Re: Section 194D vs Presumptive income.

As per my 26as, there was an amount of 66,50,000 with a TDS Deduction of Rs 3,50,000/- under section 194D. Can I offer my Income under 44AD now?
Whether the nature of the insurance commission mentioned in Section 44 and section 194D are same?

Section 44AD is applicable to eligible business as per Explanation (b)  and  eligible assessee as per (a) .  S. 44AD (6 ) deals with the exceptions  . An Insurance Agent cannot adopt the presumptive taxation Scheme.  A person whose turnover or gross receipts exceeds Rs 2 Crore  is not eligible to adopt the benefit of   S. 44AD  of  the Act.  The Scheme has no relevance to the tax deducted at source as per 26AS . On the facts it seems the assessee is an Insurance Agent who is getting the commission , hence he is not eligible to adopt the presumptive taxation scheme of Section 44AD of the Act.

 

 

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