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Business and Profession Codes

by | 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-SectorCode
Software development14001
Other software consultancy14002
Data processing14003
Database activities and distribution of electronic content14004
Other IT enabled services14005
BPO services14006
Maintenance and repair of office, accounting and computing machinery14008
Legal profession16001
Accounting, book-keeping and auditing profession16002
Tax consultancy16003
Architectural profession16004
Engineering and technical consultancy16005
Fashion designing16007
Interior decoration16008
Photography16009
Business and management consultancy activities16013
Secretarial activities16018
Medical Profession16019_1
Film Artist16020
General hospitals18001
Speciality and super speciality hospitals18002
Nursing homes18003
Diagnostic centres18004
Pathological laboratories18005
Medical clinics18010
Dental practice18011
Ayurveda practice18012
Unani practice18013
Homeopathy practice18014
Nurses, physiotherapists or other para-medical practitioners18015
Veterinary hospitals and practice18016
Medical education18017
Medical research18018
Practice of other alternative medicine18019
Other healthcare services18020
Individual artists excluding authors20010
Literary activities20011
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-SectorCode
Growing and manufacturing of tea01001
Growing and manufacturing of coffee01002
Growing and manufacturing of rubber01003
Market gardening and horticulture specialties01004
Raising of silk worms and production of silk01005
Raising of bees and production of honey01006
Raising of poultry and production of eggs01007
Rearing of sheep and production of wool01008
Rearing of animals and production of animal products01009
Agricultural and animal husbandry services01010
Soil conservation, soil testing and soil desalination services01011
Hunting, trapping and game propagation services01012
Growing of timber, plantation, operation of tree nurseries and conserving of forest01013
Gathering of tendu leaves01014
Gathering of other wild growing materials01015
Forestry service activities, timber cruising, afforestation and reforestation01016
Logging service activities, transport of logs within the forest01017
Other agriculture, animal husbandry or forestry activity n.e.c01018
Fish Farming
Sub-SectorCode
Fishing on commercial basis in inland waters02001
Fishing on commercial basis in ocean and coastal areas02002
Fish farming02003
Gathering of marine materials such as natural pearls, sponges, coral etc.02004
Services related to marine and fresh water fisheries, fish hatcheries and fish farms02005
Other Fish farming activity n.e.c02006
Mining and Quarrying
Sub-SectorCode
Mining and agglomeration of hard coal03001
Mining and agglomeration of lignite03002
Extraction and agglomeration of peat03003
Extraction of crude petroleum and natural gas03004
Service activities incidental to oil and gas extraction excluding surveying03005
Mining of uranium and thorium ores03006
Mining of iron ores03007
Mining of non-ferrous metal ores, except uranium and thorium ores03008
Mining of gemstones03009
Mining of chemical and fertilizer minerals03010
Mining of quarrying of abrasive materials03011
Mining of mica, graphite and asbestos03012
Quarrying of stones (marble/granite/dolomite), sand and clay03013
Other mining and quarrying03014
Mining and production of salt03015
Other mining and quarrying n.e.c03016
Manufacturing
Sub-SectorCode
Production, processing and preservation of meat and meat products04001
Production, processing and preservation of fish and fish products04002
Manufacture of vegetable oil, animal oil and fats04003
Processing of fruits, vegetables and edible nuts04004
Manufacture of dairy products04005
Manufacture of sugar04006
Manufacture of cocoa, chocolates and sugar confectionery04007
Flour milling04008
Rice milling04009
Dal milling04010
Manufacture of other grain mill products04011
Manufacture of bakery products04012
Manufacture of starch products04013
Manufacture of animal feeds04014
Manufacture of other food products04015
Manufacturing of wines04016
Manufacture of beer04017
Manufacture of malt liquors04018
Distilling and blending of spirits, production of ethyl alcohol04019
Manufacture of mineral water04020
Manufacture of soft drinks04021
Manufacture of other non-alcoholic beverages04022
Manufacture of tobacco products04023
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 hand04027
Manufacture of wearing apparel04028
Tanning and dressing of leather04029
Manufacture of luggage, handbags and the like saddler and harness04030
Manufacture of footwear04031
Manufacture of wood and wood products, cork, straw and plaiting material04032
Manufacture of paper and paper products04033
Publishing, printing and reproduction of recorded media04034
Manufacture of coke oven products04035
Manufacture of refined petroleum products04036
Processing of nuclear fuel04037
Manufacture of fertilizers and nitrogen compounds04038
Manufacture of plastics in primary forms and of synthetic rubber04039
Manufacture of paints, varnishes and similar coatings04040
Manufacture of pharmaceuticals, medicinal chemicals and botanical products04041
Manufacture of soap and detergents04042
Manufacture of other chemical products04043
Manufacture of man-made fibers04044
Manufacture of rubber products04045
Manufacture of plastic products04046
Manufacture of glass and glass products04047
Manufacture of cement, lime and plaster04048
Manufacture of articles of concrete, cement and plaster04049
Manufacture of Bricks04050
Manufacture of other clay and ceramic products04051
Manufacture of other non-metallic mineral products04052
Manufacture of pig iron, sponge iron, Direct Reduced Iron etc.04053
Manufacture of Ferro alloys04054
Manufacture of Ingots, billets, blooms and slabs etc.04055
Manufacture of steel products04056
Manufacture of basic precious and non-ferrous metals04057
Manufacture of non-metallic mineral products04058
Casting of metals04059
Manufacture of fabricated metal products04060
Manufacture of engines and turbines04061
Manufacture of pumps and compressors04062
Manufacture of bearings and gears04063
Manufacture of ovens and furnaces04064
Manufacture of lifting and handling equipment04065
Manufacture of other general purpose machinery04066
Manufacture of agricultural and forestry machinery04067
Manufacture of Machine Tools04068
Manufacture of machinery for metallurgy04069
Manufacture of machinery for mining, quarrying and constructions04070
Manufacture of machinery for processing of food and beverages04071
Manufacture of machinery for leather and textile04072
Manufacture of weapons and ammunition04073
Manufacture of other special purpose machinery04074
Manufacture of domestic appliances04075
Manufacture of office, accounting and computing machinery04076
Manufacture of electrical machinery and apparatus04077
Manufacture of Radio, Television, communication equipment and apparatus04078
Manufacture of medical and surgical equipment04079
Manufacture of industrial process control equipment04080
Manufacture of instruments and appliances for measurements and navigation04081
Manufacture of optical instruments04082
Manufacture of watches and clocks04083
Manufacture of motor vehicles04084
Manufacture of body of motor vehicles04085
Manufacture of parts and accessories of motor vehicles and engines04086
Building and repair of ships and boats04087
Manufacture of railway locomotive and rolling stocks04088
Manufacture of aircraft and spacecraft04089
Manufacture of bicycles04090
Manufacture of other transport equipment04091
Manufacture of furniture04092
Manufacture of jewellery04093
Manufacture of sports goods04094
Manufacture of musical instruments04095
Manufacture of games and toys04096
Other manufacturing n.e.c.04097
Recycling of metal waste and scrap04098
Recycling of non- metal waste and scrap04099
Electricity, Gas and Water
Sub-SectorCode
Production, collection and distribution of electricity05001
Manufacture and distribution of gas05002
Collection, purification and distribution of water05003
Other essential commodity service n.e.c05004
Construction
Sub-SectorCode
Site preparation works06001
Building of complete constructions or parts- civil contractors06002
Building installation06003
Building completion06004
Construction and maintenance of roads, rails, bridges, tunnels, ports, harbour, runways etc.06005
Construction and maintenance of power plants06006
Construction and maintenance of industrial plants06007
Construction and maintenance of power transmission and telecommunication lines06008
Construction of water ways and water reservoirs06009
Other construction activity n.e.c.06010
Real Estate and Renting Services
Sub-SectorCode
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 lots07003
Real estate activities on a fee or contract basis07004
Other real estate/renting services n.e.c07005
Renting of Machinery
Sub-SectorCode
Renting of land transport equipment08001
Renting of water transport equipment08002
Renting of air transport equipment08003
Renting of agricultural machinery and equipment08004
Renting of construction and civil engineering machinery08005
Renting of office machinery and equipment08006
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-SectorCode
Wholesale and retail sale of motor vehicles09001
Repair and maintenance of motor vehicles09002
Sale of motor parts and accessories- wholesale and retail09003
Retail sale of automotive fuel09004
Wholesale of agricultural raw material09006
Wholesale of food and beverages and tobacco09007
Wholesale of household goods09008
Wholesale of metals and metal ores09009
Wholesale of household goods09010
Wholesale of construction material09011
Wholesale of hardware and sanitary fittings09012
Wholesale of cotton and jute09013
Wholesale of raw wool and raw silk09014
Wholesale of other textile fibres09015
Wholesale of industrial chemicals09016
Wholesale of fertilizers and pesticides09017
Wholesale of electronic parts and equipment09018
Wholesale of other machinery, equipment and supplies09019
Wholesale of waste, scrap and materials for re-cycling09020
Retail sale of food, beverages and tobacco in specialized stores09021
Retail sale of other goods in specialized stores09022
Retail sale in non-specialized stores09023
Retail sale of textiles, apparel, footwear, leather goods09024
Retail sale of other household appliances09025
Retail sale of hardware, paint, and glass09026
Wholesale of other products n.e.c09027
Retail sale of other products n.e.c09028
Hotels, Restaurants and Hospitality Services
Sub-SectorCode
Hotels – Star rated10001
Hotels – Non-star-rated10002
Motels, Inns and Dharmshalas10003
Guest houses and circuit houses10004
Dormitories and hostels at educational institutions10005
Short stay accommodations n.e.c.10006
Restaurants – with bars10007
Restaurants – without bars10008
Canteens10009
Independent caterers10010
Casinos and other games of chance10011
Other hospitality services n.e.c.10012
Transport & Logistics Services
Sub-SectorCode
Travel agencies and tour operators11001
Packers and movers11002
Passenger land transport11003
Air transport11004
Transport by urban/sub-urban railways11005
Inland water transport11006
Sea and coastal water transport11007
Freight transport by road11008
Freight transport by railways11009
Forwarding of freight11010
Receiving and acceptance of freight11011
Cargo handling11012
Storage and warehousing11013
Transport via pipelines (transport of gases, liquids, slurry and other commodities)11014
Other Transport and Logistics services n.e.c11015
Post and Telecommunication Services
Sub-SectorCode
Post and courier activities12001
Basic telecom services12002
Value added telecom services12003
Maintenance of telecom network12004
Activities of the cable operators12005
Other Post and Telecommunication services n.e.c12006
Financial Intermediation Services
Sub-SectorCode
Commercial, saving banks and discount houses13001
Specialized institutions granting credit13002
Financial leasing 13003
Hire-purchase financing 13004
Housing finance activities 13005
Commercial loan activities 13006
Credit cards13007
Mutual funds13008
Chit fund13009
Investment activities13010
Life insurance 13011
Pension funding 13012
Non-life insurance 13013
Administration of financial markets13014
Stockbrokers, sub-brokers and related activities13015
Financial advisers, Mortgage advisers, and brokers13016
Foreign exchange services13017
Other financial intermediation services n.e.c13018
Sub-SectorCode
Cybercafe14007
Computer training and educational institutes14009
Other computation related services n.e.c14010
Research and Development
Sub-Sector Code 
Natural sciences and engineering15001
Social sciences and humanities15002
Other Research & Development activities n.e.c.15003
Professions
Sub-SectorCode
Advertising16006
Auctioneers16010
Market research and public opinion polling16012
Labour recruitment and provision of personnel16014
Investigation and security services16015
Building-cleaning and industrial cleaning activities16016
Packaging activities16017
Other professional services n.e.c.16019
Education Services
Sub-Sector Code
Primary education17001
Secondary/senior secondary education17002
Technical and vocational secondary/senior secondary education 17003
Higher education 17004
Education by correspondence 17005
Coaching centers tuitions 17006
Other education services n.e.c17007
Health Care and Services
Sub-SectorCode
Independent blood banks 18006
Medical transcription 18007
Independent ambulance services18008
Medical suppliers, agencies and stores18009
Social and Community Work
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 commerce19003
Professional organisations19004
Trade unions19005
Religious organizations19006
Political organisations19007
Other membership organisations n.e.c. (rotary clubs, book clubs and philatelic clubs)19008
Other Social or community service n.e.c19009
Culture and Sport
Sub-Sector Code 
Motion picture production20001
Film distribution20002
Film laboratories20003
Television channel productions20004
Television channels broadcast20005
Video production and distribution20006
Sound recording studios20007
Radio – recording and distribution20008
Stage production and related activities20009
Circuses and race tracks20013
Video Parlours20014
News agency activities20015
Library and archives activities20016
Museum activities20017
Preservation of historical sites and buildings20018
Botanical and zoological gardens20019
Operation and maintenance of sports facilities20020
Activities of sports and game schools20021
Organisation and operation of indoor/outdoor sports and promotion and production of sporting events20022
Sports Management20023_1
Other sporting activities n.e.c.20023
Other recreational activities n.e.c.20024
Other Services
Sub-SectorCode
Hairdressing and other beauty treatment21001
Funeral and related activities21002
Marriage bureaus 21003
Pet care services21004
Sauna and steam baths, massage salons, etc.21005
Astrological and spiritualists’ activities 21006
Private households as employers of domestic staff21007
Event Management21008_1
Other services n.e.c21008
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-SectorCode
Renting of land transport equipment08001
Transport & Logistic Services
Sub-SectorCode
Packers and movers11002
Freight transport by road11008
Forwarding of freight11010
Receiving and acceptance of freight11011
Cargo handling11012
Other Transport and Logistics services n.e.c11015

Other codes for Business & Professions

In addition to the above-mentioned codes, below are other codes that can be opted for by such businesses for commission or brokerage income.

Wholesale & Retail Trade
Sub-SectorCode
General commission agents, commodity brokers and auctioneers09005
Professions
Sub-SectorCode
Business brokerage16011

Read More: Tax Loss Harvesting for Stock Traders

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Official Income Tax Return filing website: https://incometaxindia.gov.in/

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