How changes in Income Tax Rates affect you Change in Income Tax rates may either encourage or discourage individuals to invest and work more/less. It is also related with economic growth of the country. If taxes are high, it will definitely hamper the national income. On the other hand, Income Tax Rates cuts can encourage people [...]
Important Lessons from Panama Papers case About 11.5 million papers shining a light on how some of the worlds richest hid billions of dollars to avoid tax were leaked containing information about the black dealings last year. The Panamanian law firm and service provider whose papers got leaked, Mossack Fonseca was creating illegal shell companies which [...]
Income Tax Deduction in India Introduction: Income Tax Deduction is a way of reducing the total amount of taxable income of an individual or a company i.e. the taxpayers, though this is dependent upon the type of tax benefit claimed by the taxpayer. Benefits of Tax Deductions: There are a number of benefits associated with tax [...]
Income Declaration Scheme 2016 With the Income Tax Department discovering Rs. 43,000 crore of undisclosed income in the last two fiscal years and the problem of black money still prevalent in India, the Ministry of Finance on 11th of May introduced the Income Declaration Scheme 2016 in a bid to tackle the problem. So, what is [...]
Income from Interest on Bank Deposits included while filing ITR It has been made mandatory now for the individual taxpayers to include their income earned from interest on bank deposits in their tax returns while Income Tax Return Filing. Taxpayers are now required to file revised income-tax returns for the past two years to reflect their interest income. [...]
Tax Benefits of Mutual Funds in India What are Mutual Funds? These are the funds which collect funds from the public and invest in securities or bonds. These bonds help the investors earn interest. Classification of Mutual Funds These funds can be classified into two categories: Equity mutual funds- They are those funds where a major part [...]
Tax deductions under different sections Under the Income Tax Act 1961, a taxpayer can save taxes legally by claiming the deductions under various sections at the time of filing their income tax returns. It is available for all classes of taxpayers. Following are the sections under which the taxpayers can claim their deductions: Tax Saving Under [...]
Investments that can be made under Section 80C Section 80C is basically used for claiming Income Tax Deductions. This section can be used to claim the deduction for all categories of taxpayers and the maximum amount that can be claimed for deduction is Rs. 1,50,000. You can invest in more than one instrument under Section 80C. Equity [...]
Reasons why the Income Tax Department conducts Tax Raids and Seizures The Income Tax Department conducts various tax raids to ensure whether the people have paid their taxes or not. It is mainly done to stop the process of tax evasion. This is a hectic and troublesome process for those who are going through this. It [...]
Income Tax Scrutiny Assessment Scrutiny Assessment-Meaning Scrutiny Assessment is an assessment of the income tax return by giving a chance to the assessee to substantiate the incomes, losses, expenses, deductions, etc which are claimed in the tax return with proof. How is the Scrutiny Assessment conducted? While scrutinizing, the assessing officer enquires the taxpayer. The scrutiny [...]
