Insurance commission

File ITR 3

1. Commission income from insurance will be taxable under the head Profits and gains from a business or profession (PGBP) 
2. Insurance commission business will be a profession and it is not covered under the eligible business contemplated u/s 44AA and presumptive taxation scheme u/s 44ADA cannot be availed.
3. Hence it should be computed as normal professional income and since the commission income exceeds Rs. 60,000 no benefits of ad hoc deductions will be available against such income. Expenses incurred to earn the above income will be allowed as deductions. It is important to maintain proper books relating to receipts and expenses of the above profession in order to arrive at an actual profit. 
4. Some of the conditions for claiming the expenses are,
i) It should have been incurred for the profession 
ii) It should not be in the nature of capital expenditure 
iii) It should not be in the nature of personal expenditure 
iv) Expenses should have actually been incurred and no provision will be allowed. 
5. Coming to filing return, ITR 3 shall be used as ITR 4 will be for assessee availing presumptive taxation scheme u/s 44AD, 44ADA, and sec 44AE.  Insurance commission business will not be eligible for the above schemes hence ITR 3 shall be filed. 
Please correct me if the above solution has an alternative view. 

TNX TO ALL FOR THE TIMELY REPLY N CLARIFICATION.