Please help me out in with suggestions as to what to do in the following scenario?
1) An established engineer by profession employed with a firm drawing remuneration as professional fees. He takes classes in his area of expertise occasionally for engineering students and fresh pass-outs . Should he submit the remuneration received for this purpose under the same section 44 ADA which he uses for his regular remuneration from the firm or should he show this as "income from other sources"?
A college teacher taking tuition classes would show tuition income as "income from other sources(IFOS)" as far as i know. Is the case of a professional any different?
Obviously if the engineer shows this additional remuneration as part of 44 ADA, then he can deduct a lot of expenses. But which is correct? 44 ADA/income from other sources or EITHER (as it pleases the engineer)?
2)If i am paying on someone's behalf to this person for the tuition classes taken by him (i am not his regular employer...but simply paying him at a mutually agreed rate....as we pay to the tuition teachers for our school going children). If my payment is significant, under which section should i cut TDS? Will 194J suffice? or should it be any other section?
3)If i pay via 194J and he shows it as "income from other sources", does it lead to a mismatch?
4)Is the case of a doctor conducting CME(continuing medical education) any different? Is the remuneration from CME IFOS or does it come under 194J?
CAclubindia
