One of my client is a partner in a partnership firm. Client receives remuneration, profit share and interest from Partnerhsip firm.

Client also has some other source of income by way of conusltancy.

But, the other source is not a well documented business and profit and loss account does not exist. Instead client is providing full receipts as income.

My doubt is which form should i use to file the income tax return under Income Tax Act, 1961 and rules thereto.

Should i use form ITR-3 and show the consultancy income as income from other source or should i use form ITR-4?

If i use ITR-4 then i have to provide details in P/L. What should be done to avoid profit and loss account and Balance Sheet details?

Posted 2 years, 1 month ago by Rahul Rai


You have to use ITR-4 and reason is that ITR-3 can be used by partners who don't have income from any other proprietorship.

You can file return using ITR-4.

Posted 2 years, 1 month ago by CA Pulkit Sharma


Thank you for the reply.

Posted 2 years, 1 month ago by Rahul Rai


Your Reply:

You need to be logged in to reply.