Should I Apply As Salaried or Self Employed?

[Zed]

Hi All,

I am running a family business where i am paid salary though the salary is under 5.5 lakhs/annum so TDS is not deducted and business receipts are under 20L/annum so not GST registered (IT returns filed under presumptive income taxed @6% profit declaration Section 44 AD). Salary gets credited to savings account.

They asked for either TDS certificate or GST registration last time i applied as a valid proof of employer-employee relationship (TDS) or proof of business (GST).

I hold Infinia and Neu Infinity with shared limit of 20 lakhs as well as Sapphiro with limit of 10 lakhs.

The business is not in my name; it's in my parents name. Our residence & sub-office of business related work on ground floor room on same premises, is a place serviced by Amex, while the main business place is in a non serviced town. Residence, electricity & water bill is in the name of parents while telephone bill and gas cylinder is in my name.

I want to apply for an Amex card - Amex Smart Earn. I just want to get into Amex system for (eventually) getting a gold charge card.

Kindly advise whether i should file as salaried or self employed? Any other input would be highly appreciated.

@BestBanker

 

[D₹V]

Watchin 🍿 the thread 🧵.

 

[SSV]

Hi All,

I am running a family business where i am paid salary though the salary is under 5.5 lakhs/annum so TDS is not deducted and business receipts are under 20L/annum so not GST registered (IT returns filed under presumptive income taxed @6% profit declaration Section 44 AD). I hold Infinia and Neu Infinity with shared limit of 20 lakhs as well as Sapphiro with limit of 10 lakhs.

The business is not in my name; it's in my parents name. Our residence & sub-office of business related work on ground floor room on same premises, is a place serviced by Amex, while the main business place is in a non serviced town. Residence, electricity & water bill is in the name of parents while telephone bill and gas cylinder is in my name.

I want to apply for an Amex card - Amex Smart Earn. I just want to get into Amex system for (eventually) getting a gold charge card.

Kindly advise whether i should file as salaried or self employed? Any other input would be highly appreciated.

@BestBanker

DO you file ITR in your name for your salary received??

 

[Zed]

DO you file ITR in your name for your salary received??

Yes.

Salary received component was under 5L (and hence no TDS). Total income was around 5.15L for last year (FY 2022-23 - some LTCG components were there). This year's salary is 45,167 per month (x 12 = 5.42L). Under NTR there won't be any TDS again and even under OTR, after standard deduction, there won't be TDS.

Salary received monthly in PSU bank. Earlier it was getting credited to Citibank. Savings account in both, not salary account.

 

[SSV]

okay, as your annual salary income is more than 4.5 lakhs and you have pay slips to that effect... It is better to apply as salaried for your smart earn card.
No need of TDS... When you say your income in that income slab they know that there won't be any TDS..

 

[Zed]

okay, as your annual salary income is more than 4.5 lakhs and you have pay slips to that effect... It is better to apply as salaried for your smart earn card.
No need of TDS... When you say your income in that income slab they know that there won't be any TDS..

Ah, there lies the issue. They asked for either TDS certificate or GST registration last time i applied as a valid proof of employer-employee relationship (TDS) or proof of business (GST).

Also, does it matter much if my salary is being credited to savings account or salary account?

 

[starstruck]

Do you have salary slips? And if yes, will a bank consider the entry as salary if your business is not GST registered (especially Amex) ?

I think you should apply basis self employed as that will only need ITR which is readily available.

 

[Zed]

I think you should apply basis self employed as that will only need ITR which is readily available.

So... When the field agent comes for verification, he asks for GST registration of business or my relationship with business as a "Director"; which means I should have a DIN that he/Amex can verify.

I have salary slips. That again is an issue with Amex since gross income and net income is same and I am not working for any MNC (TDS and Form 16 everywhere) .....I am in a total fix.

 

[SSV]

Ah, there lies the issue. They asked for either TDS certificate or GST registration last time i applied as a valid proof of employer-employee relationship (TDS) or proof of business (GST).

It would have been better, you mentioned this in your first post itself, which would have saved sometime and would have given complete picture for giving any reasonable advice ...

Also, does it matter much if my salary is being credited to savings account or salary account?

yes, to some extent..

Because you already have some history with AMEX
it is better to go thru with, the seasoned pro @BestBanker ..

 

[BestBankerBestBanker is verified member.]

Hi All,

I am running a family business where i am paid salary though the salary is under 5.5 lakhs/annum so TDS is not deducted and business receipts are under 20L/annum so not GST registered (IT returns filed under presumptive income taxed @6% profit declaration Section 44 AD). Salary gets credited to savings account.

I hold Infinia and Neu Infinity with shared limit of 20 lakhs as well as Sapphiro with limit of 10 lakhs.

The business is not in my name; it's in my parents name. Our residence & sub-office of business related work on ground floor room on same premises, is a place serviced by Amex, while the main business place is in a non serviced town. Residence, electricity & water bill is in the name of parents while telephone bill and gas cylinder is in my name.

I want to apply for an Amex card - Amex Smart Earn. I just want to get into Amex system for (eventually) getting a gold charge card.

Kindly advise whether i should file as salaried or self employed? Any other input would be highly appreciated.

@BestBanker

DM

 

[Zed]

It would have been better, you mentioned this in your first post itself, which would have saved sometime and would have given complete picture for giving any reasonable advice ...

yes, to some extent..

Because you already have some history with AMEX
it is better to go thru with, the seasoned pro @BestBanker ..

I'll do so now. Skipped it somehow.

I can try to get my savings converted to salary. I'll check with the bank.

 

[Zed]

DM

Thank you for replying. Unable to DM yet. I'll do so whenever TF system allows me to.

 

[Cashif]

@Zed Was/am in the exact situation but was able to get Amex card by mentioning as self-employed. They asked ITR which I submitted and my card was approved but that was almost 5 years back (Had filed 6L as ITR that year, if I remember correctly)

 

[Zed]

@Zed Was/am in the exact situation but was able to get Amex card by mentioning as self-employed. They asked ITR which I submitted and my card was approved but that was almost 5 years back (Had filed 6L as ITR that year, if I remember correctly)

Thank you.

I've been trying since the past 4 and a half years......

 

[Zed]

Bring
Up
My
Post

 

[Zed]

It would have been better, you mentioned this in your first post itself, which would have saved sometime and would have given complete picture for giving any reasonable advice ...

yes, to some extent..

Because you already have some history with AMEX
it is better to go thru with, the seasoned pro @BestBanker ..

The "seasoned pro" left (DM) chat without updating /answering. Any other "non seasoned pro" preferably with chat etiquette?

DO you file ITR in your name for your salary received??

 

[BestBankerBestBanker is verified member.]

The "seasoned pro" left (DM) chat without updating /answering. Any other "non seasoned pro" preferably with chat etiquette?

You sent me a text at 3.25 AM

 

[Zed]

You sent me a text at 3.25 AM

Oh please! I initiated second communication at 3.25 AM. And that is after you merrily chose to ignore my full first chat for 3 days and leave without replying.

 

[Riya Sharma]

Oh please! I initiated second communication at 3.25 AM. And that is after you merrily chose to ignore my full first chat for 3 days and leave without replying.

Did you get the card?