15 June 2011
if my commission income is only Rs. 10,000 and TDS Rs. 1,000 has been deducted by company.now for refund purpose i have to file my return of income.what ITR form should i file whether regular ITR4 or ITR4s.in this scenario what figure will be considerd as my turnover.if my turnover is considered Rs. 10,000 then can i show all this amount (100% instead of 8% as described in 44AD) as my total income while i have no any expenses to be deducted from this gross profit/receipts,and there is no any other income at all.
15 June 2011
my nature of business/profession falls in code 0301 as a general commission agent.i receive commission and not interest.then how can i go for ITR2.i declare my presumptive income Rs 10,000 on the basis of my annual gross receipt of Rs 10,000. then why souldn't i file ITR4s?---pl sir, make it clear. pl ref https://www.caclubindia.com/experts/for-commission-income-which-form-i-use-itr-4-or-sugam-itr4s--672200.asp
23 July 2025
This is an important distinction โ letโs address your situation clearly:
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### ๐ **Your Case Summary**
* You are a **general commission agent** * You earned **โน10,000 as commission income** * Company **deducted โน1,000 as TDS (u/s 194H most likely)** * You want to **file return to claim refund** * You are asking:
1. Which **ITR form** to use โ ITR-4S (now called ITR-4) or regular ITR-4? 2. Whether **Sec 44AD** applies to you? 3. Can you **show 100% of โน10,000** as income and avoid expenses?
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## โ Answers
### 1. โ **Section 44AD does *not* apply to commission agents**
> As per the **Explanation to Section 44AD(6)**, the presumptive scheme **does not apply** to: > > > โa person carrying on agency business or earning income in the nature of commission or brokerage.โ
โ Since your entire income is **commission**, **Section 44AD is not applicable** to you.
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### 2. ๐งพ **Which ITR form should you use?**
* Since your income is **commission (business income)** and you are **not eligible for presumptive taxation**, * You **must use ITR-3** (or ITR-4 in earlier years, if applicable) and **maintain books** unless you're under the exemption limits for books of accounts under Section 44AA.
โ ๏ธ **ITR-4S (Sugam)** โ which was meant for Section 44AD โ is **not allowed** for commission agents.
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### 3. ๐ก **Can you show full โน10,000 as income (no expenses)?**
Yes, **you can declare โน10,000 as income** if you genuinely had no expenses. However, it must be shown as **business income**, not under presumptive basis.
So, in ITR-3:
* Under **"Business Income"**, you can show:
* **Gross receipts**: โน10,000 * **Expenses**: โน0 * **Net profit**: โน10,000 * Show **TDS of โน1,000** in Schedule TDS * You'll be eligible for **โน1,000 refund** (assuming no tax payable)
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### ๐ Summary
| Aspect | Your Situation | | --------------------- | ---------------------------------------- | | Nature of income | Commission (agency income) | | Eligible for Sec 44AD | โ No โ Section 44AD does **not** apply | | ITR Form | โ **ITR-3** (not ITR-4S/Sugam) | | Income to show | โน10,000 under Business Income | | TDS claim | โน1,000 โ to be shown in TDS schedule | | Expenses | Can show โน0 if you truly had no expenses |
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Let me know if you'd like a step-by-step on filling ITR-3 in this case.