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Do freelancers have to pay income tax?

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ShambhuPaul2021
(@shambhupaul2021)
Posts: 21
Member Customer
Topic starter
 

Freelancers can earn money online. Many freelancers took freelancing jobs, after complete jobs they get paid. Freelancing websites cut some money as a service charge. 

My questions are -

Do freelancers have to pay income tax?  

How to save income tax?

Every professional service rendered by someone is subject to 10% TDS -  Is this true?

 

Please help me.

 

 

Thanks.

 
Posted : 21/06/2021 6:19 am
Shah Awais
(@shahawais)
Posts: 678
Moderator Customer
 
Posted by: @shambhupaul2021

Freelancers can earn money online. Many freelancers took freelancing jobs, after complete jobs they get paid. Freelancing websites cut some money as a service charge. 

My questions are -

Do freelancers have to pay income tax?  

How to save income tax?

Every professional service rendered by someone is subject to 10% TDS -  Is this true?

 

Please help me.

 

 

Thanks.

Freelancers(Individuals) have no special taxIncome Tax, Sales Tax on their income. They only need to pay the bank/other source transfer fee for money transfer to the bank/money transfer institution.

 
Posted : 21/06/2021 11:22 pm
chitralekha2024
(@chitra)
Posts: 217
Member Customer
 
Posted by: @shambhupaul2021

Freelancers can earn money online. Many freelancers took freelancing jobs, after complete jobs they get paid. Freelancing websites cut some money as a service charge. 

My questions are -

Do freelancers have to pay income tax?  

In INDIA ,

 

• When the annual income of freelancer exceeds Rs. 20 lakh in a financial year ( except the North Eastern States) they have to pay the 18% goods and services tax from income earned from freelancing. 

• However , for North East Indian states the limit is 10L per annum.

 

✓ Income up to Rs 2.5 lakh is not taxed. 

• Income between the values 2.5 lakh to 5 lakh are taxed at 10%. 

• 5 to 10 lakhs at 20%.

• Above 10 lakh at 30 percent.

 ( on monthly basis )

 
Posted : 22/06/2021 3:10 am
Hassan Raza
(@hassanraza)
Posts: 509
Member Customer
 
Posted by: @shambhupaul2021

Freelancers can earn money online. Many freelancers took freelancing jobs, after complete jobs they get paid. Freelancing websites cut some money as a service charge. 

My questions are -

Do freelancers have to pay income tax?  

How to save income tax?

Every professional service rendered by someone is subject to 10% TDS -  Is this true?

 

Please help me.

 

 

Thanks.

Indeed anybody who earns have to pay income tax so it's true

 
Posted : 22/06/2021 4:22 am
Antoine.Assaker
(@antoine-assaker)
Posts: 620
Member Customer
 

Hello brother, well actually it is true, if you go to upwork for example, you see that for every freelancing job you take, they tell you before hand how much they will take from your revenue, usually it is about 10%

 
Posted : 22/06/2021 6:57 am
Manoj_R
(@manoj_r)
Posts: 1144
Member Customer
 
Posted by: @shambhupaul2021

Freelancers can earn money online. Many freelancers took freelancing jobs, after complete jobs they get paid. Freelancing websites cut some money as a service charge. 

My questions are -

Do freelancers have to pay income tax?  

How to save income tax?

Every professional service rendered by someone is subject to 10% TDS -  Is this true?

 

Please help me.

 

 

Thanks.

As per the income tax laws, freelancers too are liable to pay taxes for the income they earn just like other salaried or business taxpayers.

 

 
Posted : 22/06/2021 8:31 am
Muhammad aown
(@muhammad-aown)
Posts: 6735
Member Customer
 

Yes they do have to pay income tax and i don't think they can avoid it. Its just like any other Language

 
Posted : 22/06/2021 11:20 am
Adilkhan
(@adilkhan)
Posts: 2112
Moderator/Level 8 Member Customer
 
Posted by: @shambhupaul2021

Freelancers can earn money online. Many freelancers took freelancing jobs, after complete jobs they get paid. Freelancing websites cut some money as a service charge. 

My questions are -

Do freelancers have to pay income tax?  

How to save income tax?

Every professional service rendered by someone is subject to 10% TDS -  Is this true?

 

Please help me.

 

 

Thanks.

when you complete an order of 5 dollars on fiverr Fiverr get 20% tax from your income and you recieve 4 dollars

 
Posted : 23/06/2021 8:23 am
batoolabbas reacted
Ihthisham
(@ihthisham-ahmed)
Posts: 1751
Noble Member
 
Posted by: @shambhupaul2021

Freelancers can earn money online. Many freelancers took freelancing jobs, after complete jobs they get paid. Freelancing websites cut some money as a service charge. 

My questions are -

Do freelancers have to pay income tax?  

How to save income tax?

Every professional service rendered by someone is subject to 10% TDS -  Is this true?

 

Please help me.

 

 

Thanks.

The answer is simply no!

 
Posted : 23/06/2021 8:47 am
batoolabbas
(@batoolabbas)
Posts: 1693
Member Customer
 

@shahawais that’s the rule in Pakistan which is I assume existed till the previous year. Freelancers have to pay income tax as they are considered earners like others 

 
Posted : 28/06/2021 2:35 am
rimaz
(@rimaz)
Posts: 252
Member Customer
 
Posted by: @shambhupaul2021

Freelancers can earn money online. Many freelancers took freelancing jobs, after complete jobs they get paid. Freelancing websites cut some money as a service charge. 

My questions are -

Do freelancers have to pay income tax?  

How to save income tax?

Every professional service rendered by someone is subject to 10% TDS -  Is this true?

 

Please help me.

 

 

Thanks.

As the freelancing site charges a percentage ,it too Ican be considered as tax. most paying sites require tax ID as well.

 
Posted : 01/07/2021 6:28 pm
preetchovatiya
(@preetchovatiya)
Posts: 797
Member Customer
 
Posted by: @chitra
Posted by: @shambhupaul2021

Freelancers can earn money online. Many freelancers took freelancing jobs, after complete jobs they get paid. Freelancing websites cut some money as a service charge. 

My questions are -

Do freelancers have to pay income tax?  

In INDIA ,

 

• When the annual income of freelancer exceeds Rs. 20 lakh in a financial year ( except the North Eastern States) they have to pay the 18% goods and services tax from income earned from freelancing. 

• However , for North-East Indian states, the limit is 10L per annum.

 

✓ Income up to Rs 2.5 lakh is not taxed. 

• Income between the values 2.5 lakh to 5 lakh is taxed at 10%. 

• 5 to 10 lakhs at 20%.

• Above 10 lakh at 30 percent.

 ( on monthly basis )

Thanks for letting us know about taxation for freelancers.

 
Posted : 02/07/2021 10:21 am
Drake Suyat
(@pinoyecomking)
Posts: 103
Member Customer
 

Here in our country, the Philippines, freelancers are required to pay at least 15% tax and that is categorized as self-employment tax. However, for individual online sellers, there is no special legislation that provides taxation for online transactions as of yet. I guess it differs from every country but definitely, whenever we earn, we should pay tax. That's how life goes on this planet. ???? ???? 

 
Posted : 03/07/2021 3:49 am
Jubaer Hossen
(@jubaer-hossen)
Posts: 1101
Member Customer
 
Posted by: @chitra
Posted by: @shambhupaul2021

Freelancers can earn money online. Many freelancers took freelancing jobs, after complete jobs they get paid. Freelancing websites cut some money as a service charge. 

My questions are -

Do freelancers have to pay income tax?  

In INDIA ,

 

• When the annual income of freelancer exceeds Rs. 20 lakh in a financial year ( except the North Eastern States) they have to pay the 18% goods and services tax from income earned from freelancing. 

• However , for North East Indian states the limit is 10L per annum.

 

✓ Income up to Rs 2.5 lakh is not taxed. 

• Income between the values 2.5 lakh to 5 lakh are taxed at 10%. 

• 5 to 10 lakhs at 20%.

• Above 10 lakh at 30 percent.

 ( on monthly basis )

Your answer is helpful for us.

Best of luck.

 
Posted : 04/07/2021 6:47 am
Jubaer Hossen
(@jubaer-hossen)
Posts: 1101
Member Customer
 
Posted by: @shahawais
Posted by: @shambhupaul2021

Freelancers can earn money online. Many freelancers took freelancing jobs, after complete jobs they get paid. Freelancing websites cut some money as a service charge. 

My questions are -

Do freelancers have to pay income tax?  

How to save income tax?

Every professional service rendered by someone is subject to 10% TDS -  Is this true?

 

Please help me.

 

 

Thanks.

Freelancers(Individuals) have no special taxIncome Tax, Sales Tax on their income. They only need to pay the bank/other source transfer fee for money transfer to the bank/money transfer institution.

Your answer is very good.

Thanks a lot of bro.

You are welcome.

 
Posted : 04/07/2021 6:49 am
Jubaer Hossen
(@jubaer-hossen)
Posts: 1101
Member Customer
 
Posted by: @antoine-assaker

Hello brother, well actually it is true, if you go to upwork for example, you see that for every freelancing job you take, they tell you before hand how much they will take from your revenue, usually it is about 10%

Thank you for your answer.

You are welcome bro.

Please pray for me!

I will pray for you..

 
Posted : 04/07/2021 6:51 am
Muhammad aown
(@muhammad-aown)
Posts: 6735
Member Customer
 

@shahawais on a website, somebody was saying that income tax for a freelancer is the same as for any other source of income, means freelancing is nowadays considered no different from other fields.

 
Posted : 04/07/2021 7:16 am
Muhammad aown
(@muhammad-aown)
Posts: 6735
Member Customer
 

@pinoyecomking 15% tax is so much. How do guys manage it?

 
Posted : 04/07/2021 7:17 am
Muhammad aown
(@muhammad-aown)
Posts: 6735
Member Customer
 

@rimaz nowadays even affiliate forums requires you to enter tax details which creates problems for beginners.

 
Posted : 04/07/2021 7:18 am
Muhammad aown
(@muhammad-aown)
Posts: 6735
Member Customer
 

@chitra so if some earns 20 lakh, 6 lakh will go for tax.

 
Posted : 04/07/2021 7:19 am
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