Category Archives: Tax Myths


Can a trader or manufacturer do the business without registering under GST? Yes, a small businessmen can do the business in his state without registering under GST subject to condition that his gross turnover is below Rs 20 Lakhs. Few More Queries & Solution related to unregistered dealers under GST What do we mean by Aggregate… Read More »

Tax Audit Process by IRS: Analysis of Rules & Guidelines to Audit

Tax audit is a process. There are systematic steps and discipline involved. Tax audits can potentially affect anyone, including self-employed individuals and corporate entities. Though many business owners worry about potential audits, the audit procedure is most often not as stressful as popular culture makes it out to be. Not all returns selected for audit contain… Read More »

Income Tax Deduction for Donation under section 80G is 100% allowed: False

Myth that Deduction under Section 80G is 100% allowed/exempted under Income tax  is False. Many Donor’s and Tax payers believe that deductions under section 80G are tax-free or fully allowed as deduction from Income tax but in reality only donations given to government or its specified fund like PM Relief, National Relief, Earthquake Relief, National Children Fund… Read More »

Income Tax Returns filed Electronically are more Prone to Scrutiny: CBDT Criteria for Selection of Returns for Scrutiny

Statement “Returns filed electronically are more prone to scrutiny” is wrong. Every year income tax department randomly pulls out the list of people to scrutinize. Also CBDT has laid down the criteria for selection of Income Tax Return for Scrutiny. There are equal chances of getting scrutinized even if you paper file your return. So, there… Read More »

E-filing is unsafe: Wrong, E-Filing is Safer than Physical Filing of Income Tax Return & Compulsory for Income Above Rs 5 Lakhs

E-filing of Income Tax Return is unsafe is myth  and E-Filing of ITR is now compulsory for Income above Rs 5 Lakhs and refund for e-filed return is issued faster than those filed physically.  Also E-Filing that is paper less filing is much more accurate, safer and faster and chances of error is very less… Read More »