The goods and services act was introduced in 2017 which included a tax on supply of goods as well as services, unlike the VAT which covered the goods and finance act which covered the service tax. The purpose of the goods and service act was to simplify and make GST compliance easy. Two forms are …
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The word ‘Income’ is defined under section 2(24) of the income tax act. The section defines the ‘income’ as Inclusive, not exhaustive. Anything which can be defined as income is taxable under the income tax act unless exempted. The object of the income tax act 1961 is to tax ‘income’. The word ‘income’ is more …
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Who is the assessee under the income tax act? Assessee means a person who has been assessed to income tax or who pays income tax under the income tax act 1961. In the income tax act, a person is referred to as an assessee. There are seven categories of assessees chargeable under the income tax …
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A partnership firm in a real sense is an agreement between two or more persons to carry out the business with certain terms and conditions incorporated in the deed of partnership. The business of the partnership is carried on by the working partners. Where the firm’s business was carried on by another partnership firm, it …
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What is Deemed Dividend: The deemed dividend is not defined under the income tax act 1961. The dividend generally means a dividend distributed and paid by the company out of its profit to the shareholders in proportion to their shareholdings. A deemed dividend means an income tax on an artificial income, where the company distributes …
A company whether it is a private limited company or a limited company has many options to receive capital from its existing shareholders. A company can issue bonus shares or right shares to its existing equity or preference shareholder. Alternatively, the company can also buybacks its share when it is necessary to improve the condition …
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Income tax on Dividend Results of the listed companies are being declared and they are issuing dividends and bonus shares to their loyal shareholders who have invested in the company. Dividends are the profit of the company that the company distributes every quarter or annually, based on the decision of the board of directors and …
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In India, service sectors are booming. The pandemic covid 19 has changed the thinking and way of working of the resident of India. The service sectors include the information technology, gaming industries, Banking, real estate, heath, education, legal and tax consultant services. Each sector contributes to the economy of India and provides employment to the …
Income tax on capital gain is one of the hot topic, that everyone wants to discuss including non-residents. Capital gain is a wide chapter that has been dealing in detail about the capital assets and tax treatment on that capital assets. A capital asset is defined under section 2(14) of the income tax act 1961. …
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The life insurance policy can be defined as a contract between an insurer and policyholder where an insurer promises to pay the nominee of the policyholder, upon the death of the policyholder or after a set period when the policy gets matured. Taking a life insurance policy can have the benefits of life-saving and it …
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