Legal profession business code in section 44ADA

For legal professionals filing ITR-4 under Section 44ADA, the correct nature of business/profession code to select is 07005.

Legal profession (advocates) is eligible for Section 44ADA. Here is the specific detail.

Qualification: Section 44ADA covers professionals listed under Section 44AA(1). Legal profession is one of the listed professions. So advocates, lawyers, and legal consultants with gross receipts up to Rs 75 lakh (or Rs 37.5 lakh for new/younger practitioners) in FY 2025-26 can use 44ADA.

Business code to enter in ITR:
- ITR-4: In Schedule BP, under Section 44ADA, select code 16019 (Legal activities).
- ITR-2 (if you have capital gains or other income and need ITR-2 instead of ITR-4): Not applicable ,  ITR-2 does not have a 44ADA schedule. If you have only professional income and no capital gains, ITR-4 is the correct form.

Presumptive income: Declare 50% of your gross receipts as net income (or actual income if higher). Maintain a record of total receipts only ,  no books of accounts required under 44ADA.

Note: If you received income from multiple clients and your total exceeds Rs 75 lakh, you cannot use 44ADA and must maintain full accounts under Section 44AA.

This [ITR filing guide for professionals](https://taxgarden.in/blog/freelancer-consultant-income-tax-filing-guide-india-ay-2026-27) covers Section 44ADA eligibility, business codes, and ITR form selection for FY 2025-26.