Income tax

Earlier, a taxpayer can verify their tax return either by using Digitally Signed Certificate (DSC) or by sending signed ITR-V copy to Income Tax Department, CPC. With the introduction of e-verification process, assessee is not required to send income tax return acknowledgment copy or ITR-V to CPC, Bangalore after e-filing if e-verification is done successfully. Income tax … [Read more...] about Why and How to e-verify your income tax return

Many salaried persons are under the impression that if full tax has already been deducted by employer from their salary then they are not required to file their income tax returns. In this post, we will discuss why a salaried individual is required to file his income tax return in cases where full tax has already been deducted from salary by his employer. As per the … [Read more...] about Should salaried individuals file tax return without taxable income

A new section 44ADA has been introduced in Budget 2016 by our honourable finance minister Arun Jeitly. Here is the text of the section; Section 44ADA (1) - Notwithstanding anything contained in sections 28 to 43C, in the case of an assessee, being a resident in India, who is engaged in a profession referred to in sub-section (1) of section 44AA and whose total gross receipts … [Read more...] about Section 44ADA – Presumptive taxation for Professional

In our last article we have discussed due dates for payment of advance tax and what happens when advance tax is not paid on or before the due date. In this article, we will be discussing how to calculate interest under section 234B and 234C. If for a financial year, tax liability of an assessee is Rs 10,000 or more then tax department in India required them to pay advance … [Read more...] about How to calculate interest under section 234B and 234C

Advance tax is known as Pay-as-you-earn. To ensure a steady flow of income for the government, certain type of tax payers in India are required to pay tax in advance instead of paying at the end of the year. A taxpayer will be liable to pay advance tax in cases where his tax liability for the financial year is Rs 10,000 or more. This limit was Rs 5,000 up to assessment year … [Read more...] about What happens when Advance tax due date is missed

Tax department has introduced various forms for individuals like ITR-1, ITR-2, ITR-4 and ITR 4S. If you are running a small business it’s likely you have heard of the ITR 4S (sugam) form. ITR 4S (also called Sugam) is for those businesses who have calculate the business income on the basis of presumption irrespective of actual income. Section 44AD and 44AE of income … [Read more...] about When to file ITR 4S – Income Tax Return Form for Small businesses

As per the present tax laws of India, professionals with gross receipt of Rs. 25 lakh and business with gross receipt of Rs. 1 Crore are required to undertake statutory tax audit every financial year. Statutory tax audit means audit prescribed under section 44AB of Income tax act 1961. It has to be conducted by an independent chartered accountant who is in practice to report … [Read more...] about How to prepare for statutory tax audit or Section 44AB Audit

As per the present tax laws of India, an individual, partnership firm, company and other eligible persons can file their income tax return or return of income until the completion of two financial years from the end of the financial year for which the return is to be filed. For instance, if return of income or ITR is for the financial year 2014-2015, it can be filed on or … [Read more...] about Can income tax return be filed for earlier years

As per the present tax laws of India, a tax payer filing income tax return without using digital signature certificate or DSC is required to send acknowledgement form or ITR V generated after uploading the return of income to the tax department’s CPC Bangalore office. If such acknowledgement or ITR V has not been received by tax department within 120 days then the ITR filed … [Read more...] about How to link Aadhar number to your PAN for filing return of income

Tax department has laid down certain guidelines for taxpayers to follow while filing their return of income. If it’s not followed then your return of income may get rejected. Tax payers in India have option to use digital signature while filing their return of income with the tax department. If it’s used then you are not required to send the signed acknowledgement form or … [Read more...] about ITR V form password, check list and how to send it to tax department