What are the tax rules applicable for freelancers in India?
2 years, 9 months ago

What are the tax rules applicable for freelancers in India?

Live Mint  

Income from freelance jobs is treated as ‘profits and gains from business or profession’ for taxation purpose. Here are the tax rules applicable to income earned by freelancers: Filing ITR A freelancer can opt for only ITR-3 or ITR-4 to file income tax return. These deductible expenses include rent of the property you may have taken to carry out the work and any repair costs incurred by you on such property, any repairs carried out on electronic equipment such as laptop or personal computer that you own to carry out the work, office expenses such as purchasing supplies, internet bills and phone bills, expenses related to travel undertaken for the work, conveyance bills of commute to office/co-working space and depreciation value of equipment such as laptop used in this regard. However, if in a financial year you have worked a regular job and also undertaken freelance work, you can claim a standard deduction on the salary income. Calculating tax The taxpayer must determine his income in a financial year from different sources and deduct expenses and eligible tax breaks to arrive at the payable tax.

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Calculating Your Taxes Made Easy: Advance Tax vs Self-Assessment
7 months, 3 weeks ago

Calculating Your Taxes Made Easy: Advance Tax vs Self-Assessment

News 18  

In India, advance tax denotes the tax individuals, companies, and businesses pay ahead of time instead of deferring payment until the end of the financial year. As per section 208, every person whose estimated tax liability for the year is Rs 10,000 or more, shall pay his tax in advance, in the form of ‘Advance Tax’. The presumptive taxation scheme …

ITR Filing: How to file income tax returns for freelancers?
1 year, 4 months ago

ITR Filing: How to file income tax returns for freelancers?

Live Mint  

Are you a freelancer and don't know what to do about taxes? However, as a freelancer, you must have guessed that no one will remind you about filing your Income Tax Returns, and you need to take the initiative yourselves. Refund= Taxes paid – Total tax liability on the current financial year's income Which ITR Form to choose? Choosing the …

Freelanced along with a job? You can still claim ₹50,000 standard deduction
3 years, 2 months ago

Freelanced along with a job? You can still claim ₹50,000 standard deduction

Live Mint  

Outbreak of covid-19 pandemic last year resulted in job losses across sectors. We answer three important questions related to freelance income tax filing as you get ready to file your ITR. However, if you have worked a full-time job, you can claim the standard deduction for the salary income. Even if someone has had a job for one month in …

ITR Filing for 2019-2020: Here is All You Should Know About Income Tax Returns
4 years ago

ITR Filing for 2019-2020: Here is All You Should Know About Income Tax Returns

News 18  

Every salaried person in India pays a certain amount of money in the form of tax, out of their salary, to the Income Tax Department of India, a government institution. The Direct Tax is paid by every earning entity, including individuals, firms, businesses, companies, Hindu Undivided Family, Body of Individuals and Association of Persons. The Income Tax is paid every …

Income Tax Return for AY 2020-21: How freelancers can file ITR?
4 years, 2 months ago

Income Tax Return for AY 2020-21: How freelancers can file ITR?

Live Mint  

Income tax rules for a consultant or freelancer are slightly different from the income tax rules for a salaried individual. Filing ITR-4: Here's how presumptive taxation benefits a tax payer As a freelancer or a professional, you can pay tax on the estimated income. Without Presumptive Taxation, the freelancer can claim tax deduction on work-related expenses, so her taxable salary …

Income tax: How are freelancers, consultants taxed?
4 years, 4 months ago

Income tax: How are freelancers, consultants taxed?

Live Mint  

I am a freelance writer earning approx. --Aparna Kumar By Balwant Jain, Chief Editor, ApnaPaisa Income as a consultant is taxed under the head “Profits and Business or Profession” whereas the salaries are taxable under the head “Salaries”. As a salaried person you are allowed to claim upto ₹50,000 as standard deduction to take care to expenses incurred by you …

How freelancers need to fill ITR forms
4 years, 4 months ago

How freelancers need to fill ITR forms

Live Mint  

My query is regarding income tax forms ITR-3 and ITR-4. As per the provisions of Section 44ADA, a resident taxpayer who is engaged in a prescribed profession and whose total gross receipts do not exceed ₹50 lakh in a financial year can offer the income from such professions to tax on a presumptive basis. In case your profession qualifies as …

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