Stay abreast with the latest developments in the professional domain along with in-depth analysis through the monthly BCA Journal. Get access to an engaging library of researched publications from the BCAS stable.
Learn MoreExplore past issues of BCA Journal & indulge in a treasure trove of high-quality professional content across format of print, videos & learning events from the BCAS stable.
Learn More
44. ITA No. 4728/Mum./2025
Hemant Kumar Agrawal v. ITO
A.Y.: 2018-19 Date of Order: 30.01.2026
Section: 44ADA
Remuneration received by an assessee from a partnership firm cannot be treated as turnover to qualify for gross receipts u/s 44ADA of the Act. Accordingly, the remuneration received by a partner from the firm in which he is a partner will not qualify to be covered by section 44ADA of the Act.
Such remuneration received from partnership firm / LLP would qualify to be treated as income under the head ‘business and profession’ and expenditure, if any, incurred for the purpose of earning of such income can be allowed as deduction.
FACTS
The assessee, a practicing Chartered Accountant, an associate full-time partner with the firm M/s Jayesh Sanghrajka and Co. LLP, received a remuneration of Rs 18,00,000 from the said firm. In the return of income, this amount of remuneration was treated as “gross receipts from business” and offered for taxation in accordance with section 44ADA of the Act. Accordingly, an income of Rs 9,00,000 was shown on presumptive basis.
