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44ada and business code 14009

Tax queries 773 views 5 replies

Hi,

I teach at a few educational institutes as a consultant. I do not own those institutes. I am also registered as a GST consultant. So far I have been showing my business code as 14009. But that disallows me to get beenfit under 44ada. Is 14009 the right code for me?

Should I be using some other code and get benefit under 44ada?

Please let me know.

Regards,

Ramesh 

Replies (5)

Just to add I teach for data science coaching institutes typically for working professionals.

Also, I file my GSTR1 under HSN=999293. 

For example, do these codes apply to me?

Other software consultancy == 14002
Engineering and technical consultancy == 16005

Literary activities == 20011

Or any other 44ada code?

Especially given this article https://economictimes.indiatimes.com/wealth/tax/tax-queries-does-teaching-profession-qualifies-for-presumptive-taxation-at-50/articleshow/57887440.cms?from=mdr what do you think?

You can consider code 16005.

see if you think your services are more aligned for 14009, then you actually benefit more as Income-tax department considers 14009 as 44AD bsuiness. Hence, you can offer much lower % of income as profit. 

Thank you. But I could be eligible for Section 44AD only if the activity is considered a business (e.g., running a coaching center or institute)? right?
Can offering professional services, and not running a business be considered a business?


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