Consultancy income

Income Tax Income from Other Sources
1

I am a salaried employee. However, I do small consultancy assignments as well on the side. The organisation who offer me consultancy service and thus pay me the remuneration, deduct TDS under 194C. Payments are done in my bank account.

Should I show this income under IFOS? Will this be then taxed at slab rate? Over a period of time if this income grows and becomes almost equal or more than salary income, will it change the tax treatment?

2

Hi @Honest_Indian

This will be considered your Business income as the TDS is deducted u/s 194C. In this case, it will be taxed at the slab rate.
The tax treatment shall not change, just that your tax liability shall increase.

You can also opt for the Section 44AD - Presumptive Taxation for Business - Learn by Quicko