ITR filing for freelancers and independent consultants
You invoice clients directly. There is no Form 16 and nobody is doing your books.
Form: ITR-4 under section 44ADA, or ITR-3 where accounts are maintained
What is included
- Presumptive computation under section 44ADA at 50% of gross receipts
- Gross receipts reconciled against Form 26AS, AIS and your bank credits
- A check on whether 44ADA actually beats declaring real expenses in your case
- Advance tax position reviewed for the year ahead so you are not caught by section 234C
- Draft computation sent to you for approval before filing
- Filed acknowledgement (ITR-V) delivered to you
What we need from you
Send what you have. If something on this list is missing we will tell you which item it is, rather than leaving you to work it out.
- A list of your gross receipts for the year, or bank statements we can work from
- Form 26AS and AIS (we can walk you through downloading these)
- PAN and Aadhaar
- Bank account number and IFSC
- GST returns if you are registered
- Details of any foreign clients and payments received from abroad
Section 44ADA is not always the better deal, and nobody tells freelancers this
Under 44ADA you declare 50% of your receipts as income and pay tax on that, with no need to prove expenses. It is simple and it usually wins. But if your real expenses exceed 50% of receipts — a videographer with equipment, a consultant paying subcontractors, anyone carrying heavy software or travel costs — then declaring actual profit under ITR-3 produces a lower tax bill, sometimes much lower. We check both before recommending one. Note also that opting out of 44AD after using it carries a five-year lock-out; 44ADA does not carry the same restriction, which is one reason the two schemes should not be treated as the same thing.
How it works
- 1 Send your documents
WhatsApp them, email them, or walk into the office. We will tell you exactly what is missing rather than leaving you to guess.
- 2 We review and compute
We reconcile everything against AIS and Form 26AS, and calculate both tax regimes so you file under the lower one.
- 3 You approve the computation
You get the draft in plain language, with the figures explained. Nothing is filed until you say yes.
- 4 We file and send the acknowledgement
Filed within 24 to 48 hours of your approval, with the ITR-V acknowledgement delivered to you.
Questions we get asked
My client deducted TDS at 10%. Do I get it back?
You get credit for it against your final liability, and any excess is refunded. Freelancers are frequently over-deducted, so a refund is common.
Do I need GST registration to freelance?
Only above the turnover threshold, or if you make inter-state supplies of certain kinds. It is a separate question from income tax — our sister site GujaratGST.in deals with it.
I was paid by a foreign client. Does that change things?
It can. Export of services, foreign tax credit and FEMA reporting may all come into play. Tell us at the start rather than after filing.
Ready when you are
Send your documents on WhatsApp and we will tell you what is missing and what it will cost, before any work starts.