Presumptive tax for professionals
Section 44ADA lets specified professionals declare 50% of gross receipts as taxable income when gross receipts ≤ ₹50 lakh (verify current threshold).
No full books required if eligible — file ITR-4 (Sugam) typically.
Who qualifies
Doctors, lawyers, accountants, engineers, architects, consultants, and other notified professions — see current ITD list.
Receipts vs cash
Gross receipts include all professional income — not just bank credits. AIS may show 194J TDS from clients — reconcile.
When 44ADA does not fit
- Receipts above threshold
- Opting out of presumptive scheme
- Mixed business (not profession) — may need 44AD or regular books
Advance tax
Even on presumptive income, [advance tax](/glossary/advance-self-assessment-tax) may apply if liability exceeds ₹10,000 — pay instalments or self-assessment before filing.
Salaried + freelance
Side consulting with salary → often ITR-3 or ITR-4 depending on structure — not ITR-1. See ITR form guide.
Glossary
Presumptive profession income u/s 44ADA — engine field label explained.