kruthika
asked
Hi I am Kruthika. I am preparing for CA exam. Can an insurance agent adopt the presumptive taxation scheme of section 44AD?
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Surbhi
answered
Hi,
A person who is earning income in the nature of commission or brokerage cannot adopt the presumptive taxation scheme of section 44D. Insurance agents earn income by way of commission and, hence, they cannot adopt the presumptive taxation scheme of section 44D.
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veeru
answered
Business of plying, hiring or leasing goods carriages referred to in sections 44AE.
A person who is carrying on any agency business.
A person who is earning income in the nature of commission or brokerage
Anil
answered
The scheme of section 44D is designed to give relief to small taxpayers engaged in any business, except the following businesses:
Business of plying, hiring or leasing goods carriages referred to in sections 44AE.
A person who is carrying on any agency business.
A person who is earning income in the nature of commission or brokerage
Apart from above discussed businesses, a person carrying on profession as referred to in section 44AA(1) is not eligible for presumptive taxation scheme.
A person who is earning income in the nature of commission or brokerage cannot adopt the presumptive taxation scheme of section 44D. Insurance agents earn income by way of commission and, hence, they cannot adopt the presumptive taxation scheme of section 44D.
