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Work contract instead of fixed salary on EU Blue card

Hi Every one 

This forum is very helpful . I am using this forum from the time i moved to Germany . 

Right now i am working on a EU blue card for a fixed salary . My project is coming to end in May 

I got a new work contract for 1 year . This contract specifies the daily rate but not the annual salary . The contract will be issued in my name 

Can an EU blue card holder can work for such  1 year contract ? How to declare taxes ?

Looking forward for the advice  / suggestions  which will help me whether  to go for contract or return back to india

Thanks
RJ  
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