Presumptive tax for individual business

Shanthi (Junior Student) (226 Points)

24 July 2023  

Dear All,

https://incometaxindia.gov.in/Booklets%20%20Pamphlets/15-presumptive-taxation.pdf

My client's nature of business is software consultancy and his clients are mostly abroad. So software exports category. He is doing it under individual current account.

He intends to change to presumptive taxation from assessment year 2024-2025

I wish to please confirm the following

1) So he will come under 44ADA or 44AD?  

2) Since all his receipts are through bank only, his tax will be 6% or 8% of gross receipts?

3) So on or before 15th March 2024 he has to remit the entire tax liability as advance tax?

4) Also is there any minimum income limit under 44ADA or 44AD?

Apart from the above  any other precautions my client has to take this year now or any other missing steps?

As usual THANKS A LOT

Shanthi