Hi
one of my friend is a driver. he receives his income through driving in the MNC's carrying employees from office to home and vice versavand he has been deducted tax under 194 c at 1% on the amount. he has no other income. could you please let me know how the total income will be taxed? at the normal slab rate for individual or is there any provision for him under business income. I have tried section 44AE but is only ofr goods carraiges. pls advice
Regards
Badri
He may show his receipts as business income arising from providing driver services. He can also deduct incidental expenses. Thereafter, his income would be chargeable to tax at normal slab rate of individuals. You are right that Section 44AE is not applicable because that is for owners of goods carriages who provide tranportation services.
Naveen Fintech Pvt Ltd
Kolkata
CA Inter
View Details
Gupta Sachdeva & Co. Chartered Accountants
New Delhi
CA Final
View Details
CAclubindia
