Written on Feb, 03, 2013 by in

No gift tax is to be payable on any gift received on or after 01.10.1998 under Indian Gift Tax Act. Any gift received on or after 01.10.1998 shall be taxable under Indian Income Tax Act subject to certain exemptions. GIFTS TAXABLE AS INCOME OF RECIPIENT INDIVIDUALS/HUF IN CERTAIN CASES: Following gifts shall be taxable as income in hands of individuals …

Written on Jan, 20, 2013 by in

Q. I have got encashment of my leave from my employer. Will it be included in my salary? Ans. Yes, any amount of encashment for the period of leave not availed by an employee during his/her employment shall be included in the income from salary. However, leave encashment after retirement is exempt subject to certain conditions. Q. I am receiving …

Written on Dec, 23, 2012 by in

Q. Who is supposed to pay the income tax electronically? Ans. All assesses whose accounts are subject to tax audit and all the companies, are supposed to pay income tax electronically only whether it is advance tax, regular tax or self assessment tax. For other assessees it is optional. If they want to pay income tax electronically, they can deposit …

Written on Dec, 23, 2012 by in

Q. What will be the Assessment Year for Financial Year 2016-17? Ans. 2017-18 will be the Assessment Year for Financial Year 2016-17. Q. What is previous year? Ans. According to Indian Income Tax Act previous year is a financial year or accounting year. Q. Can I file a revised return if I find any mistake in my income tax return …

Written on Dec, 12, 2012 by in

Q. What will be the Assessment Year for Financial Year 2016-17? Ans. 2017-18 will be the Assessment Year for Financial Year 2016-17. Q. What is previous year? Ans. According to Indian Income Tax Act, previous year is a financial year or accounting year. Q. I am 45 year old male any my income during financial year 2016-17 is Rs.2,85,000/=. Should …

Written on Dec, 09, 2012 by in

S.N. FINANCIAL YEAR C.I.I   1 1981-82 100 2 1982-83 109 3 1983-84 116 4 1984-85 125 5 1985-86 133 6 1986-87 140 7 1987-88 150 8 1988-89 161 9 1989-90 172 10 1990-91 182 11 1991-92 199 12 1992-93 223 13 1993-94 244 14 1994-95 259 15 1995-96 281 16 1996-97 305 17 1997-98 331 18 1998-99 351 19 …

Written on Dec, 05, 2012 by in

Every income tax payer has to receive Permanent Account Number from Income Tax Department. Permanent Account Number contains ten digit alpha-numerical numbers. Q. What is Permanent Account Number (PAN)? Ans. Income Tax Department identifies the tax payees with a Permanent Account Number (PAN), which is unique 10 digit alpha-numeric number. PAN is to obtained only once for ever. Q. What …

Written on Nov, 29, 2012 by in

According to Indian Income Tax Act, there are so many schemes for individuals in respect of tax saving. Public Provident Fund is one of those saving schemes. Please read the following terms to understand this scheme in better way:- Q. What is Public Provident Fund Account? Ans. The Public Provident Fund Scheme is a statutory Scheme of the Central Government …

Written on Sep, 12, 2012 by in

For Male Individuals below 60 years (Resident of India) INCOME   TAX RATES     UP TO 200000 0 200001 TO 500000 10% 500001 TO 1000000 20% 1000001 and above 30% Notes: Add: Education Cess @ 2% on Income Tax Payable Add: Secondary & Higher Education Cess @ 1% on Income Tax Payable No Surcharge will be charged on Income …

Written on Sep, 12, 2012 by in

EXAMPLES RELATING TO CALCULATION OF INCOME TAX RELATING TO FINANCIAL YEAR 2014-15 (ASSESSMENT YEAR 2015-16):- Illustration: Mr. X, aged 45 years, submitted the details of his income and investment for financial year 2014-15, as under: Particulars Amount(In Rupees) Income from salary 300000/= Interest from fixed deposits with bank 15000/= Interest from personal loans 5000/= Interest from Public Provident Fund Account …