Every year finance minister comes with the income tax rate that are applicable for the relevant assessment year. Income tax rate are part of the finance act. Finance act contains different rates applicable on taxpayer each year. These rates may be constant, or it may be changed as per the industrial and economical requirement. When …
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Every employer responsible for paying any sum chargeable under the head ‘Salaries’ is liable to deduct tax at source (TDS) at the rate applicable in the financial year in which payment to employee is made. TDS is to be deducted every month on estimated salary. Employer is not required to deduct TDS unless the estimated …
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The word ‘business’ connotes some real, substantive and systematic or organized course of activity or conduct with a set purpose. In general, it is an activity of buying and selling goods, or providing services in order to make profit. Under the income tax law ‘business’ is defined in an another way. Section 2(13) of the …
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Interest on home loan taken to acquire or construct the property often confuses the taxpayer about its tax treatment. Salaried or Business class person generally take home loan when property is acquired and constructed. For the initial period huge interest is paid in comparison to principal amount of home loan, hence it becomes important to …
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If you are using house property for own residential purpose or business purpose, then this article will definitely help you in determining taxable income under the head ‘’Income from House Property’’. It is generally presumed that self-occupied property is not an income generating property hence no income tax liability will arise, but statement is not …
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Taxpayers often get confused about the maintenance of books of accounts and the period for which books are maintained and as a result they non-comply the income tax provisions. To understand the provisions, one need to first get an idea about books of accounts and Specified profession, and non-specified profession and business. Books of accounts: …
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What is House property income is a question that taxpayer wants while filing his income tax return. It has been seen that taxpayers often get confused that what income should be included under the head of ‘’Income from House Property’’. Under the income tax act 1961 the owner of the house property is taxed on …
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What are allowances? Allowances are the monetary support that is permitted within the permissible limit. Allowances are financial benefit given by the employer over and above the regular salary. Under the income tax act, allowances incurred to meet expenses in performance of duties of an office or employment of office are mainly exempted. Income tax …
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Income tax department has released all forms for filing income tax returns for the financial year 2021-22 (Assessment year 2022-23) and it has issued utilities for filing tax audit report for individuals, HUF, Corporates. ITR forms are open and due dates are already specified under the income tax act. Income tax act says that every …
Income tax is a hot topic for every high paying taxpayer. Every time we meet with our associates, we discuss about tax planning and tax saving. It has been seen for last many years that salaried class is paying income tax higher than business class taxpayers. Hence salaried individuals are very much concerned about their …
