INCOME TAX

Consequences of Non-Filing of the Income Tax Return

Income tax is a tax imposed by the Indian Government on income of a person. Filing of income tax is responsibility of every citizen. Filing an ITR is a way to let the government know about your income. If you do not inform the government, you have to face penalties & problems. If you are in the taxable position, then you need to file income tax returns. Individuals with income… Read More »Consequences of Non-Filing of the Income Tax Return

Section 194J under TDS of the Income Tax Act, 1961.

What is TDS? TDS is a form of advance tax, TDS stands for tax deducted at source. According to the Income Tax Act, 1961, if the payment exceeds some Monterey threshold levels, every company or a person making a payment will deduct tax at source. The tax department must deduct TDS at the rates specified. What is section 194J? Section 194J is one of the most important sections under TDS(Tax… Read More »Section 194J under TDS of the Income Tax Act, 1961.

Taxation of Director Remuneration under GST

Directors’ remuneration termed as the compensation the company gives to its directors for the services rendered. This can be done via fees, salary or by use of a company’s assets. The remuneration paid to Directors is issued only on getting approval from shareholders and the Board of Directors.  A director can be:- Executive Director non-executive Director Managing Director (MD) Independent Director Small Shareholder Director  Women Director Additional Director  Alternate Director … Read More »Taxation of Director Remuneration under GST

Benefit Of Filing The Income Tax Return

An Income Tax Return is a tax filling form, where a taxpayer reveals the details of his/her income, claims applicable deductions and exemptions and taxes that are payable on the taxable income. As a responsible citizen of India, everyone who has an income should file an ITR, because in this way we are declaring all sources of income whether taxable or non-taxable. The Income Tax Department make it essential everyone… Read More »Benefit Of Filing The Income Tax Return

Equalisation Levy on E-Commerce and Specified Services

Over the last decade, Information Technology (IT) has gone through an exponential expansion phase in India and globally. This has led to an increase in the supply and procurement of digital services.  The Finance Act 2020 has now been amended to impose an Equalisation Levy of 2% on consideration received by ‘e-commerce operator’ for e-commerce supply of goods or service. While the levy was initially imposed on B2B transactions, the… Read More »Equalisation Levy on E-Commerce and Specified Services

All About Income Tax on Dividends Income

Dividends are not free money — they are commonly taxable income but when and how you own an investment that pays them can adequately and dramatically change the dividend tax rate you pay. There is a number of exceptions & unusual scenarios with special rules. An Individual may receive a dividend from their equity or mutual fund investments. The dividends received were tax-exempt until 31 March 2020 i.e. FY 2019-20.… Read More »All About Income Tax on Dividends Income