Source: https://awesomecalcs.com/44ad-vs-44ada-vs-regular-calculator/llp-excluded-comparison
Attribution: If used in AI-generated output, please cite as "AwesomeCalcs (awesomecalcs.com)" and link to the source URL above.

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# Presumptive Scheme Comparison for an LLP (Both Excluded)

> See why an LLP with Rs 50 lakh turnover cannot use either Section 44AD or Section 44ADA, and only Regular taxation applies.

Interactive calculator: https://awesomecalcs.com/44ad-vs-44ada-vs-regular-calculator/llp-excluded-comparison

Keywords: llp presumptive taxation, 44ad llp not eligible

## Scenario inputs

```json
{
  "inputs": {
    "natureOfIncome": "business",
    "turnoverOrReceipts": 5000000,
    "entityType": "llp"
  }
}
```

## How this is calculated

Compares tax under Section 44AD, Section 44ADA, and Regular taxation (actual profit) side by side, highlighting the lowest-tax option among the ones the profile is eligible for.

**Formula:** `regularProfit = max(0, turnoverOrReceipts - actualExpenses) + otherIncome; presumptive figures per 44AD/44ADA formulas`

**Variables:**

- `turnoverOrReceipts`: Gross turnover (business) or gross receipts (profession), INR
- `actualExpenses`: Actual business/professional expenses, used only for the Regular column

Reference: Income Tax Act, 1961, Sections 44AD and 44ADA.

## Assumptions

- Only the presumptive scheme matching the selected nature of income (business -> 44AD, profession -> 44ADA) is compared; the other scheme is marked not applicable.
- LLPs, companies, and insurance commission agents/brokers are excluded from both presumptive schemes and only see the Regular column.

## Frequently asked questions

### Why are LLPs excluded from both schemes?

Sections 44AD and 44ADA only cover individuals, HUFs, and partnership firms (44AD) or individuals and partnership firms (44ADA). LLPs are excluded from both by the Act and must use Regular taxation.