Online Correction Facility to Add/Modify Deductee in TDS Return

Many times, deductor have to make the changes in the previously filed TDS return due to some mistake, omission etc. TRACES provide online functionality for making various types of the corrections in the already filed TDS return which are as follows: – PAN correction Challan correction Add a new challan to statement Resolution for overbooks […]

Minimum Alternative Tax (MAT)

MAT stands for Minimum Alternative Tax. MAT was introduced by the Finance Act, 1987 with effect from Assessment Year 1998-99. Later on, it was withdrawn by the Finance Act, 1990 and reintroduced by Finance Act, 1996 with effect from 01St April 1997. Currently, the MAT is applicable only to companies as per the provision of […]

Refund of Unutilised Input Tax Credit for Zero-Rated Supplies

What is Input Tax Credit under GST? Input Tax Credit (ITC) means claiming the credit of the GST paid on the purchase of goods and services which are used for the furtherance of the business. ITC is a mechanism to avoid the cascading effect of taxes. Previously, no credit of taxes paid to Central Government […]

Online Functionality to File an Appeal Against Demand Order to Appellate Authority

Appeal under GST GST tax laws primarily impose two types of obligation – tax-related and procedural related, which are required to be compiled by the tax-payers. The taxpayer’s compliances with this obligation are verified by the proper tax officers via return filing, audit, scrutiny, examination, search, seizure etc. In certain cases, there is the difference […]

Difference between Zero Rated, Nil Rated, Non-GST and Exempt Supplies

Under GST, there are various types of supplies which creates confusion for the end user. While the end result of all these supplies is the same, i.e. GST is not applicable on the supply, but it is important to know the difference especially for the purpose of filing correct GST returns and accurate claim of […]

Tax on buying/selling of immovable property below stamp duty value

If any immovable property is sold below the stamp duty value (or circle rate) then such case will fall under Section 50C, Section 43CA, Section 56(2)(x) and double taxation shall apply on the difference in the stamp duty value and transfer price. Taxability in the hand of Seller If the immovable property is considered as […]

Winning from the Lottery, Crossword Puzzle, Race, Games etc.

As per Section 115BB, a flat tax rate of 30% is applicable on income arising by way of winnings from any: – Lottery Crossword Puzzle Race including horse race (not being income from the activity of owning and maintaining race horses) Card Game and other game of any sort ( As per Section 24(ix) includes […]

Capital Gain on sale of Equity Shares – LTCG & STCG

Profit or gain arising on transfer of shares (considered as an investment not a business by assessee) is chargeable to tax under the head ‘Capital Gains’. Types of Capital Gain Capital gains on shares are divided into two types : – Short Term Capital Gains Long Term Capital Gains CAPITAL ASSETS SHORT TERM CAPITAL ASSETS […]

Taxability on Buyback of Shares of Companies

In simpler terms, buyback of shares means buying by a company of its own shares in accordance with the provision of the law. Taxability on buyback of shares is divided on the basis of the listing of the company i.e. a) Buyback by Listed Companies b) Buyback by Unlisted Companies Buyback by Listed Companies Taxability […]

Restrictions on Cash Transactions and Penalty on Contravention

In order to curb black money, the government has imposed various restrictions on cash payments from time to time. Paying/Receiving cash beyond these limits attracts a heavy penalty which can be up to 100% of the amount received/paid. Here is the list of various restriction which is imposed under the Income Tax Act 1961. Expenditure […]