Income Tax

In India, individuals are generally taxed only on their own income. However, there are situations where a person may have to pay taxes on someone else’s income. This is called clubbing of income, and it is designed to prevent people from avoiding taxes by shifting their income to others, especially family members, who are in a lower tax bracket.Why Do We Have Clubbing … [Read more...] about Clubbing of Income: Paying Tax on Someone Else’s Earnings in India

If you've filed your Income Tax Return (ITR) and received an Intimation under Section 143(1), don’t worry! It's not always a bad thing—it might even mean you're getting a tax refund! Let’s break down what this notice means and what steps you need to take.What is an Intimation Under Section 143(1)?When you file your Income Tax Return (ITR), the Income Tax Department … [Read more...] about Understanding Section 143(1) Intimation and Your ITR Password: A Simple Guide

Taxes are something everyone has to deal with, but did you know there are different ways to manage how much tax you pay? The key is understanding three important concepts: tax planning, tax avoidance, and tax evasion. Each of these approaches involves different strategies, but the key difference lies in how legal and ethical they are. Let’s break these concepts down in … [Read more...] about Tax Planning, Avoidance & Evasion: A Simple Beginner’s Guide

Many salaried individuals think they don’t need to file an Income Tax Return (ITR) because their employer already deducted tax at source, known as Tax Deducted at Source (TDS). While this system is designed to ensure taxes are paid regularly, there are many situations where you might still need to file an ITR.In this article, we’ll explain why salaried individuals must file … [Read more...] about Why salaried workers must file ITR even if tax is deducted (TDS)

If you have a savings account, you might be wondering whether the interest you earn from it is taxable. The short answer is: yes, it is. However, there are ways to reduce the amount of tax you need to pay. In this article, we will break down the basics of how interest on savings accounts is taxed, how to calculate it, and how you can claim deductions to lower your tax … [Read more...] about Tax on Savings Account Interest: A Simple Guide to Deductions, Calculations, and Filing