| Question And Answer | |
|---|---|
| Subject: | Income tax clarification under “Profits & Gains from Business and Professions” |
| Category: | Income-Tax |
| Querist: | Samiran Banerjee |
| Answered by: | Advocate Shashi Ashok Bekal |
| Tags: | business income, profits chargeable to tax, return of income |
| Date: | August 1, 2023 |
Regularly, I follow your website’s “Questions & Answers” blog and benefitted a lot which is knowledge-enhancing.
I am a salaried person. If I do also freelance work in Animation & Graphic Designing for 2-3 months only during a FY not as a “Professional” but as an Amateur and earn around 1,00,000/-. If my client also deducts TDS from my Fees payments u/s. 194J and remitted to the IT deptt.
Kindly clarify the following points :-
- Whether my receipts from freelancing comes under “Specified Professions” u/s. 44AA ?
- Which ITR form should I file, ITR-3 or ITR-4 ?
- What will be the current Business or Profession Code for ITR Filing as per IT Act ?
The income is taxable and should be offered to tax as Business Income. The Assessee is at liberty to offer the net profits from the Business or avail the deeming provision to determine business income.
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