Return filing for income u/s 194j

1. Yes....... expenses incurred for the generation of the income are deductible.

2. ITR 3....... or for eligible profession ITR 4

Thank you Sir.

One more question- Can the return be filed in ITR-4 under the provision of Sec 44ADA.

The assesse is an engineer, working in a company. But the company is not treating the payments made to him as salary. Rather it has  shown the payments made to him as consultancy fee and deducted TDS u/s 194J @ 10%.

Yes, Engineers can declare their consulting fees under section 44ADA.

Thank you for the reply

ITR 3 can be used in two different options......... With accounts maintained or without accounts as under presumptive assessment.

For you, when you adopt section 44ADA........ no need to fill BS & P&L account in full, but only Sr. 6 of BS & sr. no. 53 a,b..... of P & L acc.

Here gross receipts and gross profits are to be filled as actual, while nett profit u/s. 44ADA should not be less than 50% of GR.

Choose option  'NO' for applicability of tax audit u/s. 44AB and of maintaining of accounts as per sect. 44AA.......... in 'General' Schedule

Check ................. as extracted from the ITR 3 ...............

(b) If revised/Defective/Modified, then enter Receipt No.   and Date of filing original return   DD/MM/YYYY)   / /

(c) If filed, in response to a notice u/s 139(9)/142(1)/148/153A/153C enter date of such notice, or u/s 92CD enter date of advance pricing agreement  / /

(d) Residential Status (Tick)  o Resident o Non-Resident o Resident but Not Ordinarily Resident

(e) Whether any transaction has been made with a person located in a jurisdiction notified u/s 94A of the Act? o Yes o  No

(f) Are you governed by Portuguese Civil Code as per section 5A? Tick) þ o Yes o No (If “YES” please fill Schedule 5A)

(g) Whether this return is being filed by a representative assessee? (Tick) þ o Yes o No If yes, furnish following information -

(1) Name of the representative

(2) Address of the representative

(3) Permanent Account Number (PAN) of the representative

(h) In case of non-resident, is there a permanent establishment (PE) in India? (Tick) þ o Yes  o  No

AUDIT INFORMATION

(a) Are you liable to maintain accounts as per section 44AA? (Tick) þ o Yes o No

(b) Are you liable for audit under section 44AB? (Tick) þ o Yes o No

(c) If (b) is Yes, whether the accounts have been audited by an accountant? (Tick) þ o Yes o No

If Yes, furnish the following information below

(1) Date of furnishing of the audit report (DD/MM/YYYY) / /

I am working as recovery agent for banks and filed my itr for the ay 17-18 under section 44ad, but received a communication from cpc that as my 26as showing tds u/s 94j (prof & tech services) hence have to file this itr u/s 44ada and to show 50% else go for tax audit.

is it ok or I may file my revise itr in form 3 with balance sheet or any other way.

any suggession pls.

Everything is based on business code........ even though TDS may be deducted u/s. 194J.

Now if 50% margin acceptable, without much tax liability, than accept the change......

Or disagree the changes (based on your code), may be by revising it with ITR 3.