Section 44ad or section 44ada presumptive for a freelancer (musician)

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URGENT! I am a freelance musician and a part time educator based in New Delhi. I am skeptical if I can make use of the Section 44AD/44ADA Presumptive Income Scheme of ITR 4 (formerly ITR 4S) for total income less than 10 Lacs. If yes, then will I be mentioning details as a professional (Section 44ADA) or under Section 44AD??

I already have deductions from 80C and INR 12300 refund to be claimed. I would really appreciate prompt replies on my post as the Income Tax Filing Deadline date is around the corner.

Thanks & Regards

Rythem

Replies (7)

What is the section under which TDS is deducted?

Thanks for the reply. It has been deducted under 194J as per Form 26AS on Traces. It will be mentioned under TDS2 (TDS deducted other than salary) right? Since I am not a salaried employee. I am a self employed freelance musician. Also in nature of business field under NOB BP tab, I am not sure what option to select. I have currently selected "20010 Individual artist exluding author". Pls advice if it is okay in my case. Thanks!

Yes, you can select the code..... may file ITR4_SUGAM..   under section 44ADA ...

Okay thank you very much! One last question, I had filed ITR 3 last year (formerly ITR 4) under no accounts maintained sections for both P&L and Balance Sheet. The total income was 5,00,000-10,00,000. TDS was deducted under the same section 194J.

Can I file ITR 4 (ITR 4S) this time (income again 5,00,000-10,00,000) and avail benefits of Section 44 ADA? 

ITR3 with 'no books of accounts' is applicable only when assessee declares income under presumptive scheme, and the same is purpose of ITR4....... both are one and same for any income declaration u/s. 44ADA ....

Okay sir! Thank you. Cleared my doubt.

Just to cross check, under financial particulars, I have put sundry creditors, sundry debtors and inventories as 0. Filled up the final bank balance before the start of next FY in Balance with banks field and the amount of cash I have at home in cash balance field. Hope that is okay.

Will get through...... without any objection .......


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