IS 44ADA AVAILABLE

For FY 20-21, I have

1. Salary Income for 8 months (TDS deducted u/s 192) &

2. Retainer Fee for 4 months (TDS deducted u/s 194JB)

3.  Interest on deposits with private (TDS deducted u/s 194A)

 

For the retainer fee, can I claim 50% under 44ADA and file my return using ITR 4.

Please suggest

Replies (15)
Quick Summary
This discussion clarifies the availability of Section 44ADA for individuals with retainer fees and other income sources for the financial year 2020-21. It confirms that retainer income can be declared under Section 44ADA, allowing for ITR 4 filing with a presumptive income of 50%. The conversation also touches upon the possibility of switching to ITR 1 in subsequent years if retainer income ceases and briefly addresses whether professional qualifications are mandatory for claiming 44ADA.

Yes you can file return u/s 44ADA
You can either opt for Sec 44ADA or declare such income as other sources income.
Agree with Rashmi Ji
If in future also you are going to get income as retainership than you can opt for 44ADA @ 50%

if it's only for this 4 month than u can show that as income from others sources

Thanks.  My retainership is actually for 12 months from Dec 20.  In FY 20-21, 4 months (Dec 20 - Mar 21) and in FY 21-22, 8 months (Apr 21 - Nov 21).  If I am filing ITR4 for fy 20-21 & 21-22, can I file under ITR 1 from 22-23 since I will not receive any retainer fee from that year.  

Yes, of course....u can

Thanks Nidhi for the clarity.

Welcome..
Is interior decorator can file return u/s 44ADA ?
Yes, he can file return u/s 44ADA
Can he show income more than 50% in return ?
Yes, he can as per his choice..
only minimum criteria are prescribed by law..i.e 50%

Is there any condition that the person claiming should be professionally qualified?

Please confirm on:

1.  Is there any condition that the person claiming should be professionally qualified for claiming under 44ADA.

2.  Has anyone filed ITR 4 (online mode) with 10IE and got it e verified. 

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