GST on freelance consulting fees

We can save tax if you are on Consulant to company.

for GST there is threshold limit ₹40lakhs hence, no requirement to register under GST.

if need more clarification contact me.

Hi,

- It is good for you that your employer is giving you an option of consultancy. In Income tax, if you are a specified professional then you can avail the benefit of presumptive scheme as mentioned in section 44ADA. 

- In GST, threshold limit for registration is Rs.20 lacs however in last GST council meeting, freedom was given to each state to decide their own limits within the week's time. I am not sue about any amendment done in Maharashtra GST Act but later and sooner, you will fall into GST when monthly income will increase and you will land up in paying GST@18%. which is still better than salary income.

Thanks

Below 40 lakhs turnover getting GST registration is not mandatory, its optional.

if your company asks you for gst bills for consultation then you should be registered to GST.

TDS for income tax is fine, it is mandatory to deduct. Excess tax amount we can claim for refund and vice versa.

Hi

GST registration not mandatory if turnover is below 40 lacs(as per last GST meeting).

And 10 % deduction is TDS deduction ,which can be claimed while filling ITR(adjusted with tax liability if any).

Hope it helps

Dear Sir,

Hope you are doing well !!

Yes, your understanding is correct.

If your yearly income is below 40 Lakhs then you dont need to pay any GST and the 10% deduction per month is fine.


TDS deduction will be adjusted with your actual tax liability.

Dear Sir,

Yes, if your yearly income is below 40 Lakhs you dont have to pay any GST and the 10% deduction per month is fine subject to actual tax liability. 

Now there has been a revision in the limit for the applicability of GST and because of which now you need not pay any GST as in earlier law the your company would deduct TDS and you would have to pay GST amount out of your pocket but always remember TDS can't be deducted on GST amount so if you are asked to pay GST out of your own pocket by your company then ask them to not deduct TDS on same.

So now you can file return u/s 44ADA since you will act as a professional and save 30% tax on your 50% income but for that also you need to plan certain things.

I can help you in filing your return of income you can just mail me the details.

Hope you find the information helpful if you do please rate it 5 and provide your valuable feedback for my improvement.

Thank you

Further, as an independent consultant you can take benefit of Presumptive Taxation u/s 44ADA.