Income Tax

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

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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

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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

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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

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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

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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

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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

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Depreciation is allowed @ 60% on Printers, Scanner etc

From financial year 2017-18 and onwards, maximum rate of depreciation is 40%. So depreciation on printers, scanner etc is also applicable at the rate of 40%. CASE LAW DETAILS Decided by: ITAT, DELHI BENCH `B’: NEW DELHI In The case of: ACIT v Container Corporation of India Ltd. Appeal No.

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TDS on Rent – Section 194I

Persons required to deduct Tax – Any person (other than an individual or HUF who is not liable for audit under section 44AB) who is responsible for paying rent to a resident is required to deduct tax under this section. Individual and HUF who are not covered in this section

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