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Section 44ad

CA Reshmi Greeting Kumar (Tax Consultant) (58 Points)

29 March 2016

Can I use ITR 4S for a client who has income from commission and brokerage from insurance and mutual funds ( he is a financial consultant). He also earns interest on FD. Gross total income is below taxable limit.

Does 8% limit applies to him.

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9 Replies

Tribhuvan Aditya Singh (Student as well as Self-employed) (3710 Points)
Replied 29 March 2016

i will suggest you to file itr 4 in this case. fill the details in "no account case" but dont declare this income under 44ad. other views are also welcome.

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shalini (CA) (525 Points)
Replied 29 March 2016

As far as I know, 44 AD doesnot apply to professionals this year and financial consultant will come under the category of professionals. Experts please confirm this.

Amit Tiwary (SERVICE) (39 Points)
Replied 29 March 2016

You may probably see the Tax implication in both the cases I.e. 44 ad or or the one suggested by aditya above and may go with the option which is more beneficial to assessee.

Amit Tiwary (SERVICE) (39 Points)
Replied 29 March 2016

You may probably see the Tax implication in both the cases I.e. 44 ad or or the one suggested by aditya above and may go with the option which is more beneficial to assessee.

Azar Shaikh (proprietor) (23 Points)
Replied 30 March 2016

U can go with itr 2 for income from insurance agency

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manoj (student) (5205 Points)
Replied 30 March 2016

In my View Go for ITR -4 There is column in ITR-4 Commission from Insurance

and you can also choose Profession without Books of Accounts

pushkraj (CA) (21 Points)
Replied 30 March 2016

refer to Section 44AD(6)(ii) for answer to your query.

sachin (CA Practice ) (34 Points)
Replied 30 March 2016

you shoud file itr 4 because commission and brokerage are not inculded in section 44ad

professional shoud file ITR 4

CA Gaurav Ajit Potdar (Chartered Accountant) (846 Points)
Replied 30 March 2016

You cannot avail the Benifit of Sec 44AD. Abstract of the section is provided for your reference below., you are advised to file ITR 4. also check the provisions of 44AA for maintenance of books of accounts.

The provisions of section 44AD can be adopted by the eligible assessees who is engaged in any business (except the business of plying, hiring or leasing of goods carriages referred to in section 44AE and except by the assessees who is engaged in any profession as prescribed under section 44AA or is running agency business or is earning income in the nature of commission or brokerage).