Category: Income Tax

Difference between Statutory Audit, Tax Audit & GST Audit

Most enterprises are subject to various audits throughout their financial year. But one common question that arises in the mind of every such entrepreneur is that why are they subject to different audits? Since it is all related to tax...

Read More
What are ESOPs and Tax on Sale of ESOPs? (with Examples)

ESOP stands for Employees Stock Option Plan. As the name suggests, this is an option given to the employees to become the shareholders of the company. This option can be exercised after the employee has completed a specified no. of years...

Read More
How to file Income Tax Return (ITR) after Death of Taxpayer?

If a person dies during the year, and has earned some income during that year, it is necessary to file income tax returns even after his death. As per the Income Tax Act, income tax is to be paid, and...

Read More
Small dealers and Composition Scheme : Right from the pages of GST Law

“Composition means componere, meaning “put together”. One of the  feature of Indirect Tax laws is that in order to provide a comfort to assessee from complying with the requirement of paying tax on value addition by maintaining detail of ‘inputs’...

Read More
Should you purchase Capital Gain Bonds of NHAI & REC to save Tax?

The Gains that arise on the sale of a Long Term Capital Asset are known as Long Term Capital Gains and Capital Gains Tax is levied on such gains. However, such tax can be saved if this amount is invested...

Read More
0% Tax on Dividends received from Indian Company/ Mutual Fund

  The dividends received from any Indian Company upto Rs. 10 Lakhs are tax free in the hands of the investors under Section 10(34). However, the dividends received from any Mutual Fund Company are fully exempt without any maximum limit under...

Read More
Tax Implications of Dividend Stripping (with Examples)

Dividend stripping is the practice of buying a share/mutual fund units, just before the declaration of dividend and then selling it off right after the receipt of dividend, when the share prices fall below the purchase price. This practice is...

Read More
Why is Cess and Surcharge levied separately?

The Constitution of India grants the power to the Union to raise revenue by levying cess. Article 270 of Constitution of India states that the Government can collect tax in the name of cess for generating revenue but it shall...

Read More
post-Special Provisions for Tax on sale of Shares/Mutual Funds by NRI
Special Provisions for Tax on sale of Shares/Mutual Funds by NRI

When a NRI invests in the stock market of India, he is subject to capital gain tax on the profit earned through trading done in India. There are two types of capital gains applicable in India: Short Term Capital Gains...

Read More
What is Take Home Salary and How to increase take home salary?

Take home salary is the amount received by an employee after subtracting all the deductions from his package or CTC (Cost to Company). The formula for computing the take home salary is Take home salary= Basic Salary + Allowances – Deductions...

Read More