Presumptive income by Professional
Can you please solve following queries
A Technical person , Senior Citizen, is drawing monthly salary ₹2 lac per month as a director from a company , He also getting ₹ 3.5 lac per month as consulting engineer services from others. He wants to pay tax U/s 44ADA .
Would he be eligible to claim 3.5 *12 = ₹42 lac under presumptive "income from business profession" 8% & rest ₹ 24 Lac under "salary"?
W.r.t. to gross receipts, you are right. To avail 44ADA, 50 lacs turnover/receipts is the limit but this does not include salary income. In your case, professional income is 42 lacs and hence you may opt for 44ADA.