TDS & Income Tax
- Pass word to open justification report for Q1 for FY 2026-27
- Section 194JA & JB Income which ITR Form to use
- Scrutiny and reopening of past returns
- PPF interest-As Exempt Income disclosure
- Booth for sales promotion
- Type of Capital Gain
- F & O PROFIT REPORTING FOR AY 2026-27
- Average Cost Of High Quality Diamonds
- ITR 4 OR ITR 3 WHICH FORM CHOOSE
- TDS on Rent received on redevelopment of building
- Tax on Deemed Capital Gain
- Indian IT Portal issue in computing tax as per UK-India DTAA
- Capital Gains on sale of residential flat
- Upload Level ValidationITR3Category of Defect B/D
- PF Taxable Income
- Clarification on Tax Audit Applicability and Reporting of F&O Transactions in ITR-3
- Interest credited in FY2025-2026 & TDS therein by EPFO does not reflect in AIS or Form 26AS
- 44ad eligble money lending interest
- Taxation in the hands of Landowner under JDA
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
