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Freelancer Tax Calculator India — Section 44ADA

Calculate income tax under Section 44ADA presumptive taxation for professionals. FY 2024-25.

44ADA Rule: 50% of gross receipts = taxable profit. On ₹20L: taxable = ₹10L. New regime tax ≈ ₹42,000. Zero tax if income ≤ ₹12L. Advance tax: single payment by March 15.
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Freelancer / Consultant Tax Calculator

Section 44ADA presumptive tax — FY -26 (AY 2026-27)

Section 44ADA — Presumptive Tax for Professionals: Pay tax on just 50% of gross receipts as deemed profit. No need to maintain books or prove actual expenses. Eligible for professionals with gross receipts up to ₹75 lakh/year.
Income Details
Clients deduct 10% TDS u/s 194J. Check Form 26AS for exact amount.
Tax Profile
GST

Section 44ADA — Complete Guide for Freelancers

Who Can Use 44ADA?

Resident individuals and HUFs engaged in specified professions: doctors, lawyers, engineers, architects, accountants, technical consultants, interior decorators, and other notified professions. Gross receipts must not exceed ₹75 lakh (₹37.5L if cash receipts >5%).

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How 44ADA Works

50% of gross receipts is deemed to be profit. Pay income tax on this 50%. No need to maintain books, prove expenses, or get accounts audited. Remaining 50% is assumed as expenses — whether actual expenses are higher or lower is irrelevant.

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When Actual Method is Better

If your actual expenses exceed 50% of receipts, the actual method saves more tax. Common for those with high office rent, employee costs, or heavy equipment depreciation. You must maintain proper books and may need a tax audit if receipts >₹75L.

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GST for Freelancers

Register for GST when annual receipts exceed ₹20 lakh. Charge 18% GST on invoices. File GSTR-1 (quarterly for small) and GSTR-3B (monthly). Claim ITC on business purchases. Export of services is zero-rated.

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Advance Tax Rule

Under 44ADA: One payment — 100% of tax by 15th March. Under actual method: 4 instalments — 15% by Jun 15, 45% by Sep 15, 75% by Dec 15, 100% by Mar 15. Missing advance tax attracts 1% interest per month under Section 234C.

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ITR Filing

Freelancers/consultants file ITR-4 (Sugam) under presumptive taxation. If opting out of 44ADA, file ITR-3. Due date: 31 July (without audit) or 31 October (with audit). File even if income is below taxable limit to claim TDS refund.

✅ Why Use This Calculator

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Section 44ADA

50% of receipts = profit. No books of accounts required.

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Old vs New

Compares both regimes to find which saves more.

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Advance Tax

Quarterly schedule and single March 15 payment.

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GST Threshold

Shows GST registration need from receipts.

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Take-Home

Net monthly income after all taxes.

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❓ Frequently Asked Questions

Who can use Section 44ADA?+
Specified professionals: doctors, lawyers, engineers with receipts up to ₹75 lakh.
Tax on ₹20L freelance income?+
Taxable = ₹10L under 44ADA. New regime tax ≈ ₹42,000 after cess.
Advance tax for freelancers?+
Single payment of 100% by March 15 under 44ADA.