Income Tax

Avoid notice from Department for non filing of TDS return

Every person responsible for deduction of tax shall file quarterly TDS return as per section 200(3) of Income Tax Act, 1961. However no TDS return is required to be filed if TDS is not required to be deducted during that quarter. Due to this, the Income Tax Department has been

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6 Benefits in Income Tax for Senior Citizens

A number of benefits are given in the Income Tax Act of India to the senior citizens apart from general deductions and benefits. Senior citizen is a resident individual who is of 60 years or more at any time during the previous year.Super senior citizen is a resident individual who

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Definitions under Income Tax Act

What is Assessment year? Assessment year is the year in which the income of the previous year is to be assessed. In other words assessment year is the succeeding year of the year whose income is to be taxed. For example if we are calculating taxable salary which is received

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Restriction on Receipt of Cash – Section 269ST

In Budget 2017 new restrictions on cash transactions has been imposed. New section 269ST has been added in this regard and is applicable from 1st April 2017. A person should not receive cash of Rs. 2,00,000 or more in aggregate from a person in a day; or in respect of a

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Computation of Short Term Capital Gain/Loss

Short term capital gain means capital gain arising from transfer of short term capital asset. No indexation benefit is available for short term capital gains. Short term capital gain is computed as under Short Term Capital Gain/Loss Amount Full value of consideration Less: Expenses incurred wholly and exclusively in connection

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Meaning of Transfer of Capital Asset

Transfer of Capital Assets includes the following the sale, exchange or relinquishment of the asset the extinguishment of any rights therein the compulsory acquisition thereof under any law in a case where the asset is converted by the owner thereof into, or is treated by him as, stock-in-trade of a business carried

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Transactions not regarded as transfer of Capital Assets

The following transactions are not required as transfer in case of capital assets and thus no Capital gain/loss arises. any distribution of capital assetson the total or partial partition of a Hindu undivided family any transfer of a capital asset under a giftor will or an irrevocable trust Provided that this

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Meaning of Long Term and Short Term Capital Asset

Long term capital asset means a capital asset held by an assessee for more than 36 months immediately preceding the date of its transfer. However in the following cases, if Capital asset is held for more than 12 months it shall be treated as long term capital asset Equity or

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Meaning of Capital Asset – Section 2(14)

Capital asset means property of any kind held by an assessee, whether or not connected with his business or profession, but does not include— any stock-in-trade, consumable stores or raw materials held for the purposes of his business or profession personal effects, that is to say, movable property (including wearing apparel

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