Filling of income tax return for medical practitioner

A medical practitioner runs a nursing home
which itr to be filled medical practitioner
Replies (6)
Quick Summary
This discussion explains how medical practitioners can file their income tax returns, particularly if they run a nursing home. It clarifies that ITR4 can be used if gross receipts are under £50 lakh and other conditions of Section 44ADA are met. Under this presumptive scheme, 50% of gross receipts are treated as taxable income, with the remaining 50% considered expenses. If actual profits are lower than 50% of gross receipts, tax audit under Section 44AB and filing ITR3 becomes mandatory.

Medical Practitioner ( Doctor) Can file ITR4 ,if his gross receipts during the previous year was less than 50 lacs , also he has fulfil all the other Conditions under section 44ADA of the income tax Act , So please refer section 44ADA in detail. This presumptive taxation scheme is applicable only to professional Individuals .

Suppose his gross receipts is rs 30 lac how much profit will be shown in 44 ADA
Your income will be treated as 50% of gross receipts for taxation, no expenses allowed as deduction from gross receipts like normal provision . refer section 44ADA .

As per the presumptive taxation  your gross receipts are 30  lacs , so 50 % of  30 lacs = 15 lacs , will be treated for taxation , and  remaining  50 % will be teared as your  deemed expenses .

In case he prepares proper books of account then what percentage of profit shown in theri profits and loss account

If  you refer ITR4   , in ITR4  Schedule  Business & Profession , in Business & profession , you refer  Computation of income form  profession under section 44 ADA , then you refer  table E4 .  in E4 you have report 50%  gross receipt , or the income earned whichever is higher  for taxation . 

Note - If  income is less then 50 % of gross receipt , it is mandatory to have Tax- Audit  under section 44 AB and ITR 3  will  applicable to file .  . 

So in my Opinion you download excel  utility of  ITR 4 for A Y 24-25  form income tax web site and refer you will get  whole  idea  

 

 

 

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