Net taxable income Net Taxable income represents the portion of income that is liable to taxation after considering all eligible deductions and exemptions. It is the income remaining after deducting allowable expenses like contributions to provident fund, investments in specified tax-saving schemes, medical expenses, and more from the gross income. To visit https://www.gst.gov.in/ To calculate… Read More »
Introduction The Income Tax Act, 1961, governs taxation laws in India and includes various provisions for computing capital gains tax. Two crucial sections related to long-term capital gains (LTCG) are Section 112 and Section 112A. While both sections pertain to taxation on LTCG, they have different applicability, benefits, and limitations. Understanding their distinctions helps taxpayers… Read More »
Terminal tax It refers to the ultimate tax payment that must make by an individual or entity prior to the conclusion of a tax period. This scenario commonly arises for businesses or self-employed individuals who obligate to pay provisional tax throughout the year, estimated based on their projected income. When the tax year concludes, the… Read More »
Advantages of EPF and EPS Advantages of EPF and EPS, The Employees’ Provident Fund (EPF) and Employees’ Pension Scheme (EPS) are social security schemes designed to provide financial security to employees during retirement or in the event of their unfortunate demise. These schemes offer several benefits, including: Retirement benefits: Upon retirement, employees receive a… Read More »
Tax Audit Introduction Taxation is a critical component of a country’s economy, ensuring revenue generation for public welfare and infrastructure development. However, to maintain transparency, accuracy, and compliance with tax laws, businesses and individuals must adhere to regulatory audits. One such essential audit is the Tax Audit. The objective of a tax audit is to… Read More »
Introduction Taxpayers in India often seek ways to reduce their taxable income through various exemptions and deductions provided under the Income Tax Act. One such provision is Section 80TTA, which offers tax benefits on interest income earned from savings accounts. This article provides an in-depth explanation of the 80TTA exemption, covering its definition, benefits, usage,… Read More »
User Intent Understanding the taxability of invoices in India is crucial for businesses, freelancers, and individuals dealing with financial transactions. This article provides a step-by-step guide to help users comprehend how invoices are taxed, their applications, benefits, limitations, and a comparative analysis. Introduction In India, taxation plays a pivotal role in financial transactions, and invoices… Read More »
Special Features of Tax Audit: Understanding Its Importance and Key Aspects A tax audit is a systematic examination of a taxpayer’s financial records and accounts to verify that they have accurately reported their income, deductions, and other related items on their tax returns. It is a critical process conducted by tax authorities to ensure… Read More »
💥 What taxes apply to dividends in India and how do they work? 🎯 You’re here because you’ve probably asked yourself What taxes apply to dividends in India and how do they work? “Do I need to pay tax on the dividends I receive?”“How exactly are dividends taxed in… Read More »