Roll out of the new Annual Information Statement (AIS)
Income Tax Department has rolled out the new Annual Information Statement (AIS) on the Compliance Portal which provides a comprehensive view of information to a taxpayer. Read More
CBDT notifies Rules for implementing the amendments made by the Taxation Laws (Amendment) Act, 2021
The Taxation Laws (Amendment) Act, 2021 (2021 Act), inter-alia, amended the Income-tax Act, 1961 (Income-tax Act) Read More
Presumptive Taxation – A Complete Analysis
The Income-tax Act has framed the presumptive taxation scheme under sections 44AD, sections 44ADA, sections 44AE, Section 44BB, and Section 44BBB. Read More
Best Judgment Assessment
If the taxpayer fails to file the return required within the due date prescribed under section 139(1) or a belated return, Read More
Transfer Pricing – Complete Analysis
The arm’s length price in relation to an international transaction or specified domestic transaction shall be determined by any of the following methods, Read More
FAQs on Salary Income
Section 17 of the Income-tax Act defines the term ‘salary’. However, not going into the technical definition, Read More
FAQs on Tax Deducted at Source (TDS)
Income-tax Law has incorporated a system of deduction of tax at the point of generation of income. This system is called as “Tax Deducted at Source”, commonly known as TDS. Read More
FAQs on filing the return of income
It is a prescribed form through which the particulars of income earned by a person in a financial year and taxes paid on such income are communicated to the Income-tax Department. Read More
FAQs on the Income Declaration Scheme, 2016
Where an undisclosed income in the form of investment in asset is declared under the Scheme and tax, surcharge and penalty is paid on the fair market value of the asset as on 01.06.2016, Read More
General FAQs
It is a tax levied by the Government of India on the income of every person. The provisions governing the Income-tax are covered in the Income-tax Act, 1961. Read More
FAQs on Computation of Tax
The taxes on income can be finalized only on the completion of the previous year. However, to enable a regular flow of funds and for easing the process of collection of taxes, Read More
FAQs on Direct Tax Vivad Se Vishwas Act, 2020
An assessee whose case is pending in arbitration is eligible to apply for settlement under Vivad se Vishwas even if no appeal is pending. Read More
FAQs in respect of filling-up of the Income-tax return forms for Assessment Year 2021-22
In case TIN has not been allotted in the jurisdiction of residence, the passport number should be mentioned instead of TIN. Read More
Central Government relaxes provisions of TDS u/s 194A of the Income-tax Act, 1961 in view of the section of 10(26) of the Act
The Central Government in exercise of the powers conferred by sub-section(1F) of section 197A of the Income-tax Act, 1961(“the Act”) Read More
FORM 10-IE
Individuals and HUF have to inform in Form 10IE the tax department if they are choosing to pay tax under new tax regime. Read More
Extension Various Due Date under Income Tax Act along with analysis
Extends due dates for filing of Income Tax Returns and various reports of audit for the Assessment Year 2021-22, Read More
Alternate Minimum Tax
The provisions of AMT are not applicable to a non-corporate taxpayer who has not claimed any deduction under the above-discussed sections. Read More
Provident fund to be split into taxable and non Taxable account
The finance minister has decided to split the Provident fund account into two accounts. Read More
Extension of time lines for electronic filing of various Forms under the Income-tax Act,1961
CBDT vide Circular No. 16/2021 in F.No.225/49/2021/ITA-II dated 29-08-2021 extends due dates for electronic filing of various Forms under the Income-tax Act, 1961, Read More
Equalisation Levy Under Income Tax Act – Complete Guide
Equalisation levy shall be charged at the rate of two percent. of the amount of consideration received or receivable by an e-commerce operator. Read More
Advance Ruling – A Complete Guide
The power of giving advance rulings has been entrusted to an independent adjudicatory body. Read More
Is Section 194H of Income Tax Act attracted applicable on services rendered by NFS shared ATMs?
National Financial Switch (NFS) is the largest network of shared automated teller machines (ATMs) in India. Read More
Faceless Assessment under Income Tax Act
Faceless Assessment is introduced under section 144B w.e.f 1st of April, 2021 (added by Taxabtiom and Other Laws (Relaxation and Amendment of certain Provisions). Read More
Place of Effective Management – Complete Guide
Place of effective management’ (POEM) is an internationally recognized test for determination of residence of a company incorporated in a foreign jurisdiction. Read More
Manner of computation of taxable perquisite u/s 17(2)(viia) [Notification no. 11/2021]
Approved superannuation fund in excess of Rs 7,50,000 will be treated as taxable perquisite from assessment year 2021-2022. Read More
Automatic vacation of stay order after expiry of the Period mentioned in Section ?
Any order of stay shall stand vacated after the expiry of the period or periods mentioned in the section, only, Read More
Revision of Tax Audit Report And changes in Form 3CD (Notification 28/2021)
Tax audit is to be furnished in the prescribed form which is Form 3CA/3CB and particulars are reported in the Form 3CD. Read More
Does receipt of bonus share taxable under Income Tax Act?
The money remains with the company and nothing comes to the shareholders as there is no transfer of the property. Read More
The Taxation Laws (Amendment) Bill, 2021 to nullify the tax liability
The 2012 Act had amended the IT Act to impose tax liability on the income earned from the sale of shares of a foreign company on a retrospective basis. The Bill proposes to nullify this retrospective basis for taxation. Read More
Residential status of individual – Complete Analysis
It is important to determine the residential status of individual because taxability of income in hands of individual depends upon their residential status in previous year. Read More
New Registration and Compulsory Re-Registration Process of NGOs and Charitable Trusts
After Five Years, they need to again apply for renewal and application should be made within 6 months before the completion of period of expiry of Five Years, Read More
Exempt Income Under Income Tax Act
There are certain income which are not subject to tax under Income Tax Act. Those incomes are called Exempt Income. Read More
New Tax Regime – When Should We Opt
A person with NO deductions under the current taxes regime should choose for the new taxation regime, Read More
Taxation of Assets upon Dissolution or Reconstitution of Firms/AOP in the hands of Firm/Specified Entity
Section 9B is applicable because stock in trade or capital asset is transferred and the gain is chargeable as Capital gain or Profit and gain from Business and Profession. Read More
Guidelines under section 9B and Section 45(4) of the Income-tax Act, 1961
Any profits and gains arising from such deemed transfer is deemed to be the income of such specified entity of the previous year, Read More
Frequently Asked Questions (FAQs) on Section 194Q
The provisions of section 194Q of the Act shall apply to a buyer who has turnover or gross receipt exceeding Rs 10 crore, Read More
Disallowance of Expense upheld by Supreme Court of India
In a recent judgment of the year 2020, Hon’ble Supreme Court discusses the disallowance of expenses under Section 40 of the Income Tax Act. Read More
Big Relief For Covid Victims
The exemption shall be allowed without any limit for the amount received from the employer and Read More
Covid Effect – Income Tax Dates Further Extended
In view of the impact of the Covid-19 pandemic, taxpayers are facing inconvenience in meeting certain tax compliances, Read More
Taxation for E-Commerce: A Global Perspective
Storing of wealth in offshore financial institutions, many times leads to untraceable tax avoidances, Read More
FAQs on TDS under Section 194Q of Income Tax Act
Where both Section 194Q and Section 206C(1H) are applicable then Section 194Q prevails, Read More
Higher Rate of TDS and TCS in case of Non-Compliance
Finance Ministry is bringing more stringent tax provisions with the dual objective of bringing more people into tax network and imposing, Read More
A gift to Senior Citizen
A resident individual shall be treated as a “specified senior citizen” on 01-04-2021 (for the previous year 2021-22) only if he was born before March 31,1947). Read More
FAQs on ITR Form-1 Issued by IT Department
Ques 1. What are the changes in ITR-1 as compared to previous years? In ITR-1 for AY 2021-22, there is an addition of section 115BAC. Read More
FAQs on ITR Form-2 Issued by IT Department
Ques 1. What are the changes in ITR-2 as compared to previous years? In ITR-2 of AY 2021-22, you can choose to opt for the new tax, Read More
FAQs on ITR Form-4 Issued by IT Department
Ques 1. What are the changes in ITR-4 as compared to previous years? As compared to previous years, ITR-4 of AY 2021-22, Read More
Which ITR form is applicable to Whom as per Income Tax Act
Taxpayers are required to file the information of their income earned during the financial year and has to pay tax on such income at the applicable Read More
FAQs on Tax Treatment of Gifts Received By an Individual or HUF
A very common and frequent question running in the mind of taxpayers is the taxability of gifts. In this part, Read More
Amendments in Tax Audit Report for AY 2021-22
The due date, as specified under the Income Tax Act, 1961, for filing of ITR and Audit Reports is approaching. Therefore, Read More
Complete guidance on TDS under Section 194Q on Purchase of Goods
Our Finance Minister, in her budget 2021 proposed TDS provisions on, first time in the history, purchase transactions. Read More
Section 206C(1H) of Income Tax Act – Meaning, Scope and Challenges
What is Section 206C(1H)? A new Section 206C(1H) was introduced with effect from October 1, 2020 by virtue of which TCS @0.1% Read More
Comparison Chart between Section 194Q And Section 206C(1H) of Income Tax Act
TDS under Section 194Q shall be applicable w.e.f. July 01, 2021 whereas TCS under Section 206C(1H) has already been implemented. Read More
Computation Of Fair Market Value Of Capital Assets For The Purposes Of Section 50b Of The Income Tax Act – Notification dated 24.05.2021
G.S.R. 338 (E).— In exercise of the powers conferred by section 50B read with section 295 of the Income-tax Act, Read More
If your TDS is not reflecting in Form 26AS? Should such TDS be considered in ITR? Can you avoid Income Tax Notice in such case ?
Should there be last date of revising TDS Return?
While filing the Income Tax Return, the amount of TDS which was claimed during the previous year must be matched with the amount. Read More
INCOME TAX SAVING TIPS
In this column, we are discussing various investment against which a tax payer may avail income tax deductions. Read More