Universities, banks, and hospitals are all institutions. Until you arrived at the bank, you'd forgotten that financial institutions were closed for the holiday. Thank goodness for the ATM! The noun institution also refers to a long held custom or practice in society. Even if your parents divorced when you were young, you might strongly believe in the institution of marriage. Or you might believe that once you enter the institution of marriage, your next stop will probably be a mental institution.
A consultant (from Latin: consultare to deliberate) is a professional who provides expert advice in a particular area such as security (electronic or physical), management, education, accountancy, law, human resources, marketing (and public relations), finance, engineering, science or any of many other specialized fields.
A consultant is normally a professional offering services as per the scope of her/his assignment. A consultant may render services as an individual or as a firm or even as a corporate entity. Employee vs consultant: Tax issues From taxation point of view, an employee gets paid salary as per the terms of employment. The income from salary will be worked out under the head 'Income from salary' as per the Income Tax Act and Rules, by considering some exemptions and deductions.