Presumptive Taxation Calculator

The Presumptive Taxation Calculator helps estimate taxable business or professional income under Sections 44AD, 44ADA, and 44AE of the Income Tax Act based on turnover, receipts, or goods vehicle details.

Section 44AD applies to eligible businesses, Section 44ADA applies to eligible professionals, and Section 44AE applies to eligible taxpayers engaged in the business of plying, hiring, or leasing goods carriages, subject to the applicable conditions.

Presumptive income is generally calculated at 6% of eligible digital receipts and 8% of other eligible turnover or gross receipts. The applicable rate and eligibility conditions should be checked for the relevant financial year.

Under Section 44ADA, presumptive income is generally calculated as 50% of gross professional receipts, subject to the applicable eligibility and receipt limits.

The calculator estimates presumptive income using the number and type of goods vehicles, their carrying capacity where applicable, and the number of months they were owned or operated during the relevant period.

The applicable limits depend on the selected scheme and conditions. For example, Section 44AD generally has a ₹2 crore turnover limit, which may increase to ₹3 crore when cash receipts do not exceed 5%. Section 44ADA generally has a ₹50 lakh receipt limit, which may increase to ₹75 lakh when cash receipts do not exceed 5%. Eligibility conditions and financial-year rules should be verified.

Yes. The EZTax Presumptive Taxation Calculator provides an income comparison to help you understand the difference between estimated presumptive income and actual income entered or calculated by the tool.

Eligible small business owners, professionals, and goods vehicle operators can use the calculator to estimate presumptive income and review scheme eligibility, applicable limits, and compliance notes. Eligibility depends on the taxpayer category, nature of business or profession, and applicable tax rules.