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Tax on app income as a side project

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vinit karan

9 Points Posted on 20 March 2023

Hi, I am working in an organisation with an annual salary of 25+ LPA. For a side income, I started app development on Play Store and Apple Store. I am earning around Rs 7-8k per month from ad revenue and Rs 2-3 k per month from in app purchase which is done by users from India as well as outside.

My question is how do I pay tax on this app income? Should I combine it with my salary while filling ITR. Also, do I need to pay GST on this. As this is a side project, I do not have any GST no.

Replies (3)

Quick Summary

This discussion addresses the tax implications of earning income from app development as a side project. The user, who has a full-time job, inquired about declaring app revenue (from ads and in-app purchases) and whether GST is applicable. The advice provided clarifies that app income should be declared under 'Income From Other Sources' in the Income Tax Return (ITR), not combined with salary. It also indicates that GST is likely not applicable based on the stated income quantum, though app stores may require a GSTIN for business accounts.