Latest Query & Reply

My client is Running health Laboratory. Has he filed his return under section 44ADA of the income tax act 1961?

Reply

The section 44ADA of income tax is a Special provision for computing profits and gains of profession on presumptive basis.

And the professionals are referred in section 44AA(1) of income tax act— Every person carrying on legal, medical, engineering or architectural profession or the profession of accountancy or technical consultancy or interior decoration or any other profession as is notified by the Board in the Official Gazette.

Though medical profession is covered under section 44ADA, but it does not cover business of running Health Laboratory. Therefore, 44ADA is not applicable in this case.