Freelancer 44ADA + GST Optimizer
Compare 44ADA presumptive taxation (50% deemed income) vs regular books. Includes GST registration threshold and liability estimate.
Freelancer Details
Tax Comparison
44ADA vs Regular Books
Within 44ADA limit. Presumptive scheme applicable.
How 44ADA Presumptive Taxation Works
44ADA Presumptive Scheme: Professionals can deem 50% of gross receipts as taxable income. No need to maintain detailed books if receipts ≤ ₹75L.
✍ Income Tax Act, 1961 — Section 44ADA
GST Registration: Service providers must register if aggregate turnover exceeds ₹20L (₹10L in special category states). Composition scheme available up to ₹1.5Cr for services.
✍ GST Act, 2017
When Regular Books Are Better: If actual expenses are more than 50% of receipts, maintaining books and showing lower actual income may reduce tax.
✍ Income Tax Act, 1961 — Section 44AA
Freelancer tax and GST depend on state, composition eligibility, and invoice records. Verify with a CA.