I am trading digital wall paper with charge labor charge for installation my question is digital wallpaper is falling business or professional which section coming to picture under section 44Ad or ADA please guide me
thank you for updates
Replies (3)
Quick Summary
This discussion clarifies whether a digital wallpaper trading and installation business falls under Section 44AD or 44ADA of the Income Tax Act. The consensus suggests that if the activity is considered akin to advertising banner erection, Section 44AD is more appropriate. Section 44ADA is generally for specific eligible professions, and digital wallpaper installation might not fit this category unless it's part of interior decoration.
Professionals engaged in the following professions are eligible:
Interior decorations
Technical consulting
Engineering
Accounting
Legal
Medical
Architecture
Other professionals, as mentioned below:
a. Movie artists includes a producer, editor, actor, director, music director, art director, dance director, cameraman, singer, lyricist, story writer, screenplay or dialogue writer and costume designers
b. Authorised representative means a person who represents another person for a fee before a tribunal or any authority constituted under any law. It does not include an employee of the person so represented or a person who is carrying on the profession of accountancy
If your gross receipt is below 50lakhs and you fall under any profession mentioned above you can file 44ada.
Else you can file 44AD. If 44AD is selected you have to continue for 5 years