Extra Deduction of Rs. 50,000 on Home Loan Interest – Section 80EE
Finance Act, 2016 has introduced deduction of interest payable on housing loan for first time home buyers taken from any financial institution over and above the deduction allowed under section 24b. Section 80EE has been amended for this purpose. The deduction is allowed only to individuals, maximum limit of deduction is Rs. 50,000 and deduction […]
Rajiv Gandhi equity savings scheme – Section 80CCG
This section is inserted by Finance Act,2012 and is applicable from Assessment Year 2013-14. Eligible Assesee – Resident Individual who is a new retail investor whose Gross Total Income does not exceed Rs. 12 lakhs Amount eligible for deduction – Amount invested in listed equity shares or listed units of an equity oriented mutual fund […]
Collection of Tax at Source (TCS) under section 206C
The provision of this section will not apply from Financial year 2017-18. However TCS is still applicable on sale of motor car of more than Rs. 10 lakh. The Finance Act 2016 had amended section 206C to cover more transactions. The amendments brought in section 206C by Finance Act, 2016 are applicable from 1 st […]
Who can verify and sign the ITR
The ITR is to be signed by the authorised person whether on paper or digitally signed by virtue of Section 140 of Income Tax Act. The person authorised are Individual individual himself by his guardian or any person competent to act on his behalf if he is mentally incapable In case the individual is absent from India […]
Form 61 – Statement containing details form No. 60
For a number of transactions quoting of PAN is mandatory. However the persons who doesn’t have PAN can furnish details in form no. 60 along with address and identity proof. The person who is in receipt of form no. 60 is to furnish a statement in form no. 61. Filing of form no. 61 is […]
Insurance, PPF, Repayment of Loan and other Deductions – Section 80C
Eligible Assessee – Individual and HUF Maximum amount of Deduction – A maximum of Rs. 1,50,000 is allowed as deduction under sections 80C, 80CCC, 80CCD(1) aggregately. Deduction is allowed whether the payment is made out of income chargeable to tax or not. Deductions allowed – Life insurance premium Contribution by an employee to approved superannuation […]
Taxability in case of Shares & Derivatives Trading
If a person is engaged in shares dealing then it can result either in Business Income/Loss (chargeable under section 28 as Profits & Gains of Business or Profession) or Capital Gain/Loss (chargeable under section 45 as Capital Gain). Classification of Income It depends on facts and circumstances of each case as no standard guideline is […]
GST Practitioner
CGST Act contains the provisions regarding appointment of GST Tax Practitioner (GSTP). GSTP is a person who is authorized by the GST Department for performing certain functions on behalf of the registered persons under GST. Although any person can perform GST functions whether authorized or not. Such registration will increase the sense of responsibility in […]
Partnership Act, 1932 – Important Points
Applicability This act applies to the whole of India except the state of Jammu and Kashmir. Formation The relationship of partnership arises from contract and not from status. The members of a Hindu Undivided Family carrying on a family business as such are not partners in such business. Where no provision is made by contract […]
Section 139(A)(5)(c) and Rule 114B – 18 Transactions in which Quoting PAN is Compulsory
Section 139A(5)(c) of Income tax act states that PAN is required to be quoted on transactions prescribed by CBDT. In such case, the seller of goods/services has to collect PAN from the buyer. Rule 114B of Income Tax Rules states the transactions in which quoting of PAN is compulsory. A table showing requirement under Rule […]