Section 44AD - Coaching Income

[PANKAJ GROVER]

Dear Sir

An Assessee is earning coaching income 8 lacs p.a. and does not maintain books of accounts, can he decalare income @ 8% on Rs 8 Lacs under Section 44AD for FY 2010-11. He has income from other sources Rs 1,50,000.

Regards

RAPG & Co.

[Ankur Bansal]

No. Because Section 44 AD covers only business and coaching income covers under profession. So cannot be included in Section 44 AD.

 

Regards

Ankur Bansal

NAV & CO.

Chandigarh

+919988251003

AI Summary

Presumptive business scheme not available for coaching income, which is professional and excluded from its scope. Section 44AD's presumptive taxation framework applies only to business income and does not extend to professional income; coaching services are treated as a profession and therefore cannot be declared under the presumptive scheme, requiring computation and record-keeping under rules for professional income.