In a recent judgment, the Income Tax Appellate Tribunal (ITAT) in Delhi, quashed the reopening of an assessment under Section 147 of the Income Tax Act, 1961 in the case of Tej Singh for the assessment year 2012-13. This case highlighted the importance of a fair and thorough application of mind when reopening assessments, particularly …
Continue reading “Reopening u/s 147 based merely on the AIR information liable to be quashed”
Background of the Case The assessee filed his income tax return on 31st August 2015, declaring a total income of Rs. 7,27,020. His case was selected for scrutiny, and a notice under Section 143(2) was issued on 5th August 2016. During the scrutiny, the Assessing Officer (AO) found that the assessee had purchased a residential …
Continue reading “Allotment letter issued by Builder constitutes an agreement under Income tax act”
In recent years, the global tax landscape has changed dramatically, especially with the introduction of robust information exchange mechanisms under the Double Taxation Avoidance Agreement (DTAA). The recent revelations reported by The Economic Times serve as a wake-up call for taxpayers. According to the report, Germany has shared information about Indian-held properties in the UAE. …
The Central Board of Direct Taxes (CBDT) has introduced a special campaign to help taxpayers correctly report their foreign assets and foreign-sourced income in their Income Tax Returns (ITRs) for the Assessment Year (AY) 2024-25. This campaign is called the Compliance-Cum-Awareness Campaign and aims to make sure that taxpayers understand their responsibilities when it comes …
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In the era of income tax regulations in India, filing one’s tax return is not always contingent solely upon surpassing the taxable income threshold. There exist additional conditions mandated by the Income Tax Act, 1961, where individuals and entities are required to file their income tax returns (ITRs), irrespective of whether they fall within the …
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Public Provident Fund (PPF) is a popular long-term investment option in India, known for its safety, attractive interest rates, and tax benefits. Understanding how the interest earned on PPF is treated under the Indian Income Tax Act can help investors maximize their benefits and plan their finances more effectively. What is PPF? PPF is a …
In the realm of income taxation in India, age plays a significant role in determining the status and applicable rules for individuals. For the purpose of income tax, an individual resident who is 60 years of age or older but less than 80 years at any point during the previous financial year is categorized as …
Continue reading “Senior Citizens are not required to ITR in these conditions”
The Income Tax Return (ITR) Form 4, also known as Sugam, is a simplified form aimed at small taxpayers who have opted for the presumptive taxation scheme under Sections 44AD, 44ADA, or 44AE of the Income Tax Act. While this form is beneficial for many, certain individuals are not eligible to file ITR-4. Here’s a …
Continue reading “These taxpayers cannot use ITR-4 for ITR filing for FY 2023-24 (AY 2024-25)”
It is crucial for taxpayers in India to understand the prevailing tax slabs and their implications. The tax slabs determine the rate at which income tax is charged on individual taxpayers based on their income levels. The Indian government periodically revises these slabs to reflect economic conditions and policy goals. For AY 2024-25, the tax …
The Income Tax Return Form 1 (ITR-1), also known as Sahaj, is a simplified form for individual taxpayers. It is designed for residents who have income primarily from salary, one house property, other sources (like interest), and agricultural income up to ₹5,000. However, several categories of taxpayers are ineligible to use this form for the …
Continue reading “Who should not use ITR-1 Form for FY 2023-24 (AY 2024-25)”
