Monday to Saturday, 10 am – 6 pm  •  Laxmi Nagar, New Delhi +91 88734 12680  |  cashivambhaskar@gmail.com
CA India emblem S Bhaskar & Associates Chartered Accountants, New Delhi

Presumptive tax calculator (Sec 44ADA & 44AD)

Calculate your deemed taxable profit, verify eligibility for the enhanced ₹75 lakh / ₹3 crore turnover limits under the 5% cash rule, and estimate your FY 2026-27 income tax.

Received via UPI, NEFT, RTGS, IMPS, account-payee cheque, or cards.

Keep cash receipts ≤ 5% of total turnover to qualify for ₹75L (44ADA) or ₹3Cr (44AD).

Minimum is 50% for Sec 44ADA; 6% (digital) & 8% (cash) for Sec 44AD.

FD/savings interest, rental income, etc.

Deemed presumptive profit

₹18,00,000
Total gross receipts / turnover ₹36,00,000
Cash receipt ratio 0.0% (≤ 5% Enhanced limit eligible)
Presumptive eligibility & audit status Eligible (Limit: ₹75,00,000)
Total taxable income (incl. other income) ₹18,00,000
Estimated tax payable (New Regime, incl. cess) ₹1,66,400

Under Sections 44AD and 44ADA, taxpayers file Form ITR-4 (Sugam) and are exempt from maintaining detailed books under Section 44AA. Entire 100% advance tax for presumptive income is payable in a single instalment on or before 15 March of the financial year.

Statutory rules

How Sections 44ADA and 44AD work

Section 44ADA (Professionals): Resident individuals and partnership firms (excluding LLPs) engaged in medical, legal, engineering, architectural, accountancy, technical consultancy, interior decoration, or IT/software professions can declare 50% of gross receipts as taxable profit. The limit is ₹50 lakh, enhanced to ₹75 lakh if cash receipts do not exceed 5% of total gross receipts.

Section 44AD (Businesses): Resident individuals, HUFs, and partnership firms (excluding LLPs) can declare 6% of digital turnover and 8% of cash turnover as business profit. The limit is ₹2 crore, enhanced to ₹3 crore when cash receipts do not exceed 5% of total turnover.

Unsure whether 44ADA/44AD or regular books save you more tax?

Share your gross receipts and bank statements with CA Shivam Bhaskar for a side-by-side comparison before you file.