44AD return

44AD usually filed in ITR 4. But ITR3 also has coumns for 44AD in schedule BP. Then what is the difference filing in ITR3 and ITR4? Learned and experienced kindly comment
Replies (5)
Quick Summary
This discussion clarifies the distinction between filing under Section 44AD using ITR 3 versus ITR 4. While ITR 4 is typically for presumptive income under 44AD, ITR 3 can also accommodate 44AD income, especially if you have other income sources like capital gains. However, certain individuals, such as company directors or those with unlisted equity shares, must use ITR 3 even for presumptive income.

If u hv only 44ad income then itr4
and if u hv 44ad and c.gains u can go for itr3....
Can't we choose itr3 instead of itr4 in absence of capital gains?
If u hv only 44ad income and agri income being less than 5000(if any) and other sourcces income(if any) and house property in come (if any).....then u can go by itr4...
Normally ITR 4 is used by Individuals, HUFs and Firms (other than LLP) to disclose income under sections 44AD, 44ADA or 44AE presumptive Taxation.

but ITR 4 can Not be used by an Individual who is either Director in a company or has invested in Unlisted Equity Shares.

So, above mentioned person (director and having investment in unlisted shares) having a propritership firm, who want to disclose his business income under 44AD ect. than that person is required to file form ITR 3.
You can file ITR 3 instead of ITR 4 if you are showing income on presumptive basis i.e. minimum 8% and maintaining books of accounts. If not maintaining books of accounts then file ITR 4.

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