44ad

THE DEFINATION OF BUSINESS AND PROFESSION ARE SEPERATE FROM EACH OTHER AS PER INCOME TAX ACT, 1961. UPTO A.Y. 2012-13 IT IS NOT SPECIFICALLY SHOWN THAT IT APPLIED TO PROFESSION OR NOT BUT THE WORDING OF SECTION 44AD SHOWS THAT IT APPLIES TO ONLY BUSINESS NOT TO PROFESSION. TO ROMOVE CONFUSION, SPECIFIC EXCLUSION FROM SECTION 44AD HAS BEEN GIVEN IN FINANCE ACT,2012 FOR PROFESSIONAL, AGENCY BUSINESS AND COMMISSION AGENTS.

Following person are not eligible to avai benefit u/s 44ad

1. a person cover u/s 44AA

2. a person earning income in the nature of commission or brokerage

3. a person carrying on any agency bussiness

professtional service provider is not show his income u/s 44ad as professtional comes u/s 44AA