Pls pls advice

This query is : Resolved

Richa Patel (Querist)
Follow

18 August 2012 One of my client g8s professional fees of Rs 1,19,000/- from an research institution where he does testing of medicines.He also does job for which he g8s salary of 4,50,000/-. He goes to this research institution at times left after hs job. Now d problem is that my client doesnt wants to show this income as PGBP as he says he has just got the fees bt doesnt incur any expenditure except petrol for going to that institute. And for petrol he doesnt hv any bill. He says its just providing of service.

Now is it ok if i shw this income as income from OTHER SOURCES and file ITR1?

CA VISHNU GAVKARE

CA VISHNU GAVKARE (Expert)
Follow

19 August 2012 Nature of activity has to be seen. If its part service has been provided then it has to be taxed in PGBP. as per information testing is part of client hence should be taxable in PGBP. Further TDS u/s. 194j must be detucted after which you can not show it as IFOS.