What is Section 44AD presumptive taxation?

Section 44AD allows small businesses with turnover up to ₹3 crore (if cash transactions ≤ 5%) to declare presumptive profits at 6% of digital turnover and 8% of cash turnover, avoiding the need for auditing or books.

What is the lock-in period for Section 44AD?

If you opt out of Section 44AD presumptive taxation in any financial year after claiming it, you cannot opt back into the presumptive scheme for the next 5 consecutive financial years.

44AD Presumptive Tax CalculatorFY 2026-27

Compute presumptive business income at 6% (digital) or 8% (cash). Models 5-year opt-out consequences.

Related Calculators

Income Tax Calculator

Old vs New Regime Advisor

Form 16 Gap Analyzer

IP Box Regime (Sec 115BBF) Calculator

Regulatory Disclaimer · FY 2026-27

Last verified May 2026

Statutory Disclosure

Nature:Calculator platform and is NOT a SEBI-registered Investment Adviser. All calculations are indicative.

Risk:"Investments in securities market are subject to market risks. Read all related documents carefully before investing."

Consult a SEBI-registered IA or CA for personalised advice.

9 out of 10 traders in F&O incurred net losses (SEBI 2023). Tax estimates based on IT Act 2025. Trezoriq is not liable for financial decisions based on results.