Tax Audit Tax audit is a process mandatory by the Indian Income Tax Act, 1961, designed to verify the accuracy of an individual or business’s financial records and tax returns. It is an examination of income and tax deductions to ensure that taxpayers comply with applicable tax laws. The tax audit serves as a… Read More »
Difference Between Income tax and income tax return Difference between income tax and ITR, income tax is a form of taxation impose by the government on the earnings of individuals, businesses, and other entities within a given financial year. It operates under a progressive tax system, where the tax rate rises as the income level… Read More »
Destination based tax When we refer to GST (Goods and Services Tax) as a destination-based tax. It implies that the tax is imposed at the final point of consumption for goods or services. The tax proceeds collecte by the state where the goods or services consumed, rather than the state where they produced. For more… Read More »
Drawbacks of a single member LLC The tax treatment of dividend income in India depends on the type of dividend and the total amount received during the financial year. There are two types of dividends: Regular Dividend: This refers to dividends paid out of the current year’s profits and is now taxable in the… Read More »
Why is the output GST a liability Output GST is a liability because it represents the amount of GST that a business collects from its customers on sales made during a particular period. When a business sells goods or services, it charges GST to its customers, and this collected amount of GST is held as… Read More »
Is the provision for taxation a liquid asset or not The provision for taxation is not considered a liquid asset. In financial terms, a liquid asset refers to an asset that can easily convert into cash without significant loss in value. While the provision for taxation represents an estimated amount set aside by a company… Read More »
Indirect Tax Indirect tax is a type of tax that is imposed on goods and services rather than on individuals or companies directly. The taxes often embed in the price of goods and services and typically collect by the supplier or seller of the goods or services on behalf of the government. Examples of the… Read More »
Tax Inclusive vs Tax Exclusive Both Tax inclusive and tax exclusive are two different methods of presenting the price of a product or service that includes or excludes taxes. Tax exclusive vs Tax inclusive can explain in details as follow: For more information to visit https://www.mca.gov.in Tax inclusives refers to the price of a product… Read More »
