Salary Income

  • Understanding Taxation of Salary with latest Case Laws

    The common people who earns his livehood by the way of employment requires to pay tax on his earning, hence it is very important to them to understand the tax implications on salary by given below case laws:


    Interest free Rental deposit: Interest free security deposit given for employee residence on rent

  • Calculation of perquisite of motor car facility and provident fund under salary head

    Calculation of perquisite of motor car facility and provident fund under salary head

    Motor Car facility:-

    What all allowances can be used while preparing salary structure

    What all allowances can be used while preparing salary structure?


  • Tax Treatment of Income from Salary in Brief

    1. Income under the head Salaries 1.1 Salary is defined to include:

    Tax Treatment of Allowances Received by Salaried Employees

    ·        Sec

  • Income Exempted from Income Tax

    Agriculture Income: - Any Income earned by any Asseessee on sale of Agriculture produce or Income derived from renting Agriculture Land for Agricultural Activities shall be fully Exempted from Income Tax. However agriculture Income is included in Total Income of Asseessee for ascertaining slab Applicable to Assessee if Agriculture Income exceeds Rs. 5000 and Non - Agriculture Income doesn't

  • PPF vs EPF vs NPS- Its Tax Implications

    Public Provident Fund

    This offers tax exemption at all stages. The money invested gets you deduction under Section 80C. The interest accrued on the PPF account gets you exemption under Section 10.

    If you take a loan from the PPF account, the interest on such loan can be claimed against your business income if funds are used for your business. However, if funds are used for personal

  • Discussion & FAQ's on Punjab State Development Tax Act and Rules, 2018

    1. Who is liable to pay Punjab State Developmental tax?

    Every employee or person doing business or profession in Punjab is liable to development tax if Taxable Income (Income after deduction of 80C etc) is above maximum exemption limit as per Income Tax Act i.e. Rs. 2,50,000/- at

  • Handbook on Gratuity

    What is Gratuity?

    Gratuity is a loyalty benefit provided by the employer for rendering services continuously to an organisation for five or more years.

  • Leave Encashment & Tax Implications

    If you are a salaried individual, I am sure your are aware of different types of LEAVES like casual leave, earned leave, sick leave, personal leave etc., Sometimes, you may not avail all the leaves that are available to you and some of your leaves may remain unused.


    Most of the companies allow you to encash the unused balance of leaves during your

  • Are Pensions Taxable?

    1. Introduction
    Pension is taxable under the head salaries in your Income Tax Return. Usually, pension is paid out periodically, on a monthly basis, However, you may also choose to take pension as a lump sum (also called commuted pension) instead of a periodical payment. Let’s first understand commuted pension by way of an example. At the time of retirement, you may choose to receive a certain percentage of your

  • Dates for Advance Tax

    Advance tax is a way of collection of tax by the government. If total income of an asessee exceeds Rs 10,000 in a financial year, tax is payable in installments of your yearly tax payable. It should be paid in the year in which the income is earned. In other words, it is ‘Pay as You Earn’ approach. Income can be earned from many sources like salary, interest, rent received etc.

    Who pays Advance

  • 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

  • Who can use ITR 1, ITR 2, ITR 3 and ITR 4 Sugam for A.Y. 2021-22

    The start of a tax year marks the beginning of many timelines with the filing of return of income occupying a prime spot. As much as tax return filing is the bounden duty of every taxpayer, it is also pertinent to use the correct Form so that the requisite disclosures are made and penal consequences not triggered. Selecting the appropriate Form is only the starting

  • Handbook on Rules, taxation, how to apply for NPS partial withdrawal

    Pension Fund Regulatory and Development Authority (PFRDA) has made many changes in National Pension System (NPS) rules to make it an attractive retirement savings instrument.
    Partial withdrawal from NPS was not allowed earlier but now it is possible because of recent rule

  • Income Tax on Startups in India & Tax Incentives to Start-ups

    Start-up India initiative is one of the pertinent initiatives that every budding entrepreneur should be aware of. It enables the start-up to gain various benefits under Income-tax Act, 1961. The requirement is nothing but registration on the Start-up India portal. However, there are some pre-requisites for being eligible to get registered as a

  • Case Laws- PILCOM Vs Commissioner of Income Tax



    A.I.R. 2020 S.C. 204


  • Details on Countrywise Withholding Tax rates as per IT Act vis a vis Tax Treaties/DTAA

    ax Rates DTAA v. Income-tax Act

    Certain income of non-resident, inter-alia, dividend, interest, royalty or fees for technical services shall be taxable as per the rates prescribed under the Income-tax Act or as per the rates prescribed under the DTAAs, whichever is more

  • All About E-Filing applications/Appeal before a Bench of ITAT

    1. Nature and structure of ITAT
    The ITAT is a quasi-judicial body set up by the Central Government to deal with appellate matters under the Income Tax Act, 1961. The ITAT functions under the Ministry of Law and Justice. There are different benches of the ITAT for different