Income Tax





  • Important Income Tax (Direct Tax) Amendments (Since 2019)

    Important Income Tax (Direct Tax) Amendments (since 2019)

    Government has announced several measures to promote growth, investment and create new employment opportunities through the amendments in the Income-tax Act, 1961 and the Finance Act (No. 2), 2019.

    The following measures have been measures taken by the Ministry of Finance:

    • Reduction in the corporate tax rate from 30% to 22% provided the company did not avail

  • Details on Credit & Debit Notes- Section 34 of CGST Act 2017

    Section 34 - Credit and Debit notes.
    (1) Where one or more tax invoices have been issued for supply of any goods or services or both and the taxable value or tax charged in that tax invoice is found to exceed the taxable value or tax payable in respect of such supply, or where the goods supplied are returned by the recipient, or where goods or services or both supplied are found to be deficient, the registered person, who has supplied

  • A Full Guide On Filling ITR-2 Online AY 2020-21

    Read Full Details on ITR-2

    What is the ITR 2 Form?
    The ITR-2 is filed by the individuals or HUFs not having income from profit or gains of business or profession and to whom ITR-1 is not applicable. It includes income from capital gains, foreign income or any agricultural income more than Rs 5,000.

    What is ITR 2 Form
    Changes in ITR 2 for AY 2020-21

  • Easy Ways To Save Income Tax - 2021 Edition

    What is Income Tax?
    Income tax is a portion of your income that you pay to the government. This tax is collected on an annual basis. The authorities use this money to perform administrative tasks.

    Guide To Save Income Tax In India:
    There are two ways to save tax in India:

    By Claiming Expenses:
    You will have to claim the expenses you have made to save income tax.

    By Investing in Tax-Saving

  • Handbook on Presumptive taxation- Section 44AD, 44ADA, 44AE & Its Comparison

    Meaning of presumptive taxation scheme

    As per the Income-tax Act, a person engaged in business or profession is required to maintain regular books of account and further, he has to get his accounts audited. To give relief to small taxpayers from this tedious work, the

  • Filing Tax & Transfer Pricing Audit & ITR- Extended Due Dates

    The Parliament has passed The Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Bill, 2020. The due date to file an income tax return of AY 2020-21 is 30 November 2020 for all types of taxpayers, and also the last date to file ITR for AY 2019-20 is 30 November 2020 (belated and revised ITR). The due date for tax audit and filing of transfer pricing audit report is 31 October 2020.

    The Bill replaces the Taxation

  • Important Sections covered in Income Tax Returns Filing

    Sec 139(1):-  As per Sec 139(1) of Income Tax Act  Every Company or Firm and other than Company or Firm if their gross total Income basic exemption limit have file Their income Tax Return before due.

    Due Dates:- Due Date is 30th September of assessment year whose  accounts required to get audited including partners of firm whose accounts are required to get audited and due date is 31st July

  • Defective Return in Income Tax Reasons and Solutions

    Sec 139(9):-  Income Tax Return is treated defective return under section 139(9) of income tax act if Income Tax Return is filed without complete information or documents.

     Defective return should be rectified within 15 days of Receipt of Notice under section 139(9) otherwise return become void ab initio. 

    Reasons for Defective Returns: -

    1. Assessee fails to file his/her return in correct format or correct form

  • Taxability of Investment in Shares and Mutual Funds

    Tax Treatment on Income from Investment in Shares: -

    Investment in Shares gives two

  • Deduction Under Chapter VIA of Income Tax  Act for Financial Year 2017 -18 (Assessment Year 2018-19)

    Deduction under Chapter VIA of Income Tax Act will be allowed either based on Investment or based on expense done as per specified in Income Tax Act. All subsections of sec 80 are covered under Chapter VIA. Deduction under Chapter VI A of Income Tax Act is restricted to Gross Total Income (other than Income from Capital Gain and Wining from Lottery or horse race etc) and No

  • Income Tax Slab Rates for Financial Year 2017-18

    Individual Tax Payers - Male Less Than 60 Years Old 

    Income up To Rs. 250000 - Nil Rate

    Income More then Rs. 250000 upto Rs. 500000 - 5%

    Income More then Rs. 500000 upto Rs. 1000000. - 20%

    Income Exceeding Rs. 1000000 - 30%

    In Addition to Tax Surcharge and Education Cess is Applicable

    Surcharge at the Rate of 10% on Tax Amount if Total Income excced Rs. 50 Lakh upto Rs. 1

  • Tax Treatment of Allowances Received by Salaried Employees

    ·        Sec

  • Income Computation and Disclosure Standards - ICDS

    Income Computation and Disclosure Standards (ICDS) are Applicable on Income from Profits and Gains of Business and Profession and Income from other Source for Computation of Income, not for maintaining books of Accounts. Income Computation and Disclosure Standards are Applicable to all asseessee's who follow mercantile system of Accounting even in case of assessee covered under

  • Presumptive Incomes Under Income Tax Act

    Presumptive Income means Calculation of Incomes on Basis predefined Percentage of Receipt  i.e Certain Portion of Receipt is Treated as Income and Rest of Receipt Treated as Demeed Expenditure irrespective of Expenditure is done or not. Assessee may declare Income more then Income as per Calculation based presumptive Income. When assessee declare Income equal to or more then Income defined as Presumptive

  • Common Mistakes Done by Assessee while Filing Income Tax Return

    Wrong Calculation of Exemption of House Rent Allowance (HRA)

    So, Many times claim exemption of whole amount House Rent Allowance (HRA) Received even if Some portion of HRA is Taxable. Asseessee must take exemption of minimum of - 

    Actual HRA Received

    40% Of Salary or Incase of Metro Cities 50% of Salary

    Excess of Rent Paid over 10% Salary

    Note: - Here Salary means Basic plus Dearness Allowance (DA) if

  • CA Final Direct Tax Amendments as applicable for May 2018 and Nov 2018 by CA. Dinesh Tejwani for CA students and CA professionals

    CA Final Direct Tax Amendments as applicable for May 2018 and Nov 2018 exams B...

  • Residential Status and Equalisation Levy in Income Tax Act

    Equalisation Levy in Income Tax Act

    As per sec 165 of Finance Act 2016 any Resident Person carrying Business or Profession or Non - Resident having Permanent Establishment in India have to deduct 6 % of Payment made for Online Advertisement or any provision of digital Advertisement space or any other facility or services for Online Advertisement purpose. Deduction of

  • Penalties under Income Tax Act

    Sec 140A(3): - When assessee fails to pay wholly or partially of Self Assessment Tax or Interest or penalty or less than, in such a case Assessing Officer may impose any amount of fine subject to Maximum of Tax in arrears.

    Sec 158BFA(2): - Minimum 100% of Tax leviable subject maximum of 300% of Tax liable on determination of Undisclosed Income.

    Sec 221 (1): - Any amount may be imposed by Assessing Officer as penalty on