Residential status of a person is the first and foremost thing you should find out before applying provisions of income tax act to calculate tax liability.For every previous year relevant to the assessment year, you should determine your Residential status in order to find out whether a particular income is taxable or not.Basic conditions to determine whether the … [Read more...] about How to determine Residential status of an individual for income tax purpose
Income Tax
A Comprehensive Guide to Partnership Firm Taxation in India
You’ve probably thought about starting a business with your best friends. If you do, you might wonder how your earnings as a partner would be taxed in India. Check out the guide below for more information.What is a Partnership Firm?A partnership firm is a business owned by several individuals who agree to work together. These individuals sign a document called a … [Read more...] about A Comprehensive Guide to Partnership Firm Taxation in India
How to reduce taxable Income to Rs 500000 or less in FY 2019-20 (AY 2020-21)
For calculating tax liability, you are required to add your Income under the head salary, house property, profits and gains from business or profession, capital gain and other sources. Total figure will give you gross total income.Out of the gross total income, if you reduce all eligible tax deductions under section 80C to 80U based on your investments and expenses, you … [Read more...] about How to reduce taxable Income to Rs 500000 or less in FY 2019-20 (AY 2020-21)
Why bank fixed deposit is not a tax free investment
Bank fixed deposit or FD is a very popular investment option among investors looking for a guaranteed return. Fixed deposit can be defined as a financial instrument invested for a fixed tenure at a pre-defined interest rate.If you are investing into a bank fixed deposits to get tax deduction or with a expectation that it will save you tax with good return, then read below … [Read more...] about Why bank fixed deposit is not a tax free investment
Tax Deductions for Senior Citizens on deposits and Post Office Schemes-Section 80TTB
In finance budget 2018, government has introduced section 80TTB to provide tax benefits to senior citizens getting interest from banks, co-operative banks and post offices. This means Section 80TTB is applicable with effect from financial year 2018-19 (AY 2019-20).If you are a senior citizen, then for the financial year 2023-24 (assessment year 2024-25) you can claim tax … [Read more...] about Tax Deductions for Senior Citizens on deposits and Post Office Schemes-Section 80TTB