If your sole source of income is commission, it is classified under the head "Profits and Gains of Business or Profession" as per the Income Tax Act, 1961. This is because earning commission typically involves carrying out a business activity or profession, such as acting as an agent or intermediary. Commission income is considered business income, you are required to file your income tax return using ITR-3.

If you are unsure about reporting commission income correctly, professional tax filing services online can simplify the process. TaxFilr helps individuals choose the correct income head and ITR form while ensuring accurate filing and full compliance with income tax regulations.

Consulting an experienced income tax consultant online can help determine whether commission income falls under business or other sources. Expert guidance ensures proper classification, correct deductions, and selection of the appropriate ITR form to avoid future notices.

Accurate tax return preparation is essential when commission is your only source of income. Proper documentation, expense claims, and correct ITR selection can significantly impact tax liability and compliance with income tax provisions.