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Tax tools

Freelance Tax Calculator

Estimate your tax as a freelancer or consultant under Section 44ADA presumptive taxation — no detailed bookkeeping required.

/ year

How this is calculated

Gross receipts₹15,00,000
Presumptive income (50% of receipts)₹7,50,000
Standard deduction₹75,000
Taxable income₹6,75,000
Income tax + cess₹0
Estimated net income
After tax (annual)
₹15,00,000.00
Effective tax rate0.0%
Total tax + cess₹0

Estimate under Section 44ADA presumptive taxation (50% of receipts as income) and the new tax regime, FY 2025-26. Doesn't account for other income, deductions like 80C, or GST. Confirm with a CA before filing.

Frequently asked questions

What is Section 44ADA?

Section 44ADA lets freelancers and professionals (consultants, designers, developers, and similar) declare 50% of their gross receipts as taxable income, without maintaining detailed books of account, provided receipts stay within the eligibility limit.

What's the receipts limit for Section 44ADA?

The limit is ₹75 lakh per year, provided at least 95% of receipts are through digital/banking channels. If cash receipts exceed 5%, the older ₹50 lakh limit applies instead.

Can I claim actual expenses instead of the 50% presumption?

Yes — if your actual expenses are lower than 50% of receipts, you can opt out of presumptive taxation and declare actual profit, but then you must maintain proper books of account and may be subject to audit requirements.