Computation of Income under Section 44AD - Part IV

Section 44AD of the Income Tax Act, 1961 provides that if taxpayer is engaged in the any eligible business and having a turnover of Rs.2 crore or less, its profits are deemed to be 8 per cent of the total turnover or gross receipts.

source https://www.caclubindia.com/articles/computation-of-income-under-section-44ad-part-iv-46052.asp