Go Ad-Free on CAclubindia with Daily Mobile Updates. Subscribe Now!

44AD return

05 August 2020

44AD usually filed in ITR 4. But ITR3 also has coumns for 44AD in schedule BP. Then what is the difference filing in ITR3 and ITR4? Learned and experienced kindly comment

Reply
Follow
Share

5 Replies

Akhil (Student CA ) (1005 Points)
Replied 05 August 2020

If u hv only 44ad income then itr4
and if u hv 44ad and c.gains u can go for itr3....

Upgrade to CAclubindia Pro. Subscribe Now!

Raghavendra Kamath (169 Points)
Replied 05 August 2020

Can't we choose itr3 instead of itr4 in absence of capital gains?

Akhil (Student CA ) (1005 Points)
Replied 05 August 2020

If u hv only 44ad income and agri income being less than 5000(if any) and other sourcces income(if any) and house property in come (if any).....then u can go by itr4...

Sagar Patel (Tax and Business Consultant) (11611 Points)
Replied 05 August 2020

Normally ITR 4 is used by Individuals, HUFs and Firms (other than LLP) to disclose income under sections 44AD, 44ADA or 44AE presumptive Taxation.

but ITR 4 can Not be used by an Individual who is either Director in a company or has invested in Unlisted Equity Shares.

So, above mentioned person (director and having investment in unlisted shares) having a propritership firm, who want to disclose his business income under 44AD ect. than that person is required to file form ITR 3.

sukhwani keyur (588 Points)
Replied 06 August 2020

You can file ITR 3 instead of ITR 4 if you are showing income on presumptive basis i.e. minimum 8% and maintaining books of accounts. If not maintaining books of accounts then file ITR 4.