Which ITR to file when we Salary and Business receipts in AIS?

File ITR 4 which is as good as ITR 1. & declare the profession income u/s. 44ADA of the act.

Thanks, Mr. Dhirajlal. I tried filing ITR-1 and found that the TDS deducted by the firm that paid me is coming under income from other sources (prefilled). So if I add my income from the same firm as other income, will that be okay? This was a one-time professional fee. 

If its one time, you can continue as suggested. Under TDS column you may have modify the entry as income declared in 'OS'

Thanks, that was super helpful.

When you have both salary income and business receipts showing in AIS, the ITR form depends on the nature of the business income.

If the receipts are professional fees (freelance, consulting, commission) or business under presumptive taxation (Section 44AD or 44ADA), you should file ITR-4 (Sugam). The turnover limit under Section 44ADA for professionals is 75 lakh; under Section 44AD for business it is 3 crore (for businesses with over 95 percent digital transactions).

If the business income requires maintaining proper books (turnover above presumptive limits, or you opted out of the presumptive scheme in an earlier year), you need ITR-3.

ITR-1 is not available once you have any business or profession income, even if the amount is small.

One practical check: if the AIS shows business receipts but they are actually professional fee payments under Section 194J from the same employer, verify whether TDS was under 192 or 194J. That changes both the ITR form and how income is computed.

This [guide on which ITR form applies for AY 2026-27](https://taxgarden.in/blog/which-itr-form-ay-2026-27-key-changes) covers all the combinations including salary with side business income.