Freelancer tax calculator (44ADA)
Presumptive tax for freelancers — declare 50% as income, skip the bookkeeping.
Quick answer
A freelancer tax calculator estimates income tax under Section 44ADA presumptive taxation — declare 50% of gross receipts as income (up to ₹75L) and pay tax on that under the new regime slabs.
Estimated income tax
Under Section 44ADA you declare 50% of receipts (₹10L) as taxable income.
- Presumptive income
- ₹10,00,000
- Effective tax rate
- 0.0%
No ₹75,000 salary deduction here — it does not apply to professional income. New-regime slabs used.
Rates & rules checked on 25 July 2026 · based on FY 2025-26 (AY 2026-27).
What this tells you
Freelancers and professionals can skip detailed bookkeeping using Section 44ADA: just declare 50% of your receipts as income and pay tax on that.
How it's calculated
Presumptive income = 50% of gross receipts. We apply new-regime slabs directly to that professional income — the ₹75,000 standard deduction is only for salary and pension, so this calculator does not subtract it.
Common questions
- Who can use Section 44ADA?
- Resident professionals in notified fields — including legal, medical, engineering, architecture, accountancy, technical consultancy and certain notified professions. The receipts limit is ₹75L only when cash receipts are 5% or less; otherwise it is ₹50L.
- Can I claim actual expenses instead?
- Yes, by maintaining books and getting them audited if required. 44ADA is the shortcut when your real expenses are below 50% of receipts, which is common for service freelancers.
- Do freelancers get the ₹75,000 standard deduction?
- Not on professional income. The standard deduction applies to salary and pension, so subtracting it inside a pure 44ADA estimate would understate your tax.
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Sources
For general education, not personalised financial advice. Verify current rates and rules before acting — tax laws and interest rates change.