As Per section 2(26) of Income Tax Act 1961 “Indian company” Means: “Indian company” means a company formed and registered under the Companies Act, 1956 (1 of 1956), and includes— (i) A company formed and registered under any law relating to companies formerly in force in any part of India other than the State of… Read More »
All income which arises or accrues to the minor child shall be clubbed (added) in the income of his parent. As per Section 64(1A), whose total income (excluding Minor’s income) is greater. However, if parents are separated, the income of minor will be included in the income of that parent who maintains the minor child… Read More »
As Per Income Tax Act 1961 “Basic Specific incomes chargeable under the head INCOME FROM OTHER SOURCE (IOS)” includes: The following list of income shall be Chargeable to income-tax under the head “Income from other sources” namely:- Dividends; Income from machinery, plant or furniture belonging to the Assessee and let on hire, if the income… Read More »
Statement that “Filing of Income Tax is compulsory for all PAN CARD Holder” is False. Having PAN card does not make it compulsory to file returns. If income is taxable in a particular year, then you need to file return. However if income is below taxable limits, you can still have a PAN card and… Read More »
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 »
It is not true that income tax return once filed cannot be revised but only return filed after due date can’t be revised. Every person, being a person specified in S. 139(1), is required to furnish a return of his income on or before the due date. The due date for filing income tax return for corporate… Read More »
Section 269T explains the provisions relating to the mode of repayment of certain loans and deposits whereas Section 269SS deal with acceptance of Loans & Deposits and section 271E deals with penalty for failure to comply with the provisions. The provision says that no branch of a Co-operative bank, a Banking Company or any Company or… Read More »
As per Section 2(31) which defines Meaning o f Person, has given seven categories of persons chargeable to tax under the Act. The aforesaid definition is inclusive and not exhaustive. Therefore, any person, not falling in the above-mentioned seven categories, may still fall in the four corners of the term “person” and accordingly may be… Read More »
Interest paid on loan take for house property is disallowed if the following conditions are not fulfilled as per section 25 of the Income Tax Act. Any interest chargeable under this Act, which is payable outside India and on which Tax on such payment has not been deducted Tax on such payment has not been… Read More »
Under the Income tax act 1961 of section 5 has defined that the incidence of tax on a tax payer depends on his residential status and also the time of accrual or receiving the Income. So the Income of a resident divided into two parts- (i) Indian Income (ii) Foreign Income Indian Income has Include… Read More »