Paying Taxes as a Home Tutor

If you take home tuitions and are unsure of whether you need to pay taxes or file an Income Tax Return. This series of posts will help you understand your taxes in detail. We will be answering the following questions in our series. If you are a home tutor and have any additional questions  – ask us in comments and we will add them to our list here –

  • What is my total income and is my income taxable?
  • Can I deduct expenses?
  • How much tax will I pay?
  • Do I need to maintain accounting records?
  • Is audit of my records applicable?
  • When is my return filing deadline?

Let’s answer the first question in our post today. Almost all incomes are taxable 🙂 so income from home tutions is taxable as well. For finding out your income tax, you have to sum up your incomes from various sources. Say, if you are a teacher and you take home tuitions as well. Your total income is salary income from the school plus the money earned by you from tuitions. If you don’t work as a teacher but take home tuitions your only income from home tuitions is taxable. Include any other income you earn – interest income from savings bank account or interest income from fixed deposits. If the sum of all your incomes is more than Rs 2,50,000 you should file an income tax return and pay any tax that is due on your income.

Do note that you are eligible to claim deductions under section 80C, Section 80D and all the other deductions mentioned here. We’ll discuss that in detail later.

Do you keep Records of your income? Are you maintaining a register for tuition fees paid by Students – that’s what you’ll need. Sum up all your receipts and you will have your total income. Add any other income you earn – salary or interest income.

In our next post we will discuss what are the expenses you can claim against this income – meanwhile if you have any questions, write to us

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