Query - ITR-3: Speculative Business under Section 44AD

Taxation
1

I have a query regarding the correct reporting of speculative business (Business Code 21009) when opting for Section 44AD in ITR-3 (AY 2026-27).

From my understanding and testing of the utility:

  1. I can create a separate business with Business Code 21009 – Speculative Trading and opt for Section 44AD .
  2. However, Schedule 44AD provides only one consolidated table for turnover and presumptive income. There are no separate fields for each business code. Therefore, if there are multiple businesses under 44AD, the turnover and income have to be entered as combined figures.
  3. At the same time, Part A – P&L, Item 65 requires separate details of speculative business (turnover, gross profit, expenditure, and net income).
  4. I observed that once Item 65 is filled, the net speculative income is automatically carried to Schedule BP and included in Total Income , even without entering anything in Schedule 44AD.

My concern is:

If the speculative business is also included in Schedule 44AD , won’t the same income be considered twice—once through Part A–P&L Item 65 (which flows to Schedule BP) and again through Schedule 44AD?

So, what is the correct filing approach?

  • Should a speculative business opting for Section 44AD be reported only in Schedule 44AD , leaving Part A–P&L Item 65 blank?
  • Or should it be reported only in Part A–P&L Item 65 , without including it in Schedule 44AD?
  • If both are required, how does the utility prevent double taxation of the same income?

Has anyone tested this in the latest ITR-3 utility or received any clarification from the Income-tax Department? @BB789 @Quicko @TAXIQ.IN @tax007

2

Add screenshots to your question to clarify the exact section of the form you’re referring to.

3

Hello,

If intraday income needs to be reported under presumptive scheme of Section 44AD then only relevant details of Section 44AD needs to be filed leaving the item 65 Part A - P&L blank.

Thanks

4

Doesn’t item 65 also come under presumptive income? The left bar says

COMPUTATION - PRESUMPTIVE INCOME

which enclosed items 61 to 65

5

Do we have to combine all the figures (from all the business types)?

6

yes this is really confusing. there are two ways to fill the speculative income in the presumptive section 44AD as well as in the item 65.
One more thing is under under 44AD, if we add two business codes, the system is showing only one table to fill up. There are not two separate tables - that means we have to combine turnover receipts and profits and enter those values. This is also confusing.

7

What item number are you talking about? In what schedule?

8

in Part A - P & L

9

One thing is item65 in Part A - P & L, what is the other thing?

if you meant 4a of schedule BP, it clearly says it is included:

4a Profit or loss included in 1, which is referred to in section 44AD/44ADA/44AE/44B/44BB/44BBA/44BBC/44BBD/44DA