Total Liabilities V/s Current liabilities Understanding the Difference Between Total Liabilities and Current Liabilities In the realm of finance and accounting, understanding a company’s liabilities is crucial for evaluating its financial health. Two key terms often encountered are total liabilities and current liabilities. While they may seem similar, they serve distinct purposes in financial… Read More »
Is Book Value the Same as Net Asset Value? When it comes to assessing the value of a company or an investment, financial terms like book value and net asset value (NAV) often come into play. While these terms may sound interchangeable, they serve different purposes and are used in various contexts within finance. Let’s… Read More »
GST Due date Businesses usually make the payment of Goods and Services Tax (GST) when they file their GST returns. The GST due date tax payment can vary depending on the jurisdiction and the frequency of return filing. In most cases, businesses are required to pay the GST liability within a specified period after the… Read More »
Net Revenue and Gross profit Net revenue, also called net sales, refers to the total income a company generates from its operations after deducting certain items such as discounts, returns, and allowances. It represents the actual amount of money a business brings in from selling its goods or services. Formula for Net Revenue: Net Revenue=Gross Sales−Returns−Allowances−Discounts\text{Net Revenue}… Read More »
Net Asset Value of a Hedge Fund The net asset value of a hedge fund refers to the total value of all the fund’s assets minus its liabilities. It is a key measure used to assess the performance and value of a hedge fund. NAV typically calculate on a per-share basis and represents the underlying… Read More »
Do I have to pay capital gains tax if I have no income Yes, if you have made a capital gain during the financial year, you may have to pay capital gain tax even if you have no income. However, the capital gain tax is calculated on the profit earned from the sale of assets,… Read More »
Is tax on capital gains to be paid separately from income tax Yes, tax on capital gains is calculated and paid separately from income tax. Capital gains tax is a tax levy on the profits earn from the sale of capital assets, such as property, stocks, and other investments. The tax rate and rules for… Read More »
Introduction The Finance Act 2021 introduced Section 194Q of the Income Tax Act to regulate tax deduction at source (TDS) on the purchase of goods. The provision came into effect on July 1, 2021, and aims to enhance tax compliance, prevent tax evasion, and widen the tax base. This article delves into the meaning, applicability,… Read More »
Income Tax Act 1961 Section 195 of the Income Tax Act, 1961 is a crucial provision for the taxation of non-residents in India. It focuses on the tax implications of payments made to non-residents, ensuring that taxes are deduct at source (TDS) on specific types of income earn by non-residents from an Indian… 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 »