Freelancing - income in foreign currency

Manu (Developer) (25 Points)

16 July 2012  

I provide software services for foreign clients and receive payment in USD to my personal bank account.

Questions

  1. Do I need to pay Service Tax ?
  2. Do I need to get audited ? (My income is above 10 lakhs)
  3. Do I need to get IEC ?
  4. Are there any FEMA rules I need to be aware of?
  5. Will I come under section 44AD ? Will I come under section 44AD even if I establish a sole propietorship ?
  6. If I come under 44AD I need to pay just 8% of payments as tax ?