Question 1

Who is eligible to file ITR-4 (Sugam) under Presumptive Taxation?

Accepted Answer

ITR-4 is designed for resident individuals, HUFs, and partnership firms (excluding LLPs) having total income up to ₹50 Lakhs who opt for presumptive taxation under Section 44AD (small businesses), Section 44ADA (professionals like doctors, CAs, lawyers, IT consultants), or Section 44AE (goods carriage transporters). Our team confirms your eligibility in minutes.

Question 2

What are the turnover limits for Section 44AD and 44ADA?

Accepted Answer

Under Section 44AD (businesses), the turnover limit is ₹2 Crores (extended to ₹3 Crores if digital receipts are ≥ 95%). Under Section 44ADA (specified professionals), the gross receipt limit is ₹50 Lakhs (extended to ₹75 Lakhs if digital receipts are ≥ 95%). TaxQue ensures your digital receipts qualify for the higher limit.

Question 3

What is the minimum presumptive profit rate I must declare in ITR-4?

Accepted Answer

Under Section 44AD, you must declare at least 6% on turnover received through digital/banking modes and 8% on cash turnover. Under Section 44ADA for professionals, you must declare at least 50% of gross professional receipts as net taxable profit. You can always voluntarily declare higher profits.

Question 4

Do I need to maintain detailed accounting books or get audited for ITR-4?

Accepted Answer

No. The main benefit of ITR-4 under presumptive taxation is complete exemption from maintaining books of accounts under Section 44AA and complete exemption from CA tax audit under Section 44AB. You only need to report gross receipts and simple financial metrics (cash balance, debtors, creditors, stock).

Question 5

Who will prepare and file my ITR-4 return at TaxQue?

Accepted Answer

Your ITR-4 is prepared by a dedicated tax expert and verified by a practicing Chartered Accountant. We verify your gross receipts against GST returns, bank statements, and 26AS/AIS to ensure complete compliance.

Question 6

Can freelancers, software developers, and consultants file ITR-4 under Section 44ADA?

Accepted Answer

Yes. IT consultants, software engineers, designers, digital marketers, technical consultants, doctors, and lawyers earning up to ₹75 Lakhs (with ≥ 95% digital receipts) can declare 50% as flat presumptive profit under Section 44ADA with zero bookkeeping hassles.

Question 7

What is the Advance Tax rule for taxpayers filing ITR-4?

Accepted Answer

Under Section 211(1)(b), presumptive taxpayers under Section 44AD/44ADA are exempt from quarterly advance tax installments. You only need to pay 100% of your estimated tax in a single installment on or before 15th March of the financial year. TaxQue calculates and generates your advance tax challan in March.

Question 8

What documents are required to file ITR-4?

Accepted Answer

You only need your bank statements, Form 26AS/AIS, total gross turnover/receipts summary, GST return summaries (if registered), PAN card, and Aadhaar card. No tedious ledger balancing is required.

Question 9

Can I claim 80C, 80D, or home loan deductions in ITR-4?

Accepted Answer

Yes. While business expenses are deemed fully covered under the presumptive profit deduction, you can still claim personal Chapter VI-A deductions (80C, 80D, 80TTA, home loan interest) if you choose the Old Tax Regime. In the New Regime, standard slab rates apply without personal deductions.

Question 10

Can I file ITR-4 if my actual profit is lower than 6% or 50%?

Accepted Answer

If your actual profit is lower than the mandatory presumptive rate (6%/8% for business or 50% for professionals) and your total income exceeds the basic exemption limit, you CANNOT file ITR-4. You must maintain regular accounting books under Section 44AA, undergo a CA tax audit under Section 44AB, and file ITR-3 instead. TaxQue evaluates which route saves you more tax.

Question 11

What happens if I opt out of Section 44AD after choosing it?

Accepted Answer

Under Section 44AD(4) (the 5-year lock-in rule), if you opt out of presumptive taxation in any year, you cannot opt back into Section 44AD for the next 5 consecutive assessment years, and you will be forced to maintain books and get audited under ITR-3. TaxQue guides you on long-term tax planning before opting out.

Question 12

Can a Private Limited Company or LLP file ITR-4?

Accepted Answer

No. Companies and LLPs are strictly ineligible for ITR-4. ITR-4 is only available to resident Individuals, HUFs, and Partnership Firms (excluding LLPs). Companies must file ITR-6 and LLPs must file ITR-5.

Question 13

What is the statutory deadline for filing ITR-4?

Accepted Answer

The statutory due date is 31st July of the assessment year. Late filing up to 31st December incurs a ₹5,000 late fee under Section 234F.

Question 14

How does TaxQue ensure our declared turnover matches government data?

Accepted Answer

We perform a three-way cross-check between your Bank Credit Entries, Form 26AS TDS credits, and GST portal turnover (Schedule GST in ITR-4) to eliminate automated scrutiny notices.

Question 15

How fast can TaxQue file my ITR-4 return?

Accepted Answer

Once your bank statements and basic details are uploaded, our team prepares, audits, and delivers your ITR-4 for e-verification within 24 to 48 hours.

Question 16

What is the fee for ITR-4 filing with TaxQue?

Accepted Answer

We provide an affordable, transparent, all-inclusive fixed fee with zero hidden charges, covering CA review, AIS reconciliation, and post-filing support.

Feature & Deliverable Matrix	Basic	Standard★ Most Popular	Premium
Complete Form 16, AIS, TIS & 26AS Tax Credit Verification	✓	✓	✓
Accurate Income Computation & Deductions Review (80C, 80D, HRA)	✓	✓	✓
Optimal Tax Regime Selection (New vs Old Regime Comparison)	✓	✓	✓
Official Income Tax Department e-Filing & ITR-V Acknowledgment	✓	✓	✓
Automated Refund Tracking & CPC Intimation Verification	✓	✓	✓
Assigned Senior Chartered Accountant (CA) Tax Specialist	—	✓	✓
Capital Gains (Stocks, Crypto, Property) & Loss Carry-Forward Review	—	✓	✓
Business Balance Sheet & Profit & Loss Statement Scrutiny	—	✓	✓
Section 143(1) Intimation Verification & Defect Rectification Support	—	✓	✓
Comprehensive Multi-Year Tax Planning & Financial Structuring	—	—	✓
Defense & Legal Drafting for Scrutiny Notices (Section 148 / 142(1))	—	—	✓
Advance Tax Estimation & Quarterly Payment Scheduling	—	—	✓
Direct One-on-One Tax Consultation with Senior Partner	—	—	✓

Document Type	Specific Records Required	Purpose / Notes
Bank Account Statements	All active business and savings bank accounts for the financial year	To determine digital turnover and cash receipt totals
Form 26AS & AIS / TIS	Annual direct tax credit statements and high-value transaction records	Reconciled to ensure full income disclosure
GST Return Summary (If Registered)	Annual GSTR-1 and GSTR-3B filed returns	Reported turnover must match or exceed GST turnover
Basic Asset-Liability Estimates	Estimated figures for debtors, creditors, stock-in-trade, and bank cash balances	Mandatory disclosure in ITR-4 balance fields

Compliance Event	Statutory Deadline	Statutory Penalty for Default
Annual Return Filing	31st July of the Assessment Year	₹5,000 late fee under Section 234F (₹1,000 for income < ₹5L)
Advance Tax Single Installment (100%)	15th March of the Financial Year	1% per month interest under Section 234C on unpaid advance tax
Belated Return Filing	31st December of the Assessment Year	1% per month interest under Section 234A on unpaid tax balances

Presumptive Scheme	Gross Turnover / Receipt Limit	Mandatory Deemed Profit %
Section 44AD (Small Business - Digital Mode)	Turnover up to ₹3 Crore (with >= 95% digital receipts)	Minimum 6% of digital turnover as deemed net profit
Section 44AD (Small Business - Cash Mode)	Turnover up to ₹2 Crore	Minimum 8% of cash turnover as deemed net profit
Section 44ADA (Specified Professionals)	Gross Receipts up to ₹75 Lakhs (with >= 95% digital mode)	Minimum 50% of gross receipts as deemed net profit
Section 44AE (Goods Transporters)	Max 10 goods carriages at any time in FY	₹7,500/month (light vehicle) or ₹1,000/ton/month (heavy vehicle)

Parameter	TaxQue Presumptive Desk	Unassisted Self-Filing	Local Tax Preparer
Digital vs Cash Split Audit	Accurately applies 6% rate on digital and 8% on cash	Often applies flat 8% (causes higher tax payment)	Manual calculation mistakes
GST Turnover Reconciliation	Matches declared turnover with GSTR-1 tables	Mismatched turnover triggers defective return notice	Often ignores GST return data
Advance Tax Interest Shield	Optimizes 234C interest computation	Users miss 15th March advance tax deadline	Fails to calculate interest correctly

Accounting

ITR-4 Filing

Timeline conditions

Get Free Expert Consultation

Right Plan For ITR-4 Filing

Online ITR-4 (Sugam) Presumptive Tax Return Filing Services

What is ITR-4 Filing?

5-Year Opt-Out Lock-in Rule (Section 44AD(4))

How to Get Started

Gross Turnover Verification & Digital Ratio Check

Presumptive Income Computation (6% / 8% / 50%)

Portal e-Filing & Acknowledgment Delivery

Documents Required for ITR-4 Filing

Statutory Deadlines & Advance Tax Rules for ITR-4

Presumptive Taxation Limits & Rates under Indian Law

Why Choose ITR-4 Filing

Zero Bookkeeping Overhead

GST vs Income Tax Turnover Alignment

Single-Installment Advance Tax Guidance

Eligibility Criteria for ITR-4 Sugam

1Eligible Entities

2Ineligible Categories

TaxQue ITR-4 Service vs Self-Filing Errors

Key Features of TaxQue ITR-4 Services

15-Minute Turnaround

6% Digital Tax Benefit

No Audit Guarantee

Frequently Asked Questions

What Our Clients Say

Stay Updated with Tax Insights