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Clearing the Doubts on Taxation of Home Tutors

Home tuition is a new way of getting an education. Homeschooling ensures the kids get a better education. With the trend of home tuition is increasing, the teachers are turning into home tutors. The home tutor is a teaching profession, which is becoming common day by day. But, they are pretty different from regular school or college teachers. The law sees them from a different angle.

Clearing the Doubts on Taxation of Home Tutors

Many of the home tutors always get confused while paying their tax liabilities. They always get a ton of questions while filling the income tax returns. If you are a home tutor and have doubts about taxation for your profession, don’t worry. In this post, our tax professionals will answer all of the frequently asked questions on Taxation for Home Tutors.

taxation of home tutorsFAQ and Answers on Taxation for Home Tutors

The home tutor is a freelance professional. The income tax rules for freelancers are a bit different. That’s why people start to worry a lot. Here are the answers to all of the common questions that you might get in your mind as a professional home tutor.

#Q1 – Is My Income Taxable as a Home Tutor?

Yes. The Professional Home tutors can show their Income as the Income from Tutions. The Income from Tutions, be it salaries or professional, is taxable. This can be shown as the “Income from Business/Profession” in the Income Tax Return.

#Q2 – Do I have to File Income Tax Returns?

Anyone earning more than Rs. 2,50,000/- Per Year via a Legitimate source of Income should file Income Tax Return. If you are earning more than Rs. 2,50,000/- as a professional home tutor, then you should file an income tax return for the appropriate year.

#Q3 – What are the Essential Documents Required for Filing IT Return?

You must maintain all of the essential records. The records with students’ names, addresses, fees, and receipt dates are essential. Also, you should keep the bank statement handy. If you deal in the cash, then keep all of the receipts and vouchers handy. You must have a PAN card for filing the IT return on the official portal. Without having all of these documents, it’s pretty hard to file the income tax return.

#Q4 – Do I Have to Maintain Books of Accounts?

Not everyone has to maintain the books of accounts. If your net profits cross 1,20,000/- in a financial year, you have to maintain the books of accounts. If your gross revenues cross 10,00,000/- in the financial year, you have to maintain books of accounts.

#Q5 – What are the Deductible Expenses for a Home Tutor?

As a professional home tutor, you can claim the expenses related to your profession. You can claim stationary expenses, business travel, printing expenses, furniture, and other related expenses. Not just this, you can claim any other expense directly related to the business.

Professional Income Tax Return Filing Services at Efiling.co.in.

Filling the income tax returns by yourself is a tedious task. That’s why you should get expert assistance. It would help if you focused on your Home tuitions rather than on the Income-tax Returns. Our tax professionals will answer all your doubts and help you file the income tax returns on time. 

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