Maintaining detailed books of account, getting them audited, and then filing an ITR-3 with a profit and loss statement is the default obligation for anyone running a business or profession in India. For a solo consultant billing ₹40 lakhs a year, that compliance stack is disproportionate. Sections 44AD and 44ADA of the Income Tax Act, 1961 exist precisely to fix that: they let eligible small businesses and professionals skip books entirely, declare income at a prescribed rate, and file ITR-4 (Sugam). The scheme sounds simple, and for most people it is. But the opt-out rules, the five-year lock-in, the depreciation trap, and the new Income Tax Act 2025 restructuring create enough complexity that a wrong call at filing time can cost you more than you saved on compliance.
What is the presumptive rate of profit under Section 44AD for a business?
Under Section 44AD of the Income Tax Act, 1961, an eligible small business declares 8% of turnover as taxable profit. If at least 95% of receipts are through banking or digital modes, the rate drops to 6%. No further expense deductions or depreciation claims are permitted. The scheme is available to resident individuals, resident HUFs, and resident partnership firms (not LLPs) with turnover up to ₹2 crores, or up to ₹3 crores where cash receipts are below 5% of total receipts.
Section 44AD: presumptive taxation for small businesses
Section 44AD covers resident individuals, Hindu Undivided Families (HUFs), and resident partnership firms (excluding Limited Liability Partnerships) engaged in any eligible business. The core mechanics are straightforward: instead of computing profit as turnover minus actual expenses, you declare a fixed percentage of turnover and that is your taxable income.
The rate structure for FY 2026-27 (AY 2027-28)
The standard presumptive rate is 8% of total turnover or gross receipts. The reduced rate of 6% applies when the turnover received by account payee cheque, account payee bank draft, electronic clearing system, UPI, NEFT, RTGS, or any other prescribed digital mode does not exceed 5% of total receipts in cash during the year. Importantly, the 6% rate also applies to amounts received digitally by 31 July of the following year (the due date for filing under Section 139(1)).
Turnover thresholds
| Condition | Turnover limit |
|---|---|
| Default (any mix of cash and digital receipts) | ₹2 crores |
| Cash receipts below 5% of total receipts | ₹3 crores |
The enhanced ₹3 crore threshold was introduced by the Finance Act 2023 and applies from AY 2024-25 onwards. Receipts by non-account-payee cheque or non-account-payee bank draft are treated as cash for this purpose.
Who is excluded from Section 44AD?
The exclusions matter as much as the eligibility. Section 44AD does not cover:
- Businesses of plying, hiring, or leasing goods carriages (covered by Section 44AE instead)
- Agency businesses
- Income in the nature of commission or brokerage (insurance agents, for example, are explicitly excluded)
- Professions listed under Section 44AA(1), which are covered under Section 44ADA
- Non-resident individuals and entities
- LLPs (Limited Liability Partnerships)
- Persons who have claimed deductions under Sections 10A, 10AA, 10B, 10BA, or 80HH to 80RRB in the same year
This last point often surprises founders in SEZ units or startups claiming specific income-linked deductions. You cannot run both.
What deductions are you giving up?
When you opt for Section 44AD, the presumptive income is the final taxable income. No further expense deductions are permitted: no rent, no salaries, no depreciation, no loan interest. The Act treats the presumptive income as inclusive of all allowances and disallowances under Sections 28 to 43C.
There is one wrinkle on depreciation: while you cannot claim it as a deduction, the written-down value (WDV) of your assets continues to be reduced as if depreciation under Section 32 was claimed. This means when you eventually sell a business asset, the capital gains computation will reflect a lower cost base, creating a tax on notional depreciation you never actually deducted. Founders who acquire significant business assets should model this carefully before opting in.
Thinking about whether your business structure is set up correctly for tax efficiency? Read our article on choosing between sole proprietorship, partnership, and LLP for your business before you make the presumptive scheme decision.
Section 44ADA: presumptive taxation for specified professionals
Section 44ADA applies to resident individuals and resident partnership firms (again, not LLPs) engaged in specified professions. The rate is 50% of gross receipts: declare half your billings as profit, pay tax on that, and you are done.
Which professions qualify?
The specified professions under Section 44AA(1), which Section 44ADA maps to, are:
- Legal
- Medical
- Engineering or architectural
- Accountancy
- Technical consultancy
- Interior decoration
- Any other profession as notified by the Central Board of Direct Taxes (CBDT)
CBDT has separately notified film artists (producers, directors, actors, editors, cameramen, music directors, singers, lyricists, screenplay writers) and authorised representatives appearing before tribunals for a fee.
Software developers and IT consultants often ask where they fall. Multiple Income Tax Appellate Tribunal (ITAT) decisions and CBDT positions have confirmed that software development and IT consulting qualify as “technical consultancy” for Section 44ADA purposes. The grey area is IT staffing or outsourcing agencies that hire and deploy developers: those are more likely treated as business income under Section 44AD.
Content writers, digital marketers, and graphic designers occupy uncertain ground. CBDT has not notified these categories, and the characterisation turns on whether the work is professional-services-in-nature or execution-type. Multiple practitioners have seen notices where the Assessing Officer has contested 44ADA eligibility for non-listed categories. If your profession is not in the list above and has not been notified, verify with a tax advisor before opting in.
Turnover thresholds for Section 44ADA
| Condition | Gross receipts limit |
|---|---|
| Default (any mix of cash and digital) | ₹50 lakhs |
| Cash receipts below 5% of total receipts | ₹75 lakhs |
The enhanced ₹75 lakh limit was introduced by the Finance Act 2023, effective AY 2024-25 onwards.
What deductions do you lose under Section 44ADA?
The same logic applies: 50% is the final income and no further deductions are allowed. Rent, staff costs, software subscriptions, professional development, equipment, depreciation, all of it is deemed covered by the 50% that you are not being taxed on. The WDV trap on asset disposal applies here as well.
How Section 44AD and 44ADA compare: a decision table
Key parameters: 44AD vs 44ADA
| Parameter | Section 44AD (business) | Section 44ADA (profession) |
|---|---|---|
| Eligible entities | Individual, HUF, partnership (not LLP) | Individual, partnership (not LLP) |
| Gross receipts limit | ₹2 Cr (₹3 Cr if <5% cash) | ₹50 L (₹75 L if <5% cash) |
| Presumptive rate | 6% digital / 8% cash | 50% of gross receipts |
| Books of account | Not required | Not required |
| Tax audit (Section 44AB) | Not required if in scheme | Not required if in scheme |
| ITR form | ITR-4 (Sugam) | ITR-4 (Sugam) |
| Advance tax instalment | Single instalment by 15 March | Single instalment by 15 March |
| 5-year lock-in if you opt out | Yes (via Section 44AD(4)) | No. Exit and re-enter annually without restriction |
When does the presumptive rate save you money, and when does it cost you?
Most articles stop at eligibility. This is where the decision actually lives.
Should I opt for Section 44AD?
Section 44AD works in your favour when your actual profit margin is above the prescribed rate. If you are running a digital-first business with receipts through UPI and your actual margin is 25%, you pay tax on only 6% of turnover. That is a significant saving.
The scheme starts hurting when your actual margins are thin. A retail shop with ₹1.8 crores in turnover and an actual profit of ₹6 lakhs (a 3.3% margin) would pay tax on 6% of ₹1.8 crores (₹10.8 lakhs) under Section 44AD rather than on ₹6 lakhs. Tax audit fees are real, but paying tax on profit you never made is worse.
Rule of thumb for 44AD: if your actual net margin will stay above 6% (digital) for at least five consecutive years, the scheme likely works for you. Below that threshold, regular books are cheaper. The five-year horizon matters because of the lock-in.
Should I opt for Section 44ADA?
A solo consultant or freelancer with limited expenses is the ideal candidate. If your gross receipts are ₹40 lakhs and your actual expenses (laptop, internet, software, co-working) are ₹6 lakhs (15%), your actual profit is ₹34 lakhs. Under Section 44ADA you declare ₹20 lakhs (50%) as income. The ₹14 lakhs difference is tax-free under the scheme.
The scheme reverses on high-overhead professionals. A doctor running a clinic with rent, staff salaries, equipment depreciation, insurance, and supplies may have actual margins of 30-40%. Under Section 44ADA, they declare 50% of receipts as income and pay tax on 10-20% of receipts they never earned as profit. For those professionals, actual-expense accounting with a tax audit is the right call even though it costs more in compliance.
Break-even question for 44ADA: are your actual expenses less than 50% of gross receipts? If yes, the scheme saves money. If no, it overestimates your income.
The five-year lock-in: the most expensive presumptive mistake
For Section 44AD businesses, this is the rule most people miss, and it is punishing. Section 44ADA professionals, read this section anyway: you get flexibility that business filers do not, and understanding the contrast is what helps you appreciate that advantage.
Under Section 44AD(4), if you opt into the presumptive scheme and then opt out in any subsequent year, you cannot opt back into Section 44AD for the next five Assessment Years. Worse, during those five years, if your total income exceeds the basic exemption limit, you become liable for a mandatory tax audit under Section 44AB. Audit fees, CA engagement, books of account: the full compliance burden kicks in.
The rule fires when you declare income below the prescribed presumptive rate, not merely when your turnover exceeds the threshold. So if you are inside the turnover limit but choose to declare actual lower profits (because your real margin is thin), the five-year bar applies.
Section 44ADA is meaningfully different here. There is no five-year lock-in for professionals. A professional can opt into 44ADA in one year, exit and file under regular provisions the following year, and return to 44ADA in the year after that, without restriction. This annual flexibility is a genuine advantage of 44ADA over 44AD and is often misunderstood. What does apply is the familiar audit trigger: if a professional declares income below 50% of gross receipts and their total income exceeds the basic exemption limit, Section 44AB mandates a tax audit for that year. But that is a one-year consequence, not a multi-year bar.
The practical implication for 44AD business filers: if your revenue is seasonal or if you anticipate a bad year where your real profits will fall below the prescribed rate, think carefully before opting in. One dip forces you into full compliance for five years. The decision is not just about this year’s tax bill.
Section 44ADA professionals have no such constraint. A consultant who sees a high-expense year coming, clients drying up, or a decision to invest in equipment can simply exit the scheme that year, file under regular provisions with actual expense deduction, and return to 44ADA the following year. This flexibility is not well-known and is one of the most underused structural advantages of the professional scheme.
Advance tax: the cash flow advantage
Both Section 44AD and Section 44ADA give you a meaningful advance tax simplification that is rarely discussed.
Under the standard advance tax regime, taxpayers make four instalments: 15% by 15 June, 45% by 15 September, 75% by 15 December, and 100% by 15 March. Miss any instalment and you attract interest under Section 234C.
Presumptive taxpayers under both schemes are required to pay the entire advance tax liability in a single instalment, due by 15 March of the financial year. There is no penalty under Section 234C for not making the September or December instalments. (Section 234B interest for not paying any advance tax at all still applies if your tax liability exceeds ₹10,000.)
For businesses and professionals with seasonal billing patterns, this is a genuine cash flow benefit. You know your full-year numbers by February, you pay once in March, and you avoid the guesswork of quarterly instalments.
Books of account, ITR forms, and the audit exemption
When you are inside the scheme and declare income at or above the prescribed rate:
- Section 44AA’s requirement to maintain books of account does not apply for the income covered under the presumptive scheme
- Section 44AB’s tax audit requirement does not apply
- File ITR-4 (Sugam): this is a simplified return form designed for presumptive filers
- Due date for ITR-4 (non-audit): 31 July of the Assessment Year
If you opt out of the scheme and need to maintain books, switch to ITR-3, which requires a Profit and Loss account and Balance Sheet. If a tax audit is triggered, the due date extends to 31 October.
One nuance: the exemption from books applies only to the income covered under the presumptive scheme. If you have other business income or mixed income sources, you may still need to maintain records for those components.
The Income Tax Act 2025 restructuring: what changes from April 2026
The Income Tax Act, 2025 came into effect on 01/04/2026 and represents a structural reorganisation of Indian tax law, not a substantive policy overhaul for presumptive taxation. The three separate sections (44AD, 44ADA, 44AE) have been consolidated into a single Section 58 under the new Act, using a serial number system within the section to distinguish between general business, transport business, and specified professions.
The substance is unchanged. For FY 2026-27 (Tax Year 2026-27 in the new Act’s terminology), the thresholds, rates, and conditions carry forward exactly as they existed under the 1961 Act. The CBDT has confirmed that no fresh election or re-filing is required. If you have been filing under 44AD or 44ADA and continue to meet the conditions, your opt-in status and lock-in calculations are unaffected.
The new Act also replaces the “Previous Year” and “Assessment Year” terminology with “Tax Year” for the year of income. For this article’s purposes, FY 2026-27 equals Tax Year 2026-27, and AY 2027-28 is the year of assessment.
Which tax regime works better with presumptive taxation?
Presumptive taxation under Section 44AD or 44ADA is available under both the old and new tax regimes. The scheme determines your business or professional income. The regime you choose governs the slab rates and what other deductions you can claim on top.
Old tax regime: After computing presumptive income, you can still claim Chapter VI-A deductions including Section 80C (PPF, ELSS, LIC, home loan principal, up to ₹1.5 lakhs), Section 80D (health insurance, up to ₹25,000 or ₹50,000 for senior citizens), Section 80CCD(1B) (additional NPS contribution, up to ₹50,000), Section 80G (charitable donations), and Section 24(b) (home loan interest, which is deducted as income from house property, not from business income, and continues to be available regardless of regime). If your 80C and 80D deductions are significant, the old regime can still produce a lower total tax than the new regime even at the same presumptive income level.
New tax regime: Most Chapter VI-A deductions are unavailable. However, the Budget 2025 enhanced the Section 87A rebate under the new regime to ₹60,000, making income up to ₹12 lakhs effectively tax-free for resident individuals. This is where the interaction with presumptive taxation becomes powerful.
What is the zero-tax planning threshold under 44ADA in the new regime?
A professional under Section 44ADA with gross receipts up to ₹24 lakhs in a year declares 50% (₹12 lakhs) as taxable income. Under the new tax regime, the Section 87A rebate eliminates the entire tax liability on income up to ₹12 lakhs. Result: zero income tax, no books of account, no audit, single advance tax instalment. For an early-career consultant or part-time professional, this is an exceptionally clean outcome.
Under Section 44AD, a digital-receipts business (6% rate) with turnover up to ₹2 crores declares 6% as income. For turnover of ₹2 crores, deemed income is ₹12 lakhs, which is again zero-tax under the new regime’s 87A rebate. A retail business with ₹1.5 crore in entirely digital turnover and low actual margins can effectively pay zero income tax under this combination while staying well within the turnover threshold.
The break-even between regimes for a 44ADA professional
| Gross receipts | Presumptive income (50%) | New regime tax (post 87A) | Old regime after 80C/80D (illustrative) |
|---|---|---|---|
| ₹20 lakhs | ₹10 lakhs | Nil (under ₹12L threshold) | Nil (under ₹5L after deductions) |
| ₹24 lakhs | ₹12 lakhs | Nil (at rebate limit) | ~₹18,000 (old regime slabs) |
| ₹30 lakhs | ₹15 lakhs | ~₹45,000 (new) | Depends on deductions claimed |
| ₹50 lakhs | ₹25 lakhs | ~₹1.95 lakhs (new) | Compare old regime with 80C/80D stack |
At ₹24 lakhs and below, the new regime almost always wins because the 87A rebate eliminates tax entirely. Above ₹30 lakhs in presumptive income, the comparison depends on how much you invest in PPF, NPS, health insurance, and home loans. Run both scenarios before filing.
One caveat: the Section 87A rebate does not apply to income taxed at special rates, including short-term capital gains under Section 111A or long-term capital gains under Section 112A. If you have both presumptive income and equity capital gains in the same year, the rebate math changes.
GST and TDS: the compliance layer presumptive taxpayers still carry
Opting for presumptive taxation under Section 44AD or 44ADA does not reduce your GST or TDS obligations.
GST: If your aggregate annual turnover exceeds ₹20 lakhs (₹10 lakhs in special-category states including the North-East states and Sikkim), GST registration is mandatory. Professional services attract GST at 18%. Once registered, you file GSTR-1 and GSTR-3B monthly or quarterly (under the QRMP scheme if turnover is below ₹5 crores) and charge GST on invoices to Indian clients. Export of services to foreign clients qualifies as zero-rated supply under the Integrated Goods and Services Tax (IGST) Act, 2017, provided you hold a Letter of Undertaking (LUT) and the foreign exchange is received within the prescribed timeline.
TDS under Section 194J: If your clients are companies or firms, they deduct TDS at 10% (professional fees) or 2% (technical services, narrowly construed) before paying you. The TDS shows up in your Form 26AS and is credited against your final tax liability at the time of filing. The income declared under 44ADA must be reconciled with Form 26AS to avoid mismatches that trigger processing errors or scrutiny.
Keep basic invoice registers, bank statements, and Form 26AS downloads even if you are not legally required to maintain full books. They protect you during scrutiny and are the only way to verify that clients have deposited TDS correctly on your behalf.
Common mistakes that cost money and invite notices
Based on what the Treelife tax team sees in live engagements, these are the errors that come up most often.
1. Choosing 44AD when actual margins are below the deemed rate. Retailers, traders, and distributors with thin margins often opt into the scheme because it looks simple, then pay tax on profit they never earned. Model your actual margin against the deemed rate before opting in.
2. Declaring income below the presumptive rate under 44AD without understanding the five-year consequence. Many founders think opting out one year is harmless. Under Section 44AD, it is not. One year below the threshold triggers the five-year lock-out from the scheme and mandatory audit obligations. Professionals under 44ADA do not have this problem: they can exit and re-enter annually.
3. Assuming a professional with incidental business income can use 44AD for that business. Section 44AD(6) explicitly bars a person carrying on a profession listed under Section 44AA(1) from opting for 44AD, even for a separate business activity run under the same PAN. A doctor running a pharmacy cannot use 44AD for the pharmacy business. The restriction applies to the person, not just the professional income stream. The solution is either to run the business through a separate entity (family member, firm with distinct PAN) or to compute pharmacy income on a regular expense basis.
4. Claiming 44ADA for a profession that is not notified. Digital marketers, content writers, and some tech freelancers assume they qualify because they are professionals. The eligibility list is specific. Incorrect claims lead to defective return notices (Section 139(9)), reassessment, and potential interest under Sections 234A and 234B.
5. Forgetting the WDV depreciation trap. Under the scheme, you cannot claim depreciation as a deduction. However, the WDV of assets continues to reduce as if depreciation was claimed. When you sell a depreciable asset, the capital gain is computed on a lower cost base, creating tax on notional depreciation you never deducted. Founders who invest heavily in equipment, vehicles, or computers inside an eligible business should model the eventual disposal.
6. Not comparing old vs new tax regime before filing. For a 44ADA professional with gross receipts of ₹24 lakhs, the new regime with Section 87A rebate produces zero tax. For one at ₹45 lakhs with a home loan and NPS contributions, the old regime may cost less. The regime choice is independent of the presumptive scheme choice and the two interact. Filing without running both scenarios leaves money on the table.
7. Mixing income streams and assuming the scheme covers everything. If you have both presumptive business income and another income stream (capital gains, rent, salary from a board role), you cannot file ITR-4 for the mixed return in many cases. Get the ITR form selection right: ITR-4 for pure presumptive filers, ITR-3 for mixed income or opt-out cases.
FAQs
Q: Can an LLP opt for presumptive taxation under Section 44AD or 44ADA?
A: No. Both Sections 44AD and 44ADA explicitly exclude Limited Liability Partnerships. LLPs are governed by the Limited Liability Partnership Act, 2008, and are treated as a separate category under the Income Tax Act. Only resident individuals, HUFs, and partnership firms (traditional, registered under the Partnership Act, 1932) are eligible.
Q: What happens if my turnover crosses the ₹3 crore limit in the middle of the year?
A: The limit is assessed at the end of the financial year. If your total turnover for FY 2026-27 exceeds ₹3 crores (or ₹2 crores if more than 5% of receipts are in cash), you cannot opt for Section 44AD for that year. You must maintain books of account under Section 44AA and get a tax audit done under Section 44AB.
Q: Can I claim 80C deductions like PPF, ELSS, or LIC premiums if I file under presumptive taxation?
A: Yes. The presumptive scheme determines your business/professional income. Deductions under Chapter VI-A (Sections 80C, 80D, 80G, and so on) are applied to your total income, which includes the presumptive income. These are separate from the business expense deductions that the scheme replaces.
Q: My actual profit is above 50% of receipts. Can I still opt for Section 44ADA?
A: Yes, and you should. Section 44ADA only requires you to declare at least 50% of gross receipts. If your actual profit is 70%, you may declare 70% if you choose, but there is no benefit in doing so. Declaring exactly 50% and paying tax only on that is the point of the scheme.
Q: I opted for Section 44AD last year but want to switch to actual expense accounting this year. What are the consequences?
A: If you opt out of Section 44AD in any year after opting in, you are barred from re-entering the scheme for the next five Assessment Years (Section 44AD(4)). During those five years, if your total income exceeds the basic exemption limit, a mandatory tax audit under Section 44AB applies. Plan the exit carefully.
Q: Does Section 44ADA also have a five-year lock-in?
A: No. This is one of the most important differences between the two schemes. Section 44ADA has no five-year lock-in restriction. A professional can opt in for one year, file under regular provisions with actual expense accounting the following year, and return to 44ADA the year after without any bar on re-entry. The only consequence of exiting 44ADA in a year is that, if the income declared is below 50% of receipts and total income exceeds the basic exemption limit, a tax audit under Section 44AB is required for that year alone.
Q: I am a doctor who also runs a medicine retail shop. Can I use 44ADA for my professional income and 44AD for the pharmacy?
A: The short answer is no, at least not under the same PAN. Section 44AD(6) bars any person who carries on a profession listed under Section 44AA(1) from opting for Section 44AD, regardless of whether the business income is separate. Since a doctor is a specified professional, the Section 44AD bar applies to the person. The pharmacy business income must be computed under regular provisions. The doctor can use 44ADA for medical professional receipts within the threshold. To use presumptive taxation for the pharmacy separately, it would need to operate through a distinct legal entity with a separate PAN.
Q: Does the Income Tax Act 2025 require me to re-elect into the presumptive scheme?
A: No. The new Act consolidates Sections 44AD, 44ADA, and 44AE into Section 58, but the CBDT has confirmed that your existing opt-in status carries forward. The thresholds, rates, and conditions are unchanged for Tax Year 2026-27 (FY 2026-27). No fresh election or refiling is required.
Q: Is a software developer eligible for Section 44ADA?
A: Software development and IT consulting have been recognised as “technical consultancy” under Section 44AA(1), making them eligible for 44ADA, based on multiple ITAT decisions and consistent CBDT practice. The grey area is IT staffing or agency businesses that source and deploy developers for clients: those are more likely characterised as business income under Section 44AD. Verify your specific engagement model before filing.
Q: Do I need to pay GST if I opt for presumptive taxation?
A: GST and income tax are independent obligations. If your aggregate annual turnover exceeds ₹20 lakhs (₹10 lakhs in special-category states), GST registration is mandatory regardless of whether you opt for the presumptive income tax scheme.
Q: Can a NRI freelancer working for Indian clients opt for Section 44ADA?
A: No. Both Sections 44AD and 44ADA are available only to resident individuals and resident partnership firms. Non-resident individuals are excluded. NRI freelancers earning from Indian clients are taxed under regular provisions and must compute income on an actual basis.
Q: What ITR form should I file if I have presumptive income plus long-term capital gains from mutual funds?
A: You can file ITR-4 if you have presumptive business or professional income plus certain other income, including short-term capital gains on equity (Section 111A) and long-term capital gains on equity up to ₹1.25 lakhs (Section 112A). If your long-term capital gains exceed ₹1.25 lakhs or you have other capital gains categories, you will need to file ITR-3 instead. Check the ITR-4 instructions for AY 2027-28 to confirm your specific income profile qualifies.
Q: What is the advance tax due date for presumptive taxpayers?
A: A single instalment of 100% of the estimated advance tax liability, due by 15 March of the financial year. There is no Section 234C interest penalty for not paying by June, September, or December. Section 234B interest for not paying any advance tax at all continues to apply if your net tax liability exceeds ₹10,000.
Q: Can a partnership firm in a Section 44ADA profession also claim deduction for partner remuneration and interest?
A: Section 44ADA is silent on this in the same way that Section 44AD is for business firms. The general position is that 50% is the final income and no further deductions apply, including partner remuneration under Section 40(b). One additional compliance point for FY 2026-27: Section 194T (effective FY 2025-26) requires partnership firms to deduct TDS at 10% on partner remuneration exceeding ₹20,000 per year. Firms under presumptive schemes are not exempt from this TDS obligation. This is a nuanced area and the safer approach is to confirm with a tax advisor, as different practitioners have taken different views and there is limited direct judicial guidance on the deductibility question.
Regulatory references:
- Section 44AD, Income Tax Act, 1961 (as amended by Finance Act 2026)
- Section 44ADA, Income Tax Act, 1961 (as amended by Finance Act 2023 and Finance Act 2026)
- Section 44AA, Income Tax Act, 1961 (specification of professions)
- Section 44AB, Income Tax Act, 1961 (tax audit applicability)
- Section 32, Income Tax Act, 1961 (depreciation and WDV computation)
- Section 40(b), Income Tax Act, 1961 (partner remuneration deduction)
- Section 139(1), Income Tax Act, 1961 (due date for filing)
- Section 194J, Income Tax Act, 1961 (TDS on professional and technical services fees)
- Section 234B and Section 234C, Income Tax Act, 1961 (advance tax interest provisions)
- Section 58, Income Tax Act, 2025 (consolidated presumptive taxation provision effective 01/04/2026)
- Finance Act 2023 (enhanced turnover thresholds)
