Let me get this straight: yes, you can file the income tax return even when your income is below the taxable income threshold (₹2,50,000/- as of now). This is known as a Nil-Income Tax Return or nil return to put simply. But why would anyone want to file an ITR when they don’t have any … Read more
Indians love savings. Savings is the essential driver of our Indian economy. The savings spur investment which is the main driver of demand and thus leading to production which utlimately drives the Indian economy. Having recognised the vital role played by the savings, the Income Tax Department allows certain amount of interest on such savings … Read more
Have you received any gift recently and wondering if you have to pay any tax on it? He is a blog post that explains the tax implications of gifts received by anyone in India as per the Income Tax Act 1961. First let’s start with defining the term ‘gift’. Gift can be any asset like … Read more
Is leave encashment taxable? Read on to know. During the service of an employee, he will be given different kinds of leaves to be availed like earned leave, medical leave, casual leave, etc. However, all of them will either lapse or can not be converted into cash (encashment). Earned leaves are the only type of … Read more
Self Assessment Tax or SAT in short is the balance income tax that an income tax assessee has to pay before the filing of income tax return (ITR) after deducting the TDS and Advance Tax paid from his total tax liability. Self Assessment Tax (SAT) = Total Tax Liability – Advance Tax – TDS Why … Read more
Income Tax Slabs provide you the first hand information about how much tax you are liable to pay at the end of the financial year. Having knowledge of the income tax slabs puts you at an advantageous position as you can do tax planning and tax saving beforehand. In India, every year during the Annual … Read more
Advance Tax, as the name suggests is the tax that you pay to the Income Tax Department in ‘advance’ i.e., in the same financial year in which you earn the income. Hence it is also called as ‘Pay as you earn’ scheme of income tax. Let’s learn more about the Advance Tax. Who needs to … Read more
Income Tax Refund: Income tax refund arises in a situation when you have basically paid the taxes to the income tax department (ex: in the form of TDS deducted) more than your tax liability. How to claim? In order to claim your refund, the basic condition is that you need to file your Income Tax … Read more
PAN or Permanent Account Number is the unique 12 digit alpha-numerical identification number given to all the tax payers by the Income Tax Department / CBDT. If you have income above Rs. 2.5 lakh and more you will have to file income tax return for which PAN is mandatory. Once you have PAN, all your … Read more
The Income Tax Department of India has today announced that a staggering number of PAN cards (stood at 11.44 lakhs) have been deactivated on the grounds of duplication or being spurious. The problem of PAN duplication wherein a tax payer is able to get hold on two or more PANs somehow has been a serious … Read more