Conditions for Taxability under House Property – Section 22

1) The property should be consisting of any building or land apparent thereto. Income from letting vacant land is chargeable to tax under “Income from Other source – Section 56” not under this head “Income from House Property – Section 22”. The purpose for which the building is used by the tenant is immaterial. Thus […]

Sweat Equity Shares

If the following conditions are satisfied, then value of sweat equity shares will be taxable in the hands of employee in the year in which the shares are allotted or transferred to employees. (i) The security involved is either specified security or sweat equity shares. (ii) Such security is allotted or transferred on or after […]

Taxability for Specified Employees

 Specified Employees The following person shall be considered as specified employees: – An employee who is a director of company. An employee being a person who has substantial interest in the company i.e. who is the beneficial owner of equity shares carrying 20% or more of the voting rights in the company Any other employee […]

Rent Free Accommodation – Perquisite

Computing taxable value in case of rent free accommodation or accommodation provided at concessional rate When accommodation is provided by the Government Case I – When unfurnished accommodation is provided Taxable Amount = License Fees – Rent actually paid by employee Case II – When furnished accommodation is provided The following amount will also be […]

Section 80TTB – Deduction of Interest to Senior Citizens

This section is inserted in budget 2018 and is applicable from financial year 2018-19. When a senior citizen receives interest on deposits with a bank a co-operative bank a post office then he is allowed a deduction of such interest up to maximum limit of Rs. 50,000. Also note that deduction is allowed on interest […]

Place of Supply of Goods/Services under GST

GST is a consumption based tax. So the tax should be received by the government of the state or union territory where goods/services are consumed. So there should be proper determination of the place where supply took place. Also there is a requirement to determine whether sales is within state (intra state) or to outside […]

Life Insurance Premium – Tax Benefits on Payment and Maturity

benefits of life insurance

Life insurance is the mostly used tool for getting deduction under section 80C. Tax benefits, minimal risk and insurance benefits make it an all time favourite investment for the general public. The payment of life insurance premium is allowed as deduction under section 80C and also the bonus and maturity benefits are exempt from tax […]

Form 12BB in Excel, PDF, Word and Guide

Form 12BB in Excel Format Form 12BB in PDF Format Form 12BB in Word Format Form 12BB of income tax act is required to be filed with the employer if you want him to consider the HRA, LTA, Section 80 and interest paid on home loans under section 24 and thus deduct lower amount of […]

Accounting Entries under GST

Accounting Entries by Businesses other than those Registered under Composition Scheme The Accounts to be maintained by a normal dealer are Input CGST A/c Input SGST A/c Input IGST A/c Output CGST A/c Output SGST A/c Output IGST A/c GST Payable The person who is registered in Union Territory has to pay and thus maintain UTGST […]

Procedure for Surrender / Cancel Extra / Additional PAN Online

Each tax payer in India under the direct orders of Central Board of Direct Taxes (CBDT) is allotted a Permanent Account Number by the Income Tax Department. It’s a 10 digit unique alphanumeric number, and is compulsory for all financial transactions an individual has engaged in. Anyone can apply for PAN using Form 49A or […]