In the above mentioned circumstance, Mr Ram can go with presumptive taxation if the tax is paid on fifty% of gross receipts. Consequently, Ram can decide to pay out tax underneath the presumptive plan of taxation less than segment 44ADA.
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Whole progress tax could be compensated by very last installment of advance tax i.e., 15 March of the year, in the event of failure to take action, desire is leviable @ 1% on shortfall According to Segment 234C
In accordance with Part 44ADA, a freelancer who has picked the Presumptive Scheme is required to declare 50% of their gross income as profits. It can be feasible to report earnings as being a predetermined proportion of receipts with no keeping any accounting records.
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Whole advance tax can be paid by very last installment of progress tax i.e., 15 March of the 12 months, in the event of failure to take action, curiosity is leviable @ 1% on shortfall According to Section 234C
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In the above mentioned illustration, the overall receipt is under the revised/elevated presumptive limit of Rs. 75 lakh and also the cash receipt is under five% of the overall receipts.
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