The tea, coffee, and rubber industries can claim a deduction for deposits made in a designated account under Section 33AB of the Income Tax Act. This section supports these industries by encouraging the use of funds for development and replanting activities, which are critical to their sustainability and expansion. By reserving money for future capital […]
Special allowance is a component of many salary structures, yet it often raises questions about its purpose, calculation, and taxability. Whether you’re an employee trying to understand your salary breakdown or an employer setting up payroll, understanding special allowances is crucial. In this detailed guide, we will explore what special allowance is, how it is […]
Introduction: Taxes are essential to any economy and fund public services and infrastructure. In India, taxes are categorised into two main types: direct and indirect. Understanding the difference between these tax types can help individuals and businesses manage their finances better and comply with legal requirements. What Are Direct Taxes? Direct taxes are levied directly […]
India’s tax system offers a choice between the old and new regimes, and the decision could impact your finances significantly. The new tax regime, introduced in the Union Budget 2020, aims to simplify taxes by offering lower tax rates but with fewer deductions and exemptions. As of FY 2023–24 and AY 2024–25, this new regime […]
Paying pricey, heavy taxes surely feels burdensome and tiring. Would you like to learn how to lighten your tax load? The Income Tax Act 1961 intricately shapes India’s income tax landscape, particularly for salaried individuals. Section 16 serves as a lifeline, offering specific deductions that directly chip away at taxable income. These deductions not only […]
Section 270A penalties range from 50% to 200% for under-reporting and misreporting of income, drastically increasing the non-compliance cost.
Under Section 194 of Income Tax Act, TDS is applicable when payment is made to the payee or credited to their account.
Probing the complexities of Section 193 on TDS on Interest on Securities in the Income Tax Act can be daunting. Let’s untangle the intricacies together and gain a thorough knowledge of this noteworthy element of income tax laws. Tax Deducted at Source (TDS) on interest on securities is a mechanism for accumulating tax at the […]
The Indian Income Tax Act has various provisions tailored to different categories of taxpayers. Section 115H is a crucial provision for non-resident Indians (NRIs) who have acquired resident status in India. This section allows NRIs to continue enjoying certain tax benefits on specific incomes even after their status changes to that of the resident. This […]
Section 24 of Income Tax Act: The Indian Income Tax Act provides several provisions for taxpayers to reduce their taxable income, including Section 24. This section deals with deductions from the revenue earned from house property. Specifically, it allows taxpayers to claim deductions on interest paid on home loans and a standard deduction for repairs […]
