TDS Refund: Procedure for applying for Income Tax Refund

TDS is required to be deducted at the time of making any payment and the TDS so deducted is deposited with the Income Tax Department as tax deducted on behalf of the person to whom the payment is being made....

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House Rent Allowance (HRA) : Calculation & Taxability

House Rent Allowance (HRA) is given by the employer to the employee to meet the expenses in connection with rent of the accommodation which the employee might have to take for his residential purpose. This House Rent Allowance so paid...

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Tax Saving Mutual Funds: Should you be investing in them?

Section 80C allows for deductions for investments in specified instruments and investing in Tax Saving Mutual Funds is one such specified instrument which can be claimed as a deduction under Section 80C at the time of filing of income tax...

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Self Assessment Tax: Procedure for Payment and Computation

As the name suggests, Self Assessment Tax is the tax which is computed by the taxpayer on his own and then deposited with the govt. The Self Assessment Tax shall be paid before the filing of income tax returns. Recommended...

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Tax Free Bonds: Should you be investing in them?

In India there are 2 types of bonds through which the tax liability of a person can be reduced:- Tax Free Bonds Capital Gain Bonds Tax Free Bonds are the bonds on which the interest received is fully exempted from...

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Tax Planning vs Tax Avoidance vs Tax Evasion

The tax liability of a person can be reduced through Tax Planning, Tax Avoidance & Tax Evasion. Although, in common parlance these terms are used interchangeably, these terms are technically different from each other and should not be used interchangeably....

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What is Backorder Cost

Backorder Cost is a Cost which is incurred by a business when it is unable to fill an order and must complete it later. It is a real and perceived cost of the inability to fulfill an order. The costs...

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What is Escalation & De-Escalation Clause?

An Escalation clause (also known as Escalator Clause) is a clause in a contract that guarantees a change in the agreement price once a particular factor beyond control of either party affecting the value has been determined. Because of increasing prices, it...

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What is Sunk Cost

Sunk Cost is also known as ‘Past or Retrospective, embedded cost, prior year cost, or sunk capital’. Sunk costs are costs which cannot be recovered once they have been incurred. Since they are costs that can’t be regained so they shouldn’t be taken into...

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Forgot Income Tax efiling password? Recover in 3 simple ways

Forgetting the login-id and the password required to login to the income tax website at the time of efiling of income tax returns is a common mistake which many taxpayers make. Although, your login id is your PAN No. itself,...

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