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Boutique Income under Profession

Veera Veera (253 Points)

04 June 2021

Hi,

Income from Boutique is Taxable under Profession Section 44ADA is Applicable?

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7 Replies

Jai Rathore (Accountant) (13 Points)
Replied 04 June 2021

I think yes, b.coz it is service

Sivaramaraju G (Learner) (2398 Points)
Replied 04 June 2021

Boutique means what kind of business you will do??

if it is a trading in goods then 44AD will be applicable up to max turnover of 2crs.

even though if it is a service concern those services should be specified professional services covered under sec 44AA.
you can't simply apply 44ADA on all services.

Veera Veera (253 Points)
Replied 04 June 2021

Ok Sir, thanks

veerendar singh (tax consultant) (3301 Points)
Replied 04 June 2021

44ada would not apply to boutique

Susmita Dutta, CA , CPA (CA ) (2141 Points)
Replied 04 June 2021

Boutique is sale of ladies garments so it will not fall under the definition of ‘Profession ‘ as per Income tax Act.

CMA Poornima Madhava (CMA) (13097 Points)
Replied 04 June 2021

I think it is a business and 44AD can apply.

Vishal Manakshe (238 Points)
Replied 05 June 2021

44ADA shall apply for the activities mentioned in sec 44AA. Income from Boutique is not covered in sec 44AA, so it shall be considered as business u/s 44AD.