Business and Profession Codes

by Shakshi Bharti | May 7, 2024 | Income Tax, Income from Trading | 0 comments

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Important Keyword: Business and Profession Income, ITR-3, ITR-4

Business and Profession Codes

In India, businesses and professions span a diverse spectrum, each requiring specific categorization for tax purposes. To ensure accurate classification, the income tax department has established a comprehensive list of business and profession codes. Taxpayers must diligently select the relevant code when filing their income tax returns. Incorrect reporting or omission of this code could prompt the tax department to issue a notice seeking clarification. Therefore, meticulous attention to this detail is essential to maintain compliance with tax regulations.

The Central Board of Direct Taxes (CBDT) has delineated specific business and profession codes for the purpose of Income Tax Return (ITR) filing. These codes are organized into distinct categories, including business income governed by Section 44AD, Section 44ADA, Section 44AE, and other businesses.

For taxpayers not opting for the Presumptive Taxation Scheme, the appropriate course of action is to compile financial statements and file ITR-3. During this process, it’s crucial to accurately select the relevant codes and category from the provided drop-down list. Additionally, taxpayers have the option to furnish details such as a description of the business or profession activity and the Trade Name associated with the business or profession. This meticulous approach ensures adherence to regulatory requirements and facilitates seamless tax compliance.

For taxpayers opting for the Presumptive Taxation Scheme under Section 44AD or 44ADA and earning income from business or profession, the process is simplified. They are exempted from the obligation of maintaining books of accounts and are required to file ITR-4.

During the filing process, it’s imperative for the taxpayer to accurately choose the relevant codes and category from the provided drop-down list. Additionally, they have the option to provide details such as a description of the business or profession activity and the Trade Name associated with their enterprise. This meticulous approach ensures adherence to regulatory guidelines and facilitates smooth tax compliance for taxpayers availing themselves of the Presumptive Taxation Scheme.

List of Codes for Professions

Select the code from the list below in case of Income from Profession under ITR-3 or for opting for Presumptive Taxation Scheme under Sec 44ADA under ITR-4.

Sub-Sector	Code
Software development	14001
Other software consultancy	14002
Data processing	14003
Database activities and distribution of electronic content	14004
Other IT enabled services	14005
BPO services	14006
Maintenance and repair of office, accounting and computing machinery	14008
Legal profession	16001
Accounting, book-keeping and auditing profession	16002
Tax consultancy	16003
Architectural profession	16004
Engineering and technical consultancy	16005
Fashion designing	16007
Interior decoration	16008
Photography	16009
Business and management consultancy activities	16013
Secretarial activities	16018
Medical Profession	16019_1
Film Artist	16020
General hospitals	18001
Speciality and super speciality hospitals	18002
Nursing homes	18003
Diagnostic centres	18004
Pathological laboratories	18005
Medical clinics	18010
Dental practice	18011
Ayurveda practice	18012
Unani practice	18013
Homeopathy practice	18014
Nurses, physiotherapists or other para-medical practitioners	18015
Veterinary hospitals and practice	18016
Medical education	18017
Medical research	18018
Practice of other alternative medicine	18019
Other healthcare services	18020
Individual artists excluding authors	20010
Literary activities	20011
Other cultural activities n.e.c.	20012

List of Codes for Businesses

Select the code from the list below in case of Income from Business under ITR-3 or for opting for the Presumptive Taxation Scheme under Sec 44AD under ITR-4.

Agricultural, Animal, Husbandry & Forestry

Sub-Sector	Code
Growing and manufacturing of tea	01001
Growing and manufacturing of coffee	01002
Growing and manufacturing of rubber	01003
Market gardening and horticulture specialties	01004
Raising of silk worms and production of silk	01005
Raising of bees and production of honey	01006
Raising of poultry and production of eggs	01007
Rearing of sheep and production of wool	01008
Rearing of animals and production of animal products	01009
Agricultural and animal husbandry services	01010
Soil conservation, soil testing and soil desalination services	01011
Hunting, trapping and game propagation services	01012
Growing of timber, plantation, operation of tree nurseries and conserving of forest	01013
Gathering of tendu leaves	01014
Gathering of other wild growing materials	01015
Forestry service activities, timber cruising, afforestation and reforestation	01016
Logging service activities, transport of logs within the forest	01017
Other agriculture, animal husbandry or forestry activity n.e.c	01018

Fish Farming

Sub-Sector	Code
Fishing on commercial basis in inland waters	02001
Fishing on commercial basis in ocean and coastal areas	02002
Fish farming	02003
Gathering of marine materials such as natural pearls, sponges, coral etc.	02004
Services related to marine and fresh water fisheries, fish hatcheries and fish farms	02005
Other Fish farming activity n.e.c	02006

Mining and Quarrying

Sub-Sector	Code
Mining and agglomeration of hard coal	03001
Mining and agglomeration of lignite	03002
Extraction and agglomeration of peat	03003
Extraction of crude petroleum and natural gas	03004
Service activities incidental to oil and gas extraction excluding surveying	03005
Mining of uranium and thorium ores	03006
Mining of iron ores	03007
Mining of non-ferrous metal ores, except uranium and thorium ores	03008
Mining of gemstones	03009
Mining of chemical and fertilizer minerals	03010
Mining of quarrying of abrasive materials	03011
Mining of mica, graphite and asbestos	03012
Quarrying of stones (marble/granite/dolomite), sand and clay	03013
Other mining and quarrying	03014
Mining and production of salt	03015
Other mining and quarrying n.e.c	03016

Manufacturing

Sub-Sector	Code
Production, processing and preservation of meat and meat products	04001
Production, processing and preservation of fish and fish products	04002
Manufacture of vegetable oil, animal oil and fats	04003
Processing of fruits, vegetables and edible nuts	04004
Manufacture of dairy products	04005
Manufacture of sugar	04006
Manufacture of cocoa, chocolates and sugar confectionery	04007
Flour milling	04008
Rice milling	04009
Dal milling	04010
Manufacture of other grain mill products	04011
Manufacture of bakery products	04012
Manufacture of starch products	04013
Manufacture of animal feeds	04014
Manufacture of other food products	04015
Manufacturing of wines	04016
Manufacture of beer	04017
Manufacture of malt liquors	04018
Distilling and blending of spirits, production of ethyl alcohol	04019
Manufacture of mineral water	04020
Manufacture of soft drinks	04021
Manufacture of other non-alcoholic beverages	04022
Manufacture of tobacco products	04023
Manufacture of textiles (other than by handloom)	04024
Manufacture of textiles using handlooms (khadi)	04025
Manufacture of carpet, rugs, blankets, shawls etc. (other than by hand)	04026
Manufacture of carpet, rugs, blankets, shawls etc. by hand	04027
Manufacture of wearing apparel	04028
Tanning and dressing of leather	04029
Manufacture of luggage, handbags and the like saddler and harness	04030
Manufacture of footwear	04031
Manufacture of wood and wood products, cork, straw and plaiting material	04032
Manufacture of paper and paper products	04033
Publishing, printing and reproduction of recorded media	04034
Manufacture of coke oven products	04035
Manufacture of refined petroleum products	04036
Processing of nuclear fuel	04037
Manufacture of fertilizers and nitrogen compounds	04038
Manufacture of plastics in primary forms and of synthetic rubber	04039
Manufacture of paints, varnishes and similar coatings	04040
Manufacture of pharmaceuticals, medicinal chemicals and botanical products	04041
Manufacture of soap and detergents	04042
Manufacture of other chemical products	04043
Manufacture of man-made fibers	04044
Manufacture of rubber products	04045
Manufacture of plastic products	04046
Manufacture of glass and glass products	04047
Manufacture of cement, lime and plaster	04048
Manufacture of articles of concrete, cement and plaster	04049
Manufacture of Bricks	04050
Manufacture of other clay and ceramic products	04051
Manufacture of other non-metallic mineral products	04052
Manufacture of pig iron, sponge iron, Direct Reduced Iron etc.	04053
Manufacture of Ferro alloys	04054
Manufacture of Ingots, billets, blooms and slabs etc.	04055
Manufacture of steel products	04056
Manufacture of basic precious and non-ferrous metals	04057
Manufacture of non-metallic mineral products	04058
Casting of metals	04059
Manufacture of fabricated metal products	04060
Manufacture of engines and turbines	04061
Manufacture of pumps and compressors	04062
Manufacture of bearings and gears	04063
Manufacture of ovens and furnaces	04064
Manufacture of lifting and handling equipment	04065
Manufacture of other general purpose machinery	04066
Manufacture of agricultural and forestry machinery	04067
Manufacture of Machine Tools	04068
Manufacture of machinery for metallurgy	04069
Manufacture of machinery for mining, quarrying and constructions	04070
Manufacture of machinery for processing of food and beverages	04071
Manufacture of machinery for leather and textile	04072
Manufacture of weapons and ammunition	04073
Manufacture of other special purpose machinery	04074
Manufacture of domestic appliances	04075
Manufacture of office, accounting and computing machinery	04076
Manufacture of electrical machinery and apparatus	04077
Manufacture of Radio, Television, communication equipment and apparatus	04078
Manufacture of medical and surgical equipment	04079
Manufacture of industrial process control equipment	04080
Manufacture of instruments and appliances for measurements and navigation	04081
Manufacture of optical instruments	04082
Manufacture of watches and clocks	04083
Manufacture of motor vehicles	04084
Manufacture of body of motor vehicles	04085
Manufacture of parts and accessories of motor vehicles and engines	04086
Building and repair of ships and boats	04087
Manufacture of railway locomotive and rolling stocks	04088
Manufacture of aircraft and spacecraft	04089
Manufacture of bicycles	04090
Manufacture of other transport equipment	04091
Manufacture of furniture	04092
Manufacture of jewellery	04093
Manufacture of sports goods	04094
Manufacture of musical instruments	04095
Manufacture of games and toys	04096
Other manufacturing n.e.c.	04097
Recycling of metal waste and scrap	04098
Recycling of non- metal waste and scrap	04099

Electricity, Gas and Water

Sub-Sector	Code
Production, collection and distribution of electricity	05001
Manufacture and distribution of gas	05002
Collection, purification and distribution of water	05003
Other essential commodity service n.e.c	05004

Construction

Sub-Sector	Code
Site preparation works	06001
Building of complete constructions or parts- civil contractors	06002
Building installation	06003
Building completion	06004
Construction and maintenance of roads, rails, bridges, tunnels, ports, harbour, runways etc.	06005
Construction and maintenance of power plants	06006
Construction and maintenance of industrial plants	06007
Construction and maintenance of power transmission and telecommunication lines	06008
Construction of water ways and water reservoirs	06009
Other construction activity n.e.c.	06010

Real Estate and Renting Services

Sub-Sector	Code
Purchase, sale and letting of leased buildings (residential and non-residential)	07001
Operating of real estate of self-owned buildings (residential and non-residential)	07002
Developing and sub-dividing real estate into lots	07003
Real estate activities on a fee or contract basis	07004
Other real estate/renting services n.e.c	07005

Renting of Machinery

Sub-Sector	Code
Renting of land transport equipment	08001
Renting of water transport equipment	08002
Renting of air transport equipment	08003
Renting of agricultural machinery and equipment	08004
Renting of construction and civil engineering machinery	08005
Renting of office machinery and equipment	08006
Renting of other machinery and equipment n.e.c.	08007
Renting of personal and household goods n.e.c.	08008
Renting of other machinery n.e.c.	08009

Wholesale and Retail Trade

Sub-Sector	Code
Wholesale and retail sale of motor vehicles	09001
Repair and maintenance of motor vehicles	09002
Sale of motor parts and accessories- wholesale and retail	09003
Retail sale of automotive fuel	09004
Wholesale of agricultural raw material	09006
Wholesale of food and beverages and tobacco	09007
Wholesale of household goods	09008
Wholesale of metals and metal ores	09009
Wholesale of household goods	09010
Wholesale of construction material	09011
Wholesale of hardware and sanitary fittings	09012
Wholesale of cotton and jute	09013
Wholesale of raw wool and raw silk	09014
Wholesale of other textile fibres	09015
Wholesale of industrial chemicals	09016
Wholesale of fertilizers and pesticides	09017
Wholesale of electronic parts and equipment	09018
Wholesale of other machinery, equipment and supplies	09019
Wholesale of waste, scrap and materials for re-cycling	09020
Retail sale of food, beverages and tobacco in specialized stores	09021
Retail sale of other goods in specialized stores	09022
Retail sale in non-specialized stores	09023
Retail sale of textiles, apparel, footwear, leather goods	09024
Retail sale of other household appliances	09025
Retail sale of hardware, paint, and glass	09026
Wholesale of other products n.e.c	09027
Retail sale of other products n.e.c	09028

Hotels, Restaurants and Hospitality Services

Sub-Sector	Code
Hotels – Star rated	10001
Hotels – Non-star-rated	10002
Motels, Inns and Dharmshalas	10003
Guest houses and circuit houses	10004
Dormitories and hostels at educational institutions	10005
Short stay accommodations n.e.c.	10006
Restaurants – with bars	10007
Restaurants – without bars	10008
Canteens	10009
Independent caterers	10010
Casinos and other games of chance	10011
Other hospitality services n.e.c.	10012

Transport & Logistics Services

Sub-Sector	Code
Travel agencies and tour operators	11001
Packers and movers	11002
Passenger land transport	11003
Air transport	11004
Transport by urban/sub-urban railways	11005
Inland water transport	11006
Sea and coastal water transport	11007
Freight transport by road	11008
Freight transport by railways	11009
Forwarding of freight	11010
Receiving and acceptance of freight	11011
Cargo handling	11012
Storage and warehousing	11013
Transport via pipelines (transport of gases, liquids, slurry and other commodities)	11014
Other Transport and Logistics services n.e.c	11015

Post and Telecommunication Services

Sub-Sector	Code
Post and courier activities	12001
Basic telecom services	12002
Value added telecom services	12003
Maintenance of telecom network	12004
Activities of the cable operators	12005
Other Post and Telecommunication services n.e.c	12006

Financial Intermediation Services

Sub-Sector	Code
Commercial, saving banks and discount houses	13001
Specialized institutions granting credit	13002
Financial leasing	13003
Hire-purchase financing	13004
Housing finance activities	13005
Commercial loan activities	13006
Credit cards	13007
Mutual funds	13008
Chit fund	13009
Investment activities	13010
Life insurance	13011
Pension funding	13012
Non-life insurance	13013
Administration of financial markets	13014
Stockbrokers, sub-brokers and related activities	13015
Financial advisers, Mortgage advisers, and brokers	13016
Foreign exchange services	13017
Other financial intermediation services n.e.c	13018

Sub-Sector	Code
Cybercafe	14007
Computer training and educational institutes	14009
Other computation related services n.e.c	14010

Research and Development

Sub-Sector	Code
Natural sciences and engineering	15001
Social sciences and humanities	15002
Other Research & Development activities n.e.c.	15003

Professions

Sub-Sector	Code
Advertising	16006
Auctioneers	16010
Market research and public opinion polling	16012
Labour recruitment and provision of personnel	16014
Investigation and security services	16015
Building-cleaning and industrial cleaning activities	16016
Packaging activities	16017
Other professional services n.e.c.	16019

Education Services

Sub-Sector	Code
Primary education	17001
Secondary/senior secondary education	17002
Technical and vocational secondary/senior secondary education	17003
Higher education	17004
Education by correspondence	17005
Coaching centers tuitions	17006
Other education services n.e.c	17007

Health Care and Services

Sub-Sector	Code
Independent blood banks	18006
Medical transcription	18007
Independent ambulance services	18008
Medical suppliers, agencies and stores	18009

Sub-Sector	Code
Social work activities with accommodation (orphanages and old age homes)	19001
Social work activities without accommodation (Creches)	19002
Industry associations, chambers of commerce	19003
Professional organisations	19004
Trade unions	19005
Religious organizations	19006
Political organisations	19007
Other membership organisations n.e.c. (rotary clubs, book clubs and philatelic clubs)	19008
Other Social or community service n.e.c	19009

Culture and Sport

Sub-Sector	Code
Motion picture production	20001
Film distribution	20002
Film laboratories	20003
Television channel productions	20004
Television channels broadcast	20005
Video production and distribution	20006
Sound recording studios	20007
Radio – recording and distribution	20008
Stage production and related activities	20009
Circuses and race tracks	20013
Video Parlours	20014
News agency activities	20015
Library and archives activities	20016
Museum activities	20017
Preservation of historical sites and buildings	20018
Botanical and zoological gardens	20019
Operation and maintenance of sports facilities	20020
Activities of sports and game schools	20021
Organisation and operation of indoor/outdoor sports and promotion and production of sporting events	20022
Sports Management	20023_1
Other sporting activities n.e.c.	20023
Other recreational activities n.e.c.	20024

Other Services

Sub-Sector	Code
Hairdressing and other beauty treatment	21001
Funeral and related activities	21002
Marriage bureaus	21003
Pet care services	21004
Sauna and steam baths, massage salons, etc.	21005
Astrological and spiritualists’ activities	21006
Private households as employers of domestic staff	21007
Event Management	21008_1
Other services n.e.c	21008

Extra-Territorial Organizations and Bodies

Sub-Sector	Code
Extraterritorial organizations and bodies (IMF, World Bank, European Commission, etc.)	22001

Businesses opting for Section 44AE

Select the code from the list below in case of Income from Business under ITR-3 or for opting for Presumptive Taxation Scheme under Sec 44AE under ITR-4.

Renting of Machinery

Sub-Sector	Code
Renting of land transport equipment	08001

Transport & Logistic Services

Sub-Sector	Code
Packers and movers	11002
Freight transport by road	11008
Forwarding of freight	11010
Receiving and acceptance of freight	11011
Cargo handling	11012
Other Transport and Logistics services n.e.c	11015