Following are Key Pointers Relating to Section 44ADA :
Section 44ADA is a presumptive taxation scheme.
It is applicable to a resident Individual or Partnership Firm (other than LLP) engaged in the specified profession.
This scheme can be opted only if the gross receipts during the previous year do not exceed Rs. 50 lakhs.
The limit of Rs. 50 lakhs shall be increased to Rs. 75 lakhs if the amount or aggregate of the amount of cash received during the previous year does not exceed 5% of the total gross receipts of such year.
The presumptive income shall be 50% of the total gross receipts of the year from such profession.
Benefits of Opting for Presumtive Income Under Section 44ADA :
An assessee opting for this scheme shall be exempted from maintenance of books of account Exempted from getting books audited as required under Section 44AB.
Profit will be calculated simply as 50% of groos receipts / sales
100% of advance tax in a single instalment on or before March 15 of the previous year, unlike other taxpayers where advance tax is payable in four instalments, the assessee opting for this scheme can pay
The following professions are specified for this scheme:
Legal
Medical
Engineering
Architectural
Technical Consultancy
Interior decoration
Film artist
Authorized Representative
Accountancy Profession
Company secretary
Information Technology