ITR 4

Since you are covered under medical profession which is covered under section 44ADA so technically also you should have filed income last year also under 44ADA. I guess last year there was no separate business code columns for 44AD and 44ADA and therefore you had filed income under 44AD assuming your code is covered under 44AD which was wrong. Anyways now you can file income under 44ADA and correct your mistake.

If you need any further assistance or help feel free to contact.

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Thank you.

Hi,

- Income from running a diagnostic centre is treated as business income and if the gross receipts from the centre is less than Rs.2 cr. then you can take the advantage of presumptive taxation scheme u/s 44AD.

- New for of ITR-4 for A.Y. 2019-20 has been released and you can file the ITR now.

Thanks

Hello Sir,

44AD- Applicable on business

44ADA- Applicable on professions

Since it is a diagnostics centre, the same falls under the nature of medical profession. Hence section 44ADA shall be applicable.

ITR4S has been revised and introduced as ITR4 under tax laws. You must file the tax return under 44ADA as the work constitutes professional nature.

Thanks

Damini

Sir if you file income under 44AD by showing diagnostic centre income even if you show some other business code you might receive a notice that your income is not eligible for 44AD.

There is no fixed income in any profession.

If you say your income is below 50% then you need to get your accounts audited and file income tax return.

If you need any help or consultation feel free to contact me.

Hi,

- File u/s 44AD and select other services option.

- If the total income is less than the minimum income i.e. 6%/8% of the gross receipts then you need to go for the Audit and book-keeping.

Thanks

Hi

For diagnostic center Income you can opt 44ad.

You can take any other Income as business code while filling return.

Hope it helps

Hello,

You will have to file under section 44AD as you running it as a businessman and you are not a professional.

So if your total receipts from the diagnostic centre do not exceed Rs. 2 Crores, you can file u/s. 44AD computing presumptive income at 8% / 6% of gross receipts.

I hope this answer satisfies your requirement.

Regards,

CA Hunny Badlani

In general, it is not advisable to use 44AD/ADA if there is a confusion like this. Considering the section does not give much guidance as to whether one should go for 44AD or ADA, it is advisbala not to use presumptive taxation and go for normal taxation and audit route.

Dear Sir,

Hope you are doing well !1

You should file under section 44AD.

It is a business income not a professional income.

Businesses with turnover up to Rs 2 crores can opt for presumptive taxation scheme. 

Your NET income shall be considered as 8% of your turnover (net income will be considered 6% in case of digital receipts) and you don’t have to maintain accounting records

You can file your tax return in ITR-4 .