How the India section 44ada calculator is verified

Inputs

Input	Field	Type
Annual gross receipts (INR)	`grossReceipts`	number

The formula

Each derived value below is computed by the Valem engine from the expression shown, in this order. Nothing else runs — there is no hidden code path.

Derived value	Field	Formula (JSONata)
Presumptive income (50%)	`presumptiveIncome`	`$round(grossReceipts * $const.presumptiveShare, 2)`
Slab Tax	`slabTax`	`($t := presumptiveIncome; $round($const.r2 * $max([0, $min([$t, $const.b2]) - $const.b1]) + $const.r3 * $max([0, $min([$t, $const.b3]) - $const.b2]) + $const.r4 * $max([0, $min([$t, $const.b4]) - $const.b3]) + $const.r5 * $max([0, $min([$t, $const.b5]) - $const.b4]) + $const.r6 * $max([0, $min([$t, $const.b6]) - $const.b5]) + $const.r7 * $max([0, $t - $const.b6]), 2))`
Section 87A rebate	`rebate`	`$round(presumptiveIncome <= $const.rebateLimit ? $min([slabTax, $const.rebateMax]) : 0, 2)`
Tax + 4% cess	`totalTax`	`$round(($slabTax := slabTax - rebate; $slabTax + $slabTax * $const.cessRate), 2)`
Receipts after tax	`netIncome`	`$round($max([0, grossReceipts - totalTax]), 2)`

Rates and thresholds

The expressions above read these as $const. They are the figures the annual refresh replaces, so they live as data rather than being written into the formulas — which is what makes a year-on-year change a one-line diff instead of an edit to arithmetic.

Constant	Value
`presumptiveShare`	0.5
`rebateLimit`	1200000
`rebateMax`	60000
`cessRate`	0.04
`b1`	400000
`b2`	800000
`b3`	1200000
`b4`	1600000
`b5`	2000000
`b6`	2400000
`r2`	0.05
`r3`	0.1
`r4`	0.15
`r5`	0.2
`r6`	0.25
`r7`	0.3

Test vectors (3)

Every case is executed against this model on each build, by the Java engine and independently by a JavaScript one. A mismatch of a single cent fails the build, so the page cannot ship advertising a figure the model no longer produces.

Case 1 — 30,00,000 INR gross receipts — a typical full-time consultant

given `grossReceipts`	3000000
expect `presumptiveIncome`	1500000
expect `slabTax`	105000
expect `rebate`	0
expect `totalTax`	109200
expect `netIncome`	2890800

Case 2 — 20,00,000 INR — the presumptive income lands inside the 87A rebate

given `grossReceipts`	2000000
expect `presumptiveIncome`	1000000
expect `slabTax`	40000
expect `rebate`	40000
expect `totalTax`	0
expect `netIncome`	2000000

Case 3 — 70,00,000 INR — near the top of the scheme

given `grossReceipts`	7000000
expect `presumptiveIncome`	3500000
expect `slabTax`	630000
expect `rebate`	0
expect `totalTax`	655200
expect `netIncome`	6344800

Sources

Income Tax Department — Presumptive taxation under Section 44ADA · checked 2026-08-22
Section 44ADA: latest rules for professionals (AY 2026-27) · checked 2026-08-22

Check it yourself — and reuse it

The whole model as JSON — inputs, outputs, formulas, vectors and sources in one re-runnable document.

This model is published under CC BY 4.0: use it, adapt it, build on it, with attribution. The licence covers the model — the expression of each rule and the arrangement of the catalog. The rates and thresholds are law, and nobody licenses those; the sources above are where they come from.

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