Answer

1. F

   Facts

   Most freelancers record receipts at the rupee amount actually credited to their Indian bank. Rule 115 of the 1962 Rules also prescribes SBI telegraphic transfer buying rates for converting foreign income, so be consistent in the method you use.

2. P

   Provisions and law

   • Rule 115, Income-tax Rules 1962 (2026 Rules number to be confirmed)Sets the exchange rate (SBI telegraphic transfer buying rate on the specified date) for converting foreign currency income
   • Sec 44ADA, Income-tax Act 1961 (now Sec 58, Income-tax Act 2025)Resident professionals with receipts up to ₹50 lakh (₹75 lakh if cash receipts are within 5%) can declare 50% of receipts as income
3. A

   Analysis

   Under the presumptive scheme, gross receipts in rupees are what matter. Example: you invoiced $40,000 during the year and your bank credited ₹33.4 lakh after conversion; using ₹33.4 lakh with bank proof is simple and checkable. If money is held abroad in a wallet before conversion, take advice on the rate and the reporting.

4. C

   Conclusion

   1. 1Download bank statements showing INR credits
   2. 2Collect FIRA or e-FIRA from the bank
   3. 3Total receipts in rupees
   4. 4Use the same method every year

General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.