Accounts Manager
2070 Points
Joined March 2024
Originally posted by : RAJA P M |
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Originally posted by : CA Anoop Kumar Sharma
you will go with ITR-3
Please can you give reason for above suggestion...
Why ITR 3 & Reason...??
Why not ITR 4 & reason...?? |
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Before we understand the difference between ITR-3 and ITR-4, we need to be clear about ITR-4 is for resident individuals & HUF & partnership firms that have chosen the presumptive taxation scheme under Sections 44AD, 44ADA, or 44AE, with an income of up to Rs. 50 lakhs.
Presumptive taxation for businesses is covered under Section 44AD. Businesses with a turnover of less than Rs. 2/3 crore can choose this scheme and must declare profits of 8% for non-digital transactions or 6% for digital transactions. The following businesses cannot use presumptive:
- Life insurance agents
- Commission agents
- Businesses involved in plying, hiring, or leasing goods carriages
so we need file ITR-3.