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Frequently Asked Questions


  TDS
  What are the changes in Form 16?
Answer: Refer Post : CBDT Amends Form 16 and Form 24Q

  What are the changes in Form 24Q?
Answer: Refer Post : CBDT Amends Form 16 and Form 24Q

  How to check the BSR Code mentioned on challan?

  How to download CSI file for filing TDS Return?

  How to track the status of challan deposited in bank?

  What are the accounting enteries when TDS is applicable?

  When TDS should be deducted under section 194J of Income Tax Act 1961?
Answer: Any person (other than an Individual or HUF) who is responsible for paying to a resident any sum (referred to in Section 194J) shall deduct tax -Either at the time of payment Or at the time of credit (in any account of payee) Whichever is earlier. Refer Post : Section 194J TDS on Professional Fees or Technical Services

  What is the rate of TDS will be charged under section 194J of Income Tax Act 1961?
Answer: TDS to be deducted at the rate of 10% or TDS to be deducted @ 2% in case of a person engaged in the business of call center (Applicability from 1st June 2017). Refer Post : Section 194J TDS on Professional Fees or Technical Services

  If M/s X & Co. has paid professional fees to M/s Jain Associates of Rs. 15,000 on 25.05.2018 and 12,000 on 28.12.2018. Whether provision of TDS under section 194J is applicable or not?
Answer: M/s X & Co. has not liable to deduct TDS because the threshold limit of Rs. 30,000 has not exceeded. Refer Post : Section 194J TDS on Professional Fees or Technical Services

  If M/s X & Co. has paid professional fees to M/s Jain Associates of Rs. 20,000 on 25.05.2018 and 15,000 on 28.12.2018. What is the due date for deduction of TDS under section 194J?
Answer: M/s X & Co. has liable to deduct TDS @ 10% on Rs. 35,000 i.e. Rs. 3,500 on 28.12.2018, because at the time of payment of Rs. 15,000 the threshold limit has exceeded and the firm is liable to deduct TDS on total payment. Refer Post : Section 194J TDS on Professional Fees or Technical Services

  What is the provision of TDS under section 194-IB?
Answer: TDS on Rent under Section 194-IB:- Any person, being an individual or a Hindu undivided family (other than those referred under section 194-I), responsible for paying to a resident any income by way of rent exceeding Rs. 50,000 for a month or part of a month during the previous year, shall deduct an amount equal to 5% of such income as income-tax thereon w.e.f. 01.06.2017. Refer Post : TDS on Rent under Section 194-IB

  Whether TAN is required under section 194-IB?
Answer: Tenants do not need to apply for TAN. CBDT has notified form 26QC for filling return under section 194-IBd and this is PAN based. Refer Post : TDS on Rent under Section 194-IB

  What is the due date for payment of TDS on Rent under section 194-IB?
Answer: The due date for payment of TDS on rent is 30 days from the end of the month in which the rent is paid. Refer Post : TDS on Rent under Section 194-IB

  What types of professional services are covered under section 194J of Income Tax Act 1961?

  What is non compete fees under section 194J of Income Tax Act 1961?
Answer: Non-compete fees refers to the amount received either in cash or kind, in return for an agreement which restricts the person from sharing any license, patent, franchise, trademark, know-how, commercial or business rights etc. Refer Post : Section 194J TDS on Professional Fees or Technical Services

  On which contacts the provisions of section 194C is applicable?
Answer: The provisions are applicable only to following contracts i.e. Works Contracts and Labour Contracts. Refer Post : TDS on Payment to contractor under section 194C

  What is the rate of TDS under section 194C?
Answer: In case of an Individual or HUF i.e. 1% or In case of others i.e. 2%. Refer Post : TDS on Payment to contractor under section 194C

  M/s Shyam & company (partnership firm) has made Job work from Mr. Ram kumar regularly during the financial year 2017-18 aggregate amount of Rs.1, 10,000. What is the rate of TDS which is to be deducted under section 194C?
Answer: M/s Shyam & Company is required to deduct TDS under 194C @ 1% because Mr. Ram is an Individual, so the amount will be deducted of Rs. 1,100 (i.e. 1% of Rs. 1,10,000). Refer Post : TDS on Payment to contractor under section 194C

  M/s Shyam & company (partnership firm), enter into a contract of Job work with Mr. Ram kumar for Rs. 25,000 during the year 2017-18. Whether the firm is required to deduct TDS under section 194C?
Answer: M/s Shyam & Company is not required to deduct TDS under 194C because they enters in to a single contact which is not exceeding the amount of Rs. 30,000/-. Refer Post : TDS on Payment to contractor under section 194C

  M/s Shyam & company (partnership firm) has made Job work from Mr. Ram kumar regularly during the financial year 2017-18 aggregate amount of Rs.1, 10,000. Whether the firm is required to deduct TDS under section 194C?
Answer: Yes, M/s Shyam & Company is required to deduct TDS under 194C because the aggregate amount exceeds Rs. 1,00,000 during the financial year 2017-18. Refer Post : TDS on Payment to contractor under section 194C

  M/s Shyam & company (partnership firm) has deducted TDS under section 194C in the month of May 2018. What will be the due date for payment of TDS without Interest and Penalty?
Answer: Due date for payment of TDS under section 194C is 7th June 2018 for the month of May 2018 without interest and penalty. Refer Post : TDS on Payment to contractor under section 194C

  What is the form of Return under section 194C?
Answer: The return should be submitted in Form 26Q i.e. Statement of TDS deducted on all payments other than Salaries. Refer Post : TDS on Payment to contractor under section 194C

  If motor vehicle sold of value Rs. 10,00,000/- whether TCS provisions will be applicable?
Answer: TCS is applicable on sale of Motor Vehicle above Rs. 10.00 lakh. Refer Post : Section 206C (1F) TCS on Sale of motor Vehicle above Rs 10 Lakh

  Limit of Rs. 10,00,000/- will be considered on amount inclusive of Tax or exclusive of Tax?
Answer: For Limit, amount will be considered inclusive of VAT i.e. Sales Consideration. Refer Post : Section 206C (1F) TCS on Sale of motor Vehicle above Rs 10 Lakh

  What is Section 206C (1F)?
Answer: Budget, 1 June 2016, Finance Minister in his Budget Speech has used the word ” Luxury Cars ” but , having regard to the language used in provision of Section 206C (1F) , it is not limited to the sale of luxury cars and are applicable on sale of any Motor vehicles of the value exceeding Rs 10 Lakh. Refer Post : Section 206C (1F) TCS on Sale of motor Vehicle above Rs 10 Lakh

  What are the provisions under Section 206C (1F)?

  What is the rate of TCS under section 206C (IF)?
Answer: TCS will be charged @ 1% on Invoice Value i.e. also includes tax amount (GST). Refer Post : Section 206C (1F) TCS on Sale of motor Vehicle above Rs 10 Lakh

  Value means for collection of tax at source under section 206C (IF)?
Answer: Value means Sales Consideration i.e. Invoice Amount. Refer Post : Section 206C (1F) TCS on Sale of motor Vehicle above Rs 10 Lakh

  Definition of Motor Vehicle?

  What documents are required to submit along with application form?

  What is section 206C under Income Tax Act?
Answer: Section 206C refer to TCS collected from sale of goods and services. Refer Post : Section 206C of the Income tax Act for Collection of tax at source

  What is the rate of TCS will be deducted on Tendu Leaves?
Answer: TCS will be deducted @ 5% on sale value. Refer Post : Section 206C of the Income tax Act for Collection of tax at source

  What is the rate of TCS on Timber obtained under a forest lease?
Answer: TCS will be deducted @ 2.5% on sale value. Refer Post : Section 206C of the Income tax Act for Collection of tax at source

  What is the rate of TCS on Scrap sale?
Answer: TCS will be deducted @ 1% on sale value. Refer Post : Section 206C of the Income tax Act for Collection of tax at source

  What is the rate of TCS on Parking lot, Toll Plaza, Mining and quarrying?
Answer: TCS will be deducted @ 2% on sale value. Refer Post : Section 206C of the Income tax Act for Collection of tax at source

  What is the rate of TCS on Bullion and Jewellery?
Answer: TCS will be charged @ 1% on sale value. Refer Post : Section 206C of the Income tax Act for Collection of tax at source

  Whether sale of Motor Vehcile exceeding value of Rs. 10.00 lakh are covered under section 206C of Income Tax Act?
Answer: Yes, The transactions are sale of a motor vehicle of value exceeding Rs.10 lakh, and receipt of money for sale of goods or provision of services exceeding Rs.2 lakh. Refer Post : Section 206C of the Income tax Act for Collection of tax at source

  What is the rate of TCS on sale of Motor Vehcile exceeding value of Rs. 10.00 lakh under section 206C of Income Tax Act?
Answer: In such cases, besides the sale price, the seller is required to collect an additional 1% from the purchaser, and pay it to the government. Refer Post : Section 206C of the Income tax Act for Collection of tax at source

  What is the procedure for claiming Lower TDS or No TDS under section 197?

  What is form 13?
Answer: FORM 13 is an application form for lower/nil deduction of TDS u/s 197 and TCS u/s 206C. The said form to be submitted with his jurisdictional Assessing Officer. Refer Post : Section 197 of Income Tax for lower deduction of TDS

  To whom the application should be submitted for certificate for deduction of tax at lower rates?
Answer: The application on FORM 13 should be submitted to the his jurisdictional Assessing Officer electronically. Refer Post : Section 197 of Income Tax for lower deduction of TDS

  What is an exemption under section 10 (10D)?
Answer: As per sec 10 [10(D)] of the Income Tax Act any income received from the insurance policy is exempted whether received from Indian or a Foreign Company. Refer Post : TDS on Insurance Policy Payments under Section 194DA

  Mr. Ram has received Rs.1 ,00,000/- as maturity amount on his life insurance policy. State whether TDS provisions under section 194DA is applicable or not?
Answer: Tax is not required to be deducted on maturity amount if the maturity amount is less than Rs. 1,00,000/-. In this case, proceeds are Rs. 1,00,000/- hence TDS at 1% i.e. Rs. 1,000/- will be deducted under section 194DA. Refer Post : TDS on Insurance Policy Payments under Section 194DA

  Mr. Ram takes a life insurance policy in March 2017 having a sum assured of Rs. 5,00,000. He paid a premium of Rs, 1,00,000 in March 2017. Whether the deduction is allowed for full amount of premium paid?
Answer: The amount of deduction would be restricted to 10% of sum assured i.e. Rs. 50,000 (10% of Rs. 5,00,000). Hence, out of Rs. 1,00,000 premium paid by him, he would be eligible for deduction for only Rs. 50,000 & balance Rs. 50,000 is not eligible for deduction. Refer Post : TDS on Insurance Policy Payments under Section 194DA

  Where the maturity amount should be disclosed in Income tax return?
Answer: The maturity proceeds received by you are exempt under Section 10(10D) and should be shown under exempted income in your income tax return. Refer Post : TDS on Insurance Policy Payments under Section 194DA

  Whether premium paid towards life insurance policy is allowed under section 80C?
Answer: Premium paid towards a life insurance cover taken on life of your family which includes you, your spouse or your child (child may be dependent or not, minor or major, married or unmarried), such amount of premium paid is eligible for deduction under section 80C. Refer Post : TDS on Insurance Policy Payments under Section 194DA

  What is TDS on Insurance Policy Payments under Section 194DA?
Answer: Section 194DA Inserted on 01.10.2014 according to the new section tax will be deducted at source (TDS) at below rates on payouts to Indian Resident, if the cumulative payout across all policies which are not exempted under section 10(10D) equals or exceeds Rs. 1 lakh in a financial year. Refer Post : TDS on Insurance Policy Payments under Section 194DA

  What are the ways to revise TDS return?
Answer: Refer Post : How to File Revise TDS Return

  How to file revise TDS return?
Answer: Refer Post : How to File Revise TDS Return

  What steps are reqiured for correction of TDS return?
Answer: Refer Post : How to File Revise TDS Return

  How much time the TDS certificate will be issued under section 194IA?
Answer: The buyer has to provide TDS certificate in form 16B to the seller within 15 days from the day of filing Form 26QB. Refer Post : TDS on Sale of Immovable Property Section 194IA

  How to download TDS certificate in form 16B?
Answer: of filing Form 26QB. Refer Post : How to download TDS certificate in form 16B

  What is the rate of tds falls under section 194IA
Answer: TDS will be deducted @ 1% on the amount payable to the seller. If the seller has no PAN then the TDS will be deducted @ 20%. Refer Post : TDS on Sale of Immovable Property Section 194IA

  Mr. Ram sells the Residential House to Mr. Sham at a consideration amount of Rs. 65.00 lakhs. Whether TDS will be applicable, if applicable what is the amount of TDS?
Answer: Yes, the TDS will be charged @ 1% on Rs. 65.00 lakhs i.e. come to Rs. 65,000/-(if the seller has PAN). Refer Post : TDS on Sale of Immovable Property Section 194IA

  Mr. Ram sells the Residential House to Mr. Sham at a consideration amount of Rs. 45.00 lakhs. Whether TDS will be applicable, if applicable what is the amount of TDS?
Answer: No, TDS will be charged because the property value is below to Rs. 50.00 lakhs. Refer Post : TDS on Sale of Immovable Property Section 194IA

  How much time the TDS will be deposited under section 194IA?
Answer: The purchaser of the property should deposit the deducted amount of TDS on Form 26QB, within 30 days from the end of the month in which payment is made. Refer Post : TDS on Sale of Immovable Property Section 194IA

  What is the type of TDS comes under section 194(IA)?
Answer: TDS on sale of Immovable Property comes under section 194IA. Refer Post : TDS on Sale of Immovable Property Section 194IA

  Whether TAN is required for filing form 26QB
Answer: There is no requirement for obtaining Tax deduction account number (TAN) to the buyer. Only PAN of the buyer is required for filing form 26QB. Refer Post : TDS on Sale of Immovable Property Section 194IA

  How to pay TDS online?
Answer: Refer Post : How to Pay Taxes Online

  How to pay Income Tax online?
Answer: Refer Post : How to Pay Taxes Online

  Who can submit Form 15H?
Answer: Any Resident Individual, with the age of 60 years or more, can submit form No. 15H provided his tax liability on the basis of his estimated income is nil. Unlike form No. 15G, this form can be submitted by the Senior Citizens even though the aggregate amount of interest income may exceed Rs. 3,00,000 which is the basic exemption limit for the A.Y 2019-20 and for Super Senior Citizens the basic exemption limit is Rs 5,00,000 for A.Y 2019-20. Refer Post : Form 15G & 15H: Save TDS on Interest on Deposits whether Fixed or Recurring.

  Mr. X aged about 42 years having total income before deductions is Rs. 2,00,000 (Inclusive Interest Income of Rs. 1,00,000). Can he submit Form 15G?
Answer: Yes, Both conditions are fulfilled. Mr. X can submit form 15G for non deduction of TDS. Refer Post : Form 15G & 15H: Save TDS on Interest on Deposits whether Fixed or Recurring.

  Mr. Z aged about 45 years having total income before deductions is Rs. 3,50,000 (Inclusive Interest Income of Rs. 3,00,000). Can he submit Form 15G?
Answer: No, his interest income exceeds the exemption limit or he falls under tax liability. So, Mr. Z can’t submit form 15G for non deduction of TDS. Refer Post : Form 15G & 15H: Save TDS on Interest on Deposits whether Fixed or Recurring.

  Mr. X aged about 62 years having total income before deductions is Rs. 2,50,000 (Inclusive Interest Income of Rs. 1,50,000). Can he submit Form 15H?
Answer: Yes, Mr. X can submit form 15H, because his total income falls below the exemption limit. Refer Post : Form 15G & 15H: Save TDS on Interest on Deposits whether Fixed or Recurring.

  Mr. Z aged about 65 years having total income before deductions is Rs. 5,00,000 (Inclusive Interest Income of Rs. 3,50,000). Can he submit Form 15H?
Answer: No, his total income is above the exemption limit. there is no restriction for interest income below the exemption limit like form 15G. So, Mr. Z can’t submit form 15H for non deduction of TDS. Refer Post : Form 15G & 15H: Save TDS on Interest on Deposits whether Fixed or Recurring.

  Can an NRI submit Form 15G & Form 15H?
Answer: No, Only Resident Indian can submit form 15G or 15H. Refer Post : Form 15G & 15H: Save TDS on Interest on Deposits whether Fixed or Recurring.

  Who can submit Form 15G?
Answer: A person, Resident in India below the age of 60 years, to be eligible to furnish Form 15G, if they fulfill the following two conditions:
  • The tax liability on the basis of his estimated income is nil; and
  • The aggregate amount of interest income etc. received during the financial year should not exceed the basic exemption limit of Rs. 2,50,000 for the A.Y. 2019-20.
Refer Post : Form 15G & 15H: Save TDS on Interest on Deposits whether Fixed or Recurring.

  What is rate of TDS under payment to any professional amounting to Rs. 40,000 during the year. what amount of TDS to be deducted?
Answer: Payment to any profession should be deducted under section 194J @ 10%. The amount of Rs. 4,000 should be deducted. The amount should be deducted at the time of credit or payment which ever is earlier. Refer Post : TDS Rate Chart.

  What is the limit under payment of commission without TDS or what rate the TDS to be deducted ?
Answer: TDS on commission is charged under section 194H, if the amount of commission exceeds Rs. 15,000 during the year, it will charged @ of 5% . Refer Post : TDS Rate Chart.

  What is rate of TDS charged for payment of Rent of Building and what is ceiling amount when TDS not to be deducted during the year?
Answer: TDS on payment of Rent of Building should be deducted, when the rent exceed Rs. 1,80,000 during the year. it will be deducted @ 10% under section 194-I. Refer Post : TDS Rate Chart.

  What is the due date of TDS Return for the quarter ending june 2018?
Answer: The due date of TDS return under 24Q/26Q/27Q for the quarter ending June 2018 is 31st July 2018, for 27EQ it is 15th July. Refer Post : Due date for Payment of TDS and TDS Return.

  What form is used to deposit TDS every month?
Answer: Form ITNS/281 is used for deposit TDS every month. Refer Post : Due date for Payment of TDS and TDS Return.

  Whether any interest will be charged for not deposited TDS on time as prescribed, what is the rate of interest charged?
Answer: Yes, Interest will be charged @ 1.5% under section 201-A, the interest will be charged on monthly basis not day to day basis. Refer Post : Due date for Payment of TDS and TDS Return.

  If we fails to deposit TDS return on due date, whether it is filled after 5 days. Whether any penalty is charged or not?
Answer: Yes, if you have not filled your TDS return on due date as prescribed under Income tax act, the penalty under section 234E will be charged @ 200/- per day till the defaults continue. Refer Post : Due date for Payment of TDS and TDS Return.

  What is the penalty charged if we have not filled our TDS return?
Answer: Under Section 271H, an Assessee has not filled return within one year from the due date or incorrect filling of TDS return, the penalty should not be less than 10,000 or more than Rs. 1,00,000. Refer Post : Due date for Payment of TDS and TDS Return.

  TDS deducted against salary, what form is to be issued against TDS deduction?
Answer: Form 16 will be issued against TDS deducted on salary. Refer Post : TDS Rate Chart.

  What is the due date of TDS deposit for the month of May?
Answer: The due date of TDS deposit is 7th of next month i.e. 7th June. Refer Post : Due date for Payment of TDS and TDS Return.

  Income Tax
  If Mr. Ram has purchased capital asset for Rs.40 lakh in July 2001, incurred some expenditure on cost of improvement in the financial year 2005-06 amounting to Rs. 10 lakh, the said property has sold to Rs. 1.5 crore in F.Y. 2017-18. What will be the amount of capital gain

  If Mr. Ram has purchased capital asset for Rs.40 lakh in July 1990 and sold it to Rs. 3 crore in F.Y. 2017-18. The FMV of the said property as on 01.04.2001 was Rs. 1 crore. What will be the amount of capital gain?

  If Mr. Ram has purchased capital asset for Rs.40 lakh in July 2001 and sold it to Rs. 1.5 crore in F.Y. 2017-18. What will be the amount of capital gain?

  If Mr. Ram has purchased capital asset in July 2001 for Rs. 30 lakh and sold in F.Y. 2017-18?
Answer: Cost of acquisition = 30, 00, 000 (Cost of Purchase) / 100 (CII as on the year of asset purchase) * 272 (CII as on the year of asset sold) = 81, 60,000. Refer Post : How to calculate capital gains tax after shifting base year from 1981 to 2001

  How to calculate capital gains tax after shifting base year from 1981 to 2001?

  What is the Cost Inflation Index- applicable from Financial Year 1981-82 To Financial Year 2016-17?
Answer: Refer Post : Cost Inflation Index

  What is the Cost inflation index for Long Term Capital Assets sold after 01.04.2017?
Answer: Refer Post : Cost Inflation Index

  What is the Cost Inflation Index?
Answer: Refer Post : Cost Inflation Index

  What are the key highlights of Union Budget 2019?

  What are the deprecation rates as per Income Tax Act?

  What is the rate of deprecation on Building as per Income Tax Act?

  What is the rate of deprecation on Furniture and Fittings as per Income Tax Act?

  What is the rate of deprecation on Machinery and Plant as per Income Tax Act?

  What is the rate of deprecation on Ships as per Income Tax Act?

  Whether donation made to the political parties in cash is allowed?

  Whether donor has allowed to take any deduction for doantion made to the political parties?

  Which type of ITR form has to filed to the political parties?
Answer: Form ITR -7 has to be used for filing return of Income electronically under digital signature. Refer Post : Income Tax Exemption for Political Parties

  What are the conditions which must be fulfilled to avail Income Tax exemption?

  Whether income of political parties are exempted under Income Tax?
Answer: Section 13A of Income-tax Act, deals with tax provisions relating to political parties. It confers tax-exemption to recognized political parties for income from house property, income by way of voluntary contributions, income from capital gains and income from other sources or says, only income under the head salaries and income from business or profession are chargeable to tax in the hands of political parties in India. Refer Post : Income Tax Exemption for Political Parties

  What is the defination of political party?
Answer: In India Political parties are governed by The Representation of the People Act, 1951 (RPA) i.e. BJP, Congress, AIDMK, AAP etc, all are registered with Election Commission under RPA as political party. Refer Post : Income Tax Exemption for Political Parties

  Whether changes in ITR Forms is applicable for the AY 2019-20?
Answer: Yes, the changes in ITR forms are applicable for filing ITR for the A.Y. 2019-20. Refer Post : Changes in new ITR Forms for the AY 2019-20

  What are the changes in new ITR Forms for the AY 2019-20?

  How to view E-filed Income Tax Forms?

  How to view E-filed Income Tax Returns?

  What are the Highlights of Interim Budget 2019?
Answer: Refer Post : Highlights Interim Budget 2019

  When the Firm, AOP & BOI is said to be "Non Resident"?
Answer: If the control and management of the affairs of these entities is wholly out of India during the relevant previous year then they are said to be non-resident. Refer Post : Residential Status of Firm or Association of Person or Company

  Whether residential status of partners effect the status of Partnership firm?
Answer: For determinin the residential status of a firm, it is immaterial to asceratain the residential status of partners. Refer Post : Residential Status of Firm or Association of Person or Company

  When a company is said to be a Resident in India?
Answer: A company is said to be a resident in India in any previous year, if—(i) it is an Indian company; or (ii) its place of effective management, in that year, is in India. Refer Post : Residential Status of Firm or Association of Person or Company

  What is Indian company?
Answer: An Indian company is always resident in India. Even if an Indian company is controlled from a place located outside India (or even if shareholders of an Indian company controlling more than 51 per cent voting power are non-resident and/or located outside India), the Indian company is resident in India. An Indian company can never be non-resident. Refer Post : Residential Status of Firm or Association of Person or Company

  What is Foreign company?
Answer: A foreign company (whose turnover/gross receipt in the previous year is more than Rs. 50 crore)- It will be resident in India if its place of effective management (POEM), during the relevant previous year, is in India. Refer Post : Residential Status of Firm or Association of Person or Company

  A Foreign Company whose turnover/gross receipt in the previous year is Rs. 50 crore or less is foreign company or not?
Answer: Provisions of section 6(3)(ii) shall not apply to a foreign company having turnover or gross receipts of Rs. 50 crore or less in a financial year – Circular No. 8/2017, dated February 23, 2017. A Foreign Company (whose turnover/gross receipt in the previous year is Rs. 50 crore or less) - is always non-resident in India. Refer Post : Residential Status of Firm or Association of Person or Company

  What is Deferred Tax Liability?
Answer: Deferred Tax Liability arises due to timing difference in the value of Assets as per Books of Accounts and as per Income Tax Act. Deferred Tax is purely an accounting Concept. AS 22 - "Accounting for Taxes on Income deals with Deferred Tax. Refer Post : Deferred Tax Liability and Deferred Tax Assets

  What is Deferred Tax Assets?
Answer: Deferred Tax Assets is similar to Deferred Tax Liability, which also arises due to timing difference in the value of Assets as per Books of Accounts and as per Income Tax Act. Refer Post : Deferred Tax Liability and Deferred Tax Assets

  What is temporary difference under Deferred Tax?
Answer: The differences between book profits and Profit as per Income tax, which is capable of reversal in subsequent period i.e. Deprecation etc. Refer Post : Deferred Tax Liability and Deferred Tax Assets

  What is permanent difference under Deferred Tax?
Answer: When the differences between book profits and Profit as per Income tax, which is not capable of reversal in subsequent period. Refer Post : Deferred Tax Liability and Deferred Tax Assets

  What are the journal enteries passed under Deferred Tax Liability?

  What are the journal enteries passed under Deferred Tax Assets?

  How to calculate the residential status of Firm, AOP & BOI?

  When the Firm, AOP & BOI is said to be "Resident in India"?
Answer: Firm, AOP or BOI etc. is said to be resident in India in any previous year in every case except where during that year the control and management of its affairs is situated wholly outside India. Refer Post : Residential Status of Firm or Association of Person or Company

  When an HUF said to be "Non Resident in India."?
Answer: A HUF is said to be non-resident in India if during the previous year, the control and management of its affairs is situated wholly outside India. Refer Post : 1Residential Status of an Individual or an HUF

  What type of incomes will be charged under Income tax in India."?

  What type of incomes will be charged as Foreign Income and not charged under Income tax in India."?

  What are the conditions,when an Individual or HUF is said to be "Resident in India"?
Answer: If an individual satisfies any one of the following conditions, if—(1) He is in India for a period or periods amounting in all to 182 days or more in the relevant previous year; or (2) He is in India for 60 days or more during the relevant previous year and has been in India for 365 days or more during 4 previous years immediately preceding the relevant previous year. Refer Post : Residential Status of an Individual or an HUF

  What are the types of residenital status of an Individual or HUF"?

  Mr. Ram stayed in India from 01st May 2017 to 15th August 2017, 1st December 2017 to 18th February 2018. What is the status of his for the financial year 2017-2018?"?
Answer: Mr. Ram stayed in India during the previous year 2017-18 for 187 days (Full fill the condition of 182 days or more during the relevant previous year). Refer Post : Residential Status of an Individual or an HUF

  Whether the day an individual enters India and the day he leaves India should both be treated as stay in India or not"?
Answer: Incomputing the period of 182 days, the day the individual enters India and the day he leaves India should both be treated as stay in India. Refer Post : Residential Status of an Individual or an HUF

  Whether computing the period of stay in India, it is necessary that the stay should be for a continuous period"?
Answer: In computing the period of stay in India, it is not necessary that the stay should be for a continuous period. Refer Post : Residential Status of an Individual or an HUF

  When an Individual or HUF said to be "Resident but not Ordinarily Resident in India."?
Answer: if he satisfies both the following conditions i.e. - He has been a resident of India in at least 2 out of 10 years immediately previous years and He has stayed in India for at least 730 days in 7 immediately preceding years. Refer Post : Residential Status of an Individual or an HUF

  When an Individual said to be "Non Resident in India."?
Answer: If none of the conditions is satisfied i.e.(1) He is in India for a period or periods amounting in all to 182 days or more in the relevant previous year; or (2) He is in India for 60 days or more during the relevant previous year and has been in India for 365 days or more during 4 previous years immediately preceding the relevant previous year. Refer Post : Residential Status of an Individual or an HUF

  What is the latest notification dated 16.01.2019 under Angel Tax?
Answer: Angel Tax Relief vide latest DIPP notification dated 16th January 2019 has provided the exemption from under clause (viib) of sub-section (2) of section 56 for startups and Investors. Refer Post : Angel Tax Relief the latest DIPP Notification for Startups and Investors

  What was the earlier procedure prior to latest notification dated 16.01.2019 under Angel Tax?

  What form of application is required for exemption under Angel Tax?
Answer: Application for approval under this para shall be made in Form-2 to DIPP and shall be accompanied by the documents. Refer Post : Angel Tax Relief the latest DIPP Notification for Startups and Investors

  To whom the application form is submited for exemption under Angel Tax?
Answer: The application of the recognised startup shall be transmitted by DIPP to CBDT with the necessary documents. Refer Post : Angel Tax Relief the latest DIPP Notification for Startups and Investors

  What is the eligibility for exemption under Angel Tax?

  What is Angel Tax?
Answer: Angel tax is the tax levied on funds raised by Indian start-ups through issue of shares to Indian residents. The Income Tax department has held that when these investments are made at a premium to the fair market value (FMV), the amount raised in excess to the FMV is taxable. The excess amount is taxed as income from other sources and taxed under Section 56 (2) (viib) of the Income Tax Act, 1961. Refer Post : Angel Tax Relief the latest DIPP Notification for Startups and Investors

  What are the deduction under section 16 of Income Tax Act 1961?

  What is the amount of deduction under section 16(ii) in respect of Entertainment Allowance?

  What is the amount of deduction under section 16(iii) in respect of Tax on Employment?

  What is Form 3CB?
Answer: Audit report in Form no. 3CB is required to be furnished in case where books of account of assessee aren’t required to be audited under any other law (i.e. law other than income tax law). Refer Post : Tax Audit under section 44AB

  What is Form 3CD?
Answer: Form No. 3CD is the format in which the statement of particulars of tax audit is required to be furnished. This form has a total of 44 clauses where the auditor has to report on various matters contained therein. Refer Post : Tax Audit under section 44AB

  What are the Objectives of Tax Audit?
Answer: Refer Post : Tax Audit under section 44AB

  Who are required to get their accounts audited?
Answer: Refer Post : Tax Audit under section 44AB

  What is the due date for furnishing Tax Audit Report?
Answer: Due date for filing Tax Audit report under section 44AB is 30th September of Assessment Year of the relevant Previous Year. However, if the assessee is required to submit report pertaining to international or specified domestic transactions under section 92E, then due date of filing Tax Audit Report is 30th November of the relevant Assessment Year. Refer Post : Tax Audit under section 44AB

  What is the Tax audit under section 44AB of Income Tax Act?
Answer: Tax Audit under section 44AB is required to be conducted by a Chartered Accountant holding full time Certificate of Practice. Tax Audit ensures the correctness of Books of Account maintained by taxpayer and income is computed as per the provisions of the Income-tax Act. Tax audit report is furnished in Form no. 3CA/3CB & Form no. 3CD. Refer Post : Tax Audit under section 44AB

  What is Form 3CA?
Answer: Form no. 3CA is required to be furnished when the assessee is required to get its accounts audited under any law other than Income-tax law. Refer Post : Tax Audit under section 44AB

  What are the provision of Income Tax on Charitable Trust?

  When Tax benefits could be withdrawn under Charitable Trust?

  What is Income tax refund?
Answer: When an assesse pays Advance tax or TDS deducted from their income which is excess from the income tax liability due at the end of any financial year is called excess of income tax deposited/deducted over his income tax liability called income tax refund. The income tax department always charged interest for late payment or pay interest on income tax refund. Refer Post : How to check Income Tax refund status

  What are the step by step guide about how to check income tax refund?

  How many ways the Income tax refund can be received?

  What are the uses of PAN?

  What are the changes in PAN card w.e.f. 05.12.2018?

  What is PAN?
Answer: Permanent Account Number (PAN) is the tax identification number, which can be applied through online or offline at NSDL center with the prescribed fee. Refer Post : Uses of Permanent Account Number (PAN)

  Rates of professional tax in States/UTs where Professional Tax is applicable?

  Who is liable to pay Professional Tax?
Answer: In case of salaries/ wages, the professional tax is to be deducted by the employer from the salary/wages of employee every month, and to be deposited with the state government with in the time limit as prescribed. If an employer has employed more than 20 employees, he is required to make the payment within 15 days from the end of the month. However, if an employer has less than 20 employees, he is required to pay quarterly (i.e. by the 15th of next month from the end of the quarter). In case of others, the professional tax is liable to pay by the person himself individually. Refer Post : Professional Tax slab and their applicability

  Name of States/UTs where Professional Tax is not applicable?

  What is Professional Tax?
Answer: Professional tax levied under section 276(2) of Indian Constitution. The professionals earning an income from salary or other practices such as a lawyer, teacher, doctor, chartered accountant, etc. are required to pay professional tax. Refer Post : Professional Tax slab and their applicability

  When registration is required under Professional Tax?
Answer: These states/union territories where professional tax payment is applicable the employer should apply for registration within 30 days of employing worker/staff in a business or in case of professionals (non-employed), 30 days from start of the practice. Refer Post : Professional Tax slab and their applicability

  What is Sodexo Meal Coupon?
Answer: There is different kind of sodexo coupons available, but mainly Sodexo Meal Pass coupons are given by employer to its employees on monthly, quarterly basis, if the value of the coupon exceeds Rs. 50 per meal then the excess value is taxable in hands of an employee. Refer Post : Sodexo Meal Coupon

  What is the tax exemption limit under Sodexo Meal Coupon?
Answer: Sodexo Meal Pass coupons are given by employer to its employees on monthly, quarterly basis, if the value of the coupon exceeds Rs. 50 per meal then the excess value is taxable in hands of an employee. Refer Post : Sodexo Meal Coupon

  What are the advantages of Sodexo Meal Coupon?
Answer: Refer Post : Sodexo Meal Coupon

  What is the rate of Income tax on partnership firms?

  What is the rate of Income tax on LLPs?

  What form of ITR will be used for partnership firms & LLPs?

  Defination of Super Senior Citizens under Income Tax Act?
Answer: An individual resident in India who is of the age of 80 years or more at any time during the previous year. Refer Post : Income Tax Benefits for Senior Citizens

  What are the Income tax benefits for senior citizens available under the financial year 2017-18?

  Defination of Senior Citizens under Income Tax Act?
Answer: An individual resident in India who is the age of 60 years or more at any time during the previous year. Refer Post : Income Tax Benefits for Senior Citizens

  It is necessary for me to file income tax return, whether my incomes are below the taxable limit?

  What are the benefits to file income tax return, whether my incomes are below the taxable limit?

  What are the benefits for filing an ITR even my income is below taxable limit?

  Whether it is compulsory for all employees to submit form 12BB?

  Whether form 12BB is submitted to Income tax department along with income tax return?
Answer: No, It is not submitted to the Income tax department. Refer Post : Form 12BB: for salaried persons to claim deductions under Income Tax.

  What are the effects, if the form 12BB is not submitted with in time prescribed by his employer?
Answer: For non submission or late submission, TDS will be deducted at higher amount. Excess amount of TDS can be be refunded after filing of income tax return. Refer Post : Form 12BB: for salaried persons to claim deductions under Income Tax.

  Whether it is compulsory for submission of original proof with form 12BB?
Answer: Yes, the deductions or exemptions can be claimed after submission of original proof with form 12BB. Refer Post : Form 12BB: for salaried persons to claim deductions under Income Tax.

  How to file income tax return of the deceased person?

  Who is liable to file income tax return of the deceased person?
Answer: Legal Heirs of the deceased person is responsible for filing income tax return or pay taxes. Refer Post : How to file Income tax return of the deceased person.

  What documents required to file income tax return of the deceased person?

  What is form 12BB?

  How to revised income tax return online?

  What is inherited property?
Answer: Inherited property is that property which is passes titles, debts, rights, and obligations to another person upon the death of an individual or by way of will. Or say property received by son from his father under a will or by inheritance is called inherited property. Refer Post : Tax on Inherited Property.

  What is taxability on sale of inherited property?
Answer: Refer Post : Tax on Inherited Property.

  What is taxability on income arises from inherited property?
Answer: Refer Post : Tax on Inherited Property.

  How to calculate Short term capital gain?

  How to calculate Long term capital gain?

  What is the tax exemptions on capital gain?

  What is the tax rate for short term capital gain or long term capital gain?

  Which form of ITR is applicable to NRI?
Answer: ITR form 2. Refer Post :Taxability of Income for NRI’s.

  Whether an NRI is compulsory to file ITR?
Answer: Yes. Refer Post :Taxability of Income for NRI’s.

  Whether deduction under section 80C, can be claimed by NRI?
Answer: Yes they can claim deduction u/s 80c for investment in certain funds. Refer Post :Taxability of Income for NRI’s.

  Whether interest received by NRI from NRE or FCNR account is taxable or not?
Answer: No, it is exempted from Income tax. Refer Post :Taxability of Income for NRI’s.

  How to e-file income tax return?
Answer: Refer Post :How to E- file Income Tax Return.

  How to download form 26AS online under Income tax act?
Answer: Refer Post :How to download Form 26AS Online.

  Who will pay tax on winning amount?
Answer: TDS amount will be deducted at the time of distribution of prize, if it is the kind of cash, it will be deducted from the amount of prize/gift, or if gift is the any kind, the tds will be paid by winner or prize sponsor at the time of distribution of gift. Refer Post : Income Tax on winning from Lottery, Crossword Puzzle, etc.

  If, Mr. X win cash Prize of Rs. 5,00,000 from lottery tickets on 27.06.2018. What will be the TDS amount?
Answer: TDS of Rs. 1,50,000 (i.e. 30% of Rs. 5,00,000) + Ed. Cess of Rs. 6,000 (i.e. 4% of Rs. 1,50,000) total of Rs. 1,56,000 will be deducted from prize amount and balance amount will be paid to the winner. Refer Post : Income Tax on winning from Lottery, Crossword Puzzle, etc.

  If, Mr. X wins a Car, on 27.06.2018. The Market value of the Car is 7,00,000. What will be the TDS amount?
Answer: TDS of RS.2,10,000 (i.e. 30% of Rs.7,00,000) + Ed. Cess of Rs.8,400 (i.e. 4% of Rs. 2,10,000) total of Rs. 2,18,400 will be paid either by Mr. X or sponsor of Gift. Refer Post : Income Tax on winning from Lottery, Crossword Puzzle, etc.

  What says rule 6DD exceptions, expenses disallowed made in cash under section 40A(3)?
Answer: Refer Post :Exceptions under Rule 6DD./a>

  What is the tax rate for winning from lotteries?

  What is the amount of income at which TDS will be charged from winning from race horses?
Answer: TDS will be deducted if the amount of winning exceeds Rs. 10,0000/- the tds will be charged @ 30% of winning amount or 4% cess will be charged on Income Tax amount. Refer Post : Income Tax on winning from Lottery, Crossword Puzzle, etc.

  Any expenses allowed from the income of winning from race horses?
Answer: No, any expenses are allowed from the income of winning from race horses. Refer Post :Income Tax on winning from Lottery, Crossword Puzzle etc

  How to calculate the amount of TDS if prize is received in kind of item, not in cash?
Answer: If any prize is the nature of any kind say, television, car, etc., the tds will be charged on market value of the said item. Refer Post : Income Tax on winning from Lottery, Crossword Puzzle, etc.

  I am salaried person, how to compute my tax liablity?
Answer: Calculation of Tax liability, Refer Post : How to calculate Tax to be deducted (TDS) from Salary.

  I am an industrialist, how to calculate TDS amount on salaries of my employees?
Answer: How to compute TDS on monthly basis with an example. Refer Post : How to calculate Tax to be deducted (TDS) from Salary.

  What is the due date in case of business, who has compulsory for an Audit their books of accounts for the F.Y. 2017-18?
Answer: 30th September 2018 is the due date in case of an business, whose required under law to conduct Audit their books of accounts. Refer Post : Due date of filling Income Tax Returns under Income Tax Act.

  What is the due date in case of business, who is required to furnish report under section 92E for the F.Y. 2017-18?
Answer: 30th November 2018 is the due date in case of an business, who is required to furnish report under section 92E for the financial year 2017-18. Refer Post : Due date of filling Income Tax Returns under Income Tax Act.

  Mr. X has taxable income of Rs. 4,20,000 for the year 2017-18. What is the due date for filing his Income Tax Return?
Answer: Mr. X is an Individual Assessee, so the due date will be 31st August 2018 to avoid any tax or penalty. Refer Post : Due date of filling Income Tax Returns under Income Tax Act.

  What is the due date under Income Tax Act?
Answer: Due date means the last date to which the Income Tax Return should be filed without levy of penalty & Interest. Every assessee whether Individual/Hindu Undivided Family (HUF)/Body of Individuals (BOI)/Association of Person (AOP)/Firms/Companies etc. has to file their return within the time limit as prescribed. Refer Post : Due date of filling Income Tax Returns under Income Tax Act.

  What is Rules under Section 94(7)?
Answer: Applicability of provisions relating to Dividend Stripping-
  • Buying or acquiring any securities or units within a period of three months prior to the record date.
  • Selling or transferring such securities within a period of three months after such date, or such units within a period of nine months after such date;
  • The dividend or income on such securities or unit received or receivable by such person during the intervening period is exempt from tax.
Refer Post : Know about Dividend Stripping and tax liability.

  What is Taxability u/s 94 (7)?
Answer: the capital loss arises due to sale of securities or units will not be allowed for set off to the extent of dividend earned. Or If the capital gain arises, it will be taxable under “Income from Other Sources”. Refer Post : Know about Dividend Stripping and tax liability.

  Mr. X buying 2000 shares of M/s ABC Ltd. on 25.01.2018 @ Rs. 200/-. The company declares dividend @ 50/- per share on 31.03.2018. On 15th May, 2018, the share price of the company reduced to Rs. 150/- per share. Mr. X sells all his shares on 18the May 2018 @ 145/- per share. What will be amount of capital loss allowed u/s 94 (7)?
Answer: Mr. X earns dividend of Rs. 1,00,000 (i.e. 2000 shares @ 50/- per share) and earns capital loss of Rs. 1,10,000 [i.e. 2000 shares @ 55/- (200–145= 55)].
After applicability of this section 94 (7), Mr. X will be allowed to set off loss of Rs. 10,000 (i.e. Capital loss of Rs. 1,10,000 – Dividend Income Rs. 1,00,000), because securities purchased within a period of 3 months and also sold within 3 months of record date (i.e. 31.03.2018). Refer Post : Know about Dividend Stripping and tax liability.

  Mr. X buying 2000 shares of M/s ABC Ltd. on 25.11.2017 @ Rs. 200/-. The company declares dividend @ 50/- per share on 31.03.2018. On 15th May, 2018, the share price of the company reduced to Rs. 150/- per share. Mr. X sells all his shares on 18the May 2018 @ 145/- per share. What will be amount of capital loss allowed u/s 94 (7)?
Answer: Mr. X earns dividend of Rs. 1,00,000 (i.e. 2000 shares @ 50/- per share) and earns capital loss of Rs. 1,10,000 [i.e. 2000 shares @ 55/- (200–145= 55)].
After applicability of this section 94 (7), Mr. X will be allowed to set off loss of Rs. 10,000 (i.e. Capital loss of Rs. 1,10,000 – Dividend Income Rs. 1,00,000), because securities purchased before a period of 3 months but sold within 3 months of record date (i.e. 31.03.2018). Refer Post : Know about Dividend Stripping and tax liability.

  Mr. X buying 2000 shares of M/s ABC Ltd. on 25.11.2017 @ Rs. 200/-. The company declares dividend @ 50/- per share on 31.03.2018. On 15th July, 2018, the share price of the company reduced to Rs. 150/- per share. Mr. X sells all his shares on 18the July 2018 @ 145/- per share. What will be amount of capital loss allowed u/s 94 (7)?
Answer: Mr. X earns dividend of Rs. 1,00,000 (i.e. 2000 shares @ 50/- per share) and earns capital loss of Rs. 1,10,000 [i.e. 2000 shares @ 55/- (200–145= 55)].
After applicability of this section 94 (7), Mr. X will be allowed to set off loss of Rs. 50,000, because securities purchased before 3 months and sold after 3 months of record date (i.e. 31.03.2018). Refer Post : Know about Dividend Stripping and tax liability.

  What is the due date in case of an Individual assessee for the F.Y. 2017-18?
Answer: 31st August 2018 is the due date in case of an Individual assessee for the financial year 2017-18. Refer Post : Due date of filling Income Tax Returns under Income Tax Act.

  M/s XYZ company declare dividend of Rs. 1,00,000 during the year. What will the dividend distribution tax for the company?
Answer: First Gross the value of Dividend = 1,00,000 x 0.85% comes to Rs. = 1,17,647/-

Tax amount comes to Rs. 1,17,647 – 1,00,000 = 17,647

Surcharge @ 12% of Rs. 17,647 =2,118

Ed. Cess @ 3% of (17,647+2,118) = 593

Total Dividend distribution tax paid by company = 17647+2118+593 = 20,358/-

Or (Says 20.36% of Rs. 1,00,000/-). Refer Post : Dividend Distribution Tax u/s 115-O, paid by the Domestic Company.

  NPS trust invest in shares of M/s XYZ Pvt. Ltd. and M/s XYZ Pvt. Ltd. declares a dividend of Rs. 60 crores out of which Rs. 4 crores is payable to NPS trust. What will be the amount for payment of dividend distribution tax ?
Answer: M/s XYZ Pvt. Ltd. will pay dividend distribution tax on Rs. 56 crores (i.e. Rs. 60 crore – Rs. 4 crore paid to NPS trust). Refer Post : Dividend Distribution Tax u/s 115-O, paid by the Domestic Company.

  What is Dividend Stripping?
Answer: Dividend stripping was a strategy to reduce the tax burden, by which an investor gets dividend which is tax free, by investing in shares/ mutual fund units, just before the declaration of dividend and then selling it off right after the receipt of dividend at a lower price, thereby incurring a short-term capital loss. This short-term capital loss is compensated with the tax free dividend. Further the investor can set off such loss against capital gains whether short-term or long-term. The balance amount of loss will be set off in next year under the same head of income. Refer Post : Know about Dividend Stripping and tax liability.

  Mr. X buying 2000 shares of M/s ABC Ltd. on 25.01.2018 @ Rs. 200/-. The company declares dividend @ 50/- per share on 31.03.2018. On 15th May, 2018, the share price of the company reduced to Rs. 150/- per share. Mr. X sells all his shares @ 145/- per share. What will be amount of dividend and capital loss?
Answer: Mr. X earns dividend of Rs. 1,00,000 (i.e. 2000 shares @ 50/- per share) and earns capital loss of Rs. 1,10,000 [i.e. 2000 shares @ 55/- (200–145= 55)].
Mr. X earns Rs. 1,00,000 as dividend which is exempt from Tax and also earns short term capital loss of Rs. 1,10,000 which will be set off against capital gains income and also save tax on that income. This is called dividend stripping. The government suffers a loss of income tax on dividend income and also on short term capital loss which will be set off against capital gains.
Refer Post : Know about Dividend Stripping and tax liability.

  Why Section 94(7) introduced?
Answer: The New Section 94(7) was introduced to evoke this type of dividend stripping which incurs a great loss to the government. Under this scheme capital loss will not be allowed for set off to the extent of dividend earned or under capital gain it will be taxable under “Income from Other Sources”. Dividend is exempted under section 10 (34). Refer Post : Know about Dividend Stripping and tax liability.

  How much days the company has to deposit Dividend Distribution Tax?
Answer: The domestic company is liable to pay distribution tax within 14 days from the date of either on-
  • Declaration of Dividend or
  • Distribution of Dividend or
  • Payment of dividend,
Whichever is earlier. Refer Post : Dividend Distribution Tax u/s 115-O, paid by the Domestic Company.

  What is tax rate at which the domestic company charged Dividend Distribution Tax?
Answer: The domestic companies has to pay Dividend Distribution Tax on amount of dividend declared to shareholders as per section 115-O. the dividend is taxed in the hands of the company @15% + Surcharge 12% +Ed. Cess 3% (called Dividend Distribution Tax) it comes to charge @ 20.36% of dividend amount. Refer Post : Dividend Distribution Tax u/s 115-O, paid by the Domestic Company.

  What is Dividend Distribution Tax?
Answer: The Dividend received on shares of a domestic company is exempted from tax up to Rs. 10,00,000 provided the dividend distribution tax is paid by the Indian companies. It is not payable in case of foreign companies.The domestic companies has to pay Dividend Distribution Tax on amount of dividend declared to shareholders as per section 115-O. Refer Post : Dividend Distribution Tax u/s 115-O, paid by the Domestic Company.

  What is Section 115BBD says?
Answer: Under Section 115BBD, dividend received by domestic company will be charged at a concessional rate of tax @ 15% + Surcharge + Ed. Cess etc., provided the domestic company holds 26% of the normal equity capital of the said foreign company. There is no deduction in respect of expenses will be allowed, the tax will be charged on gross dividend income. Refer Post : Section 10 (34): Income Tax Exemption on Dividend Income.

  Whether Dividend received from foreign company is exempt or Not?
Answer: Dividend received from Foreign Company is taxable. It comes under the head of “Income from Other Sources” and taxable @ 20% + Ed. Cess etc. the amount paid as commission or remuneration to a banker or any other person for the purpose of realizing such dividend on behalf of the assessee shall be allowed as a deduction. Then this commission paid will be allowed as a deduction (u/s 57) from your dividend income taxable under the head income from other sources. Refer Post : Section 10 (34): Income Tax Exemption on Dividend Income.

  What is limit of amount of Dividend received from Indian company is exempt?
Answer: However, as per section 115BBDA of the Income Tax Act, w.e.f. 01.04.2017 when the shareholders received dividend in aggregate of more than Rs. 10,00,000 during the year from domestic companies, then such shareholder have to pay Income Tax. In case of Resident Individual/HUF/Firm, the dividend shall be chargeable to tax @ 10%, if the aggregate amount of dividend received from domestic company during the year exceeds Rs. 10,00,000 (Section 115BBDA). There is no deduction in respect of expenses will be allowed, the tax will be charged on gross dividend income. Refer Post : Section 10 (34): Income Tax Exemption on Dividend Income.

  Mr. X received a dividend amounting to Rs. 18,00,000 during the year from Indian companies. What will be tax liability?
Answer: Liability is as under-

Mr. X Received dividend of Rs. 18,00,000

Exempted up to Rs. 10,00,000

Taxable Amount Rs. 8,00,000

Tax Amount Rs. 80,000 (i.e. 10% of Rs. 8,00,000). Refer Post : Section 10 (34): Income Tax Exemption on Dividend Income.

  Whether Dividend received from Indian company is exempt or Not?
Answer: Dividend received from an Indian company under section 10 (34) is exempt from tax provided dividend distribution tax has already charged under section 115-O. Dividend received above Rs. 10,00,000 will be taxed. Refer Post : Section 10 (34): Income Tax Exemption on Dividend Income.

  I have salary income along with business income, what type of ITR form, I have to filed?
Answer: You have to file ITR-3 because you have business income. Refer Post : Which Income Tax Form Should I File.

  I have agricultural income of Rs. 5,00,000 during the year along with salary income for the year 2017-18. What type of ITR form, I have filed?
Answer: You have to file ITR-2 because agricultural income exceeding Rs. 5,000 will comes under form ITR-2 along with salary income. Refer Post : Which Income Tax Form Should I File.

  I have business income of Rs. 5,00,000 and my turnover exceeding to Rs. 2 crore, can i opt Presumptive Taxation scheme or what type of ITR form, I have filed?
Answer: You have to file ITR-3 because your turnover exceeding to Rs. 2 crore during the year.
Refer Post : Which Income Tax Form Should I File.

  Is any penalty will be charged in case of Belated return under section 139 (4)?
Answer: Yes, penalty will be charged as under-
  • If the taxable income is below Rs. 5,00,000 Penalty will be Rs. 1,000
  • If the taxable income is above Rs. 5,00,000:-
  • -filed before 31st December Penalty will be Rs. 5,000.
  • -filled after 31st December Penalty will be Rs. 10,000.
Refer Post : Filing of Belated Return u/s 139 (4) of Income Tax Act.

  Mr. X has not filed his income tax return for the financial year 2017-18, before the due date i.e. on 31.07.2018, he has filed his return on 12.11.2018. His taxable income was Rs. 4,20,000 for the year 2017-18. His tax liability comes to Rs. 8,840. Whether he has any liability for interest or penalty?
Answer: Mr. X has not filled his return before the due date i.e. 31.07.2018, he has filed his return later on 12.11.2018. His liability is as under-
  • Tax Amount = 8,840
  • Interest u/s 234A = 442 i.e.(Rs. 8,840 x 1% x 5 months)
  • Penalty for Belated Return = 1,000 (Taxable income below Rs. 5,00,000)
Refer Post : Filing of Belated Return u/s 139 (4) of Income Tax Act.

  Losses of previous year can be carry forward in case of Belated return under section 139 (4)?
Answer: If you have filed a belated return, you cannot carry forward losses (except loss from house property). Refer Post : Filing of Belated Return u/s 139 (4) of Income Tax Act.

  What is the Defective return under section 139 (9)?
Answer: When you have file your income tax return, which have arises any discrepancy or mistake or any information is missing, that return will be called as defective return. The department also compares and cross verified the details provided by you or the information is available with him, if they find any doubt the department issues a Defective Return notice u/s 139(9). Refer Post : Defective Return under section 139 (9) of the Income Tax Act.

  What is the time period for rectify Defective return under section 139 (9)?
Answer: You have to revise your return, mentioned with defects pointed out by the Income Tax Department, within 15 days from the receipt of intimation order under section 139(9). You can seek an extension by writing to your local Assessing Officer if you fail to revise your income tax return within 15 days. Refer Post : Defective Return under section 139 (9) of the Income Tax Act.

  Consequences of not responding to notice under section 139 (9)?
Answer: If an assessee fail to respond within the time mentioned in notice issued u/s 139(9), then the assessing officer may treat your return as invalid. Or says, it will be treated as you have not filed your income tax return for the year. Refer Post : Defective Return under section 139 (9) of the Income Tax Act.

  Who can file ITR -1?
Answer: Resident Indian individuals having total income not exceeding Rs. 50 lakhs during the year –
  • Income from Salary/ Pension; or
  • Income from One House Property (excluding brought forward and carry forward losses); or
  • Income from Other Sources (Other than Winning from Lottery and Race Horses, Dividend received from Indian company exceeding Rs. 10 lakhs, Unexplained income taxable u/s 115BBE). Refer Post : Which Income Tax Form Should I File.

  Can an NRI file ITR -1?
Answer: No, ITR-1 is only for Resident Indian individuals. Refer Post : Which Income Tax Form Should I File.

  I have opted Presumptive Taxation scheme, what type of ITR form, I have filed?
Answer: You have to file ITR-4 for presumptive taxation scheme. Refer Post : Which Income Tax Form Should I File.

  Mr. X has filed his income tax return for the financial year 2017-18 before the due date i.e. on 25.06.2018, but after filling the return he has found that some mistake has done. How can he rectify his return?
Answer: Mr. X can revise their return on or before 31.03.2019 i.e. before the completion of relevant assessment year i.e. 2018-19 or before the completion of assessment, whichever is earlier. Refer Post : Filing Revised Return u/s 139 (5) of Income Tax Act.

  Assessment order passed under section 143 (1) shall be treated as order of completion of assessment?
Answer: Assessment order passed under section 143 (1) shall not be treated as completion, for revision of return, i.e. return can be revised after order passed under section 143(1). Assessment order under section 143(3) or section 144 is considered as completion of assessment. Refer Post : Filing Revised Return u/s 139 (5) of Income Tax Act.

  Can a revised return be further revised during the year?
Answer: Yes, The revised return can be further revised any time before the completion of relevant Assessment year or before the completion of assessment, whichever is earlier. Refer Post : Filing Revised Return u/s 139 (5) of Income Tax Act.

  What is the Belated return under section 139 (4)?
Answer: If a person fails to file the return of income before the due date as prescribed under section 139 (1), or fails to file return within the time prescribed under notice 142(1) issued by assessing authority. He can still file his return even after the due date is called belated return u/s 139 (4). Refer Post : Filing of Belated Return u/s 139 (4) of Income Tax Act.

  Can a donation given in cash of Rs. 15,000 will be eligible for deduction under section 80GGA?
Answer: The donation can be in the form of cash, cheque or draft. However, cash donations made in excess of Rs 10,000 are not eligible for deduction. Refer Post : Donation under section 80GGA for Scientific Research and Rural Development.

  What is the Revised return under section 139 (5)?
Answer: If you have found any error or omission in your filed return, you can rectify your return, when you rectify your return or filed it i.e. called revised return u/s 139 (5). Refer Post : Filing Revised Return u/s 139 (5) of Income Tax Act.

  What is the time period for revised return under section 139 (5)?
Answer: Revised return can be filled before the completion of relevant assessment year or before the completion of assessment, whichever is earlier. Refer Post : Filing Revised Return u/s 139 (5) of Income Tax Act.

  Expenses of capital nature also comes under the payment limit under section 40 (3)(a)?
Answer: No, expenses of capital nature is not covered under section 40(3) (a). Refer Post : Expenses disallowed under section 40A (3) made in cash & their Exceptions.

  Mr. A has made two cash purchases from Mr. X of Rs. 8,000 or 5,000 in a single day. It will attract the provision of section 40A (3) (a)?
Answer: Yes, the above transactions are covered under section 40A (3) (a) and such expenditure will be disallowed. Refer Post : Expenses disallowed under section 40A (3) made in cash & their Exceptions.

  Mr. A has made purchase from Mr. X of Rs. 22,000 during the year 2017-18 or payment has made of Rs. 9,000 or 7,000 & or 6,000 in a single day i.e. on 28.05.2018. It will attract the provision of section 40A (3) (b)?
Answer: Yes, the above transactions are covered under section 40A (3) (b) and such expenditure will be disallowed because expenditure is incurred in particular year 2017-18 and payment is made on 28.05.2018, exceeding of Rs. 10,000 during a day. Refer Post : Expenses disallowed under section 40A (3) made in cash & their Exceptions.

  Can I claim refund for the F.Y. 2014-15, while I missed to file my ITR?
Answer: The Central Board of Direct Taxes has given the powers to Income tax authorities to accept the Income tax return for a financial year even after the expiry of due date.Authorities have been empowered to direct the Jurisdictional tax officer to make such enqiury or scrutiny to ascertain the correctness of claim. Application can be accepted or rejected on the following ground-
  • The claim is correct and genuine
  • There is a case of genuine hardship or merits.
Refer Post : Claim Refund when missed to file ITR of earlier years under section 119(2)(b).

  How many years back we can make application for claim of refund, even we have missed to file ITR?
Answer: Application under section 119(2) has to be filled within 6 years from the end of the relevant assessment year for which income tax return has to be filled. Refer Post : Claim Refund when missed to file ITR of earlier years under section 119(2)(b).

  Who can claim deduction under section 80GGA?
Answer: It is available for all Individuals who do not have an Income from business or profession can claim deduction under section 80GGA for donation given to said institutes. Refer Post : Donation under section 80GGA for Scientific Research and Rural Development.

  What is the maximum ceiling on donation under section 80GGA?
Answer: There is no cap or upper limit for the deduction. The deduction is allowed 100% i.e. whole amount donated qualifies for deduction. Refer Post : Donation under section 80GGA for Scientific Research and Rural Development.

  What is the cash limit of expenses per day under section 40 (3)(a)?
Answer: Section 40A (3) (a) of the income tax act provides that any expenditure incurred in respect of which payment is made in a sum of exceeding Rs. 10,000 during a day otherwise than by way of account payee cheque drawn on a bank or bank draft or through use of electronic clearing system, shall not be allowed as deduction.Refer Post : Expenses disallowed under section 40A (3) made in cash & their Exceptions.

  What is the cash limit for payment to transporters carrying of business of carriage of goods, plying, hiring etc. per day under section 40 (3)(a)?
Answer: Any payment made for plying, hiring or leasing of goods carriage to the extent of Rs. 35,000/- in a day. Refer Post : Expenses disallowed under section 40A (3) made in cash & their Exceptions.

  Whether F&O trading is speculative business or non speculative business?
Answer: F&O trading is non speculative business i.e. as normal business. Refer Post : Computation of Turnover & Income Tax Return filling under Future & Option (F&O) Trading.

  Can a losses under F&O trading be carry forward to next years or not?
Answer: As the trading of F&O are non speculative transactions, the loss arising out of these transaction can be set off as normal business against all other heads of income except “Income from Salary” in the same financial year. Or If the above loss is not set off in the same financial year from the other heads of income, it shall be carried forward to next year and set off from the income of same head only. The losses should be shown in the ITR or ITR must be filled before the due date. Refer Post : Computation of Turnover & Income Tax Return filling under Future & Option (F&O) Trading.

  What are the consequences of section 269T under Income Tax Act?
Answer: Section 271E of Income Tax Act, provides that if a loan or deposit is accepted in contravention of the provisions of section 269T then a penalty equivalent to the amount of such loan or deposit may be levied by the Joint commissioner. Penalty on contravention of Section 269T-100% of the loan or deposit amount. Refer Post : Provisions of Section 269SS & 269T.

  If a person take loan of Rs. 20,000 by cash and pay Rs. 23,000 (Principal 20,000 + Interest 3,000), what will be the penalty under section 271D or 271E?
Answer: Penalty under section 271D will be Rs. 20,000 and under section 271E will be Rs. 23,000. Refer Post : Provisions of Section 269SS & 269T.

  What is Future Contract?
Answer: A futures contract is an agreement between two parties to buy or sell an asset at a certain time in the future at a certain price. Here, the buyer is obliged to buy the asset on the specified future date. Refer Post : Computation of Turnover & Income Tax Return filling under Future & Option (F&O) Trading.

  What is Option Contract?
Answer: An options contract gives the buyer the right to buy the asset at a fixed price. However, there is no obligation on the part of the buyer to go through with the purchase. Nevertheless, should the buyer choose to buy the asset, the seller is obliged to sell it. Refer Post : Computation of Turnover & Income Tax Return filling under Future & Option (F&O) Trading.

  How to calculate Turnover in F&O transaction?
Answer: The total of all contracts sold would not be considered as the total turnover.
  • The total of positive and negative or favorable and unfavorable differences shall be taken as turnover.
  • Premium received on sale of options is to be included in turnover.
  • In respect of any reverse trades entered, the difference thereon shall also form part of the turnover.
Refer Post : Computation of Turnover & Income Tax Return filling under Future & Option (F&O) Trading

  Mr. Samir purchase 2 lots of future, 1st for Rs. 8,00,000 and sold the same for Rs. 8,40,000 or 2nd for Rs. 9,70,000 and sold for Rs. 9,50,000. What is total turnover?
Answer: Total turnover would be considered as Rs. 60,000 (Profit 40,000+ Loss 20,000). Refer Post : Computation of Turnover & Income Tax Return filling under Future & Option (F&O) Trading.

  Mr. Shyam purchase 2 lots, 1st -100 units of futures @ Rs. 200/- and sold at Rs. 210/- or 2nd – 200 units of options @ Rs. 300/- and sold at Rs. 290/-. What is total turnover?
Answer: Total turnover would be considered as Rs. 61,000 [Profit 1,000+ Loss 2,000+Premium of option 58,000(200×290)]. Refer Post : Computation of Turnover & Income Tax Return filling under Future & Option (F&O) Trading.

  What is the provisions of section 269SS under Income Tax Act?
Answer: Section 269SS provides that any loan or deposit shall not be taken or accepted from any other person otherwise than by an account payee cheque or account payee bank draft if
(a) The amount of such loan or deposit or the aggregate amount of such loan and deposit, is Rs. 20,000 or more,
Or
(b) On the date of taking or accepting such loan or deposit, any loan or deposit taken or accepted earlier by such person from the depositor is remaining unpaid, is Rs. 20,000 or more,
Or
(c) The total amount arrived at, by adding the loan accepted during the year or outstanding balance is more than 20,000. Refer Post : Provisions of Section 269SS & 269T.

  What are the consequences of section 269SS under Income Tax Act?
Answer: Section 271D of Income Tax Act, provides that if a loan or deposit is accepted in contravention of the provisions of section 269SS then a penalty equivalent to the amount of such loan or deposit may be levied by the Joint commissioner. Penalty on contravention of Section 269SS-100% of the loan or deposit amount. Refer Post : Provisions of Section 269SS & 269T.

  If a person has taken a loan from X of Rs. 15,000 in 1st year through cheque, the amount is still outstanding and 2nd year he has also taken cash of Rs. 10,000, will attract section 269SS or will be levied penalty under section 271D?
Answer: Yes, It will attract section 269SS and imposed penalty under section 271D, there is no excuse that he has received Rs. 15,000 through cheque in previous year. Refer Post : Provisions of Section 269SS & 269T.

  If a person has taken a loan from Mr. Y of Rs. 15,000 in cash, once again he has received cash of Rs. 5,000 during the year, will attract section 269SS or will be levied penalty under section 271D?
Answer: Yes, It will attract section 269SS and imposed penalty under section 271D, because the amount of loan is 20,000. Refer Post : Provisions of Section 269SS & 269T.

  What is the provisions of section 269T under Income Tax Act?
Answer: Section 269T of Income Tax Act provides that any branch of a banking company or a cooperative society, firm or other person shall not repay any loan or deposit otherwise than by an account payee cheque or account payee bank draft drawn in the name of the person, who has made the loan or deposit, if(1) The amount of the loan or deposit together with interest is Rs 20000 or more
Or
(2) The aggregate amount of loans or deposits held by such person, either in his own name or jointly with other person on the date of such repayment together with interest, is Rs 20,000 or more. Refer Post : Provisions of Section 269SS & 269T.

  Income from house property held by local authority is taxable or not under “Income from House Property”?
Answer: No, Income from house property held by local authority is exempt from Income tax. Refer Post : Which Income from house property is exempted from Tax.

  Rental Income from sub-letting chargeable to tax under “Income from House Property”?
Answer: No, Income from subletting is not charged to tax under “Income from House Property” while it is taxable under the head “Income from Other Sources” because tenant is not the owner of the said property. Refer Post : How to compute Income from House Property.

  What ate the benefits under presumptive taxation scheme?

  Whether books of accounts to be maintained under presumptive taxation scheme?
Answer: There is no need to maintain proper books of accounts if you adopt presumptive taxation scheme. The provision of section 44AA relating to maintenance of books of accounts will not apply. You dont require to keep an accountant to maintain proper books of accounts. Refer Post : Benefits under Presumptive Taxation Scheme.

  What form of ITR will be used for filling Income Tax return under presumptive taxation scheme?
Answer: Income tax return should be given in form ITR-4 under presumptive taxation scheme. Refer Post : Benefits under Presumptive Taxation Scheme.

  What is the due date for payment of Advance Tax, if opted presumptive taxation scheme?
Answer: The due date for payment of advance tax will be 15th March of every financial year. Refer Post : Benefits under Presumptive Taxation Scheme.

  Income from vacant land is taxable under “Income from House Property”?
Answer: No, Income from vacant land is taxable under “Income from other sources”. Refer Post : Which Income from house property is exempted from Tax.

  What is statutory deduction under “Income from House Property”?
Answer: Statutory deduction is allowed @ 30% of Net Annual Value (Gross Annual Value- Municipal Taxes if paid) on account of Repair & Maintenance. This deduction is allowed to every person who has rental income from any property. Refer post: How to compute Income from House Property.

  Can I claim deduction for repayment of principal or interest under “Income from House Property”?
Answer: You can claim deduction of interest under section 24 (Subject to the conditions) of house property. There is no deduction allowed for repayment of principal under this head but you can claim deduction under section 80C up to the extent of Rs. 1,50,000 for principal repayment of housing loan. Refer post: How to compute Income from House Property.

  Can a joint owners claim deduction for repayment of principal or interest Individually?
Answer: Yes, each joint owners can claim deduction of interest under section 24 (subject to conditions) or can claim repayment of principal under section 80C individually. Refer Post : How to compute Income from House Property.

  Can a Long term/short term capital losses be carried forward or not?
Answer: Yes, long term/short term capital losses can be carried forward up to 8 years from the financial year in which the loss has been incurred. Long term capital losses can be set off only against the long-term capital gains but the short-term capital losses can be set off against both the short-term as well long-term capital gains. Refer post : Set off and Carry forward of losses.

  Can a non speculative business losses be set off from income of other heads?
Answer: Yes, The non speculative business losses can be set off against income of other heads except Income from salary, i.e. means it can be set off from income from house property, income from capital gain and Income from other sources. Refer post : Set off and Carry forward of losses.

  Can a speculative business losses be set off from non speculative business income?
Answer: No, Speculative business losses can be set off against the profits of any other speculative Business. It cannot be set off against any other Business or Professional Income. But losses of business or profession can be set off against the profits of speculation Business. Refer post : Set off and Carry forward of losses.

  Can a carried forward losses be set off against income of other head or not?
Answer: The carry forward losses can be set off only against the profit from that head of income. except the losses arising out of house property to the extent of Rs. 2,00,000 can be set off other head of income every year. Refer post: Set off and Carry forward of losses.

  Whether House Tax/Municipal Tax is allowed for deduction under “Income from House Property” on due basis or paid basis?
Answer: House Tax/ Municipal Tax is allowed for deduction under “Income from House Property” only on paid basis. Refer post: How to compute Income from House Property.

  What is the amount of deduction allowed for interest under section 24,”Income from House Property”?
Answer: 1) For self occupied property- The maximum deduction allowed under section 24 is subject to Rs. 2, 00,000. 2) For not self occupied property- There is no maximum limit has been prescribed under the law to claim deduction. Refer post: How to compute Income from House Property.

  Can a long term capital loss can be set off from income of other heads?
Answer: No, long term capital loss can not be set off against income of other heads, it can be set of against long term gains only. Refer post: Set off and Carry forward of losses.

  Can a losses of house property head can be set off from income of other heads?
Answer: Yes, House Property Losses can be set off against profits from other heads. It can be set off against salary income, Business income, Income from capital gain, and income from other sources. Refer post : Set off and Carry forward of losses.

  Can a short term capital loss can be set off from income of other heads?
Answer: No, Short term capital loss can not be set off against income of other heads, it can be set of against short term capital gain as well as long term gains only. Refer post: Set off and Carry forward of losses.

  On what basis the income will be computed for professionals falling under scheme specified under section 44ADA?
Answer: In case of a person adopting the provisions of section 44ADA, income will be computed on presumptive basis, i.e. @ 50% of the total gross receipts of the profession. Refer Post : Presumptive Taxation Scheme for Professionals.

  Is any time restriction under presumptive taxation schemes for professionals to opt this scheme under section 44ADA?
Answer: No, if a person opt this scheme, then he can opt in and out without any restriction of time period. Refer Post :Presumptive Taxation Scheme for Professionals

  Can any Non Resident opt scheme of presumptive taxation under section 44ADA?
Answer: No, the scheme cannot be adopted by a non-resident and by any person other than an individual, a HUF or a partnership firm (not Limited Liability Partnership Firm). Refer Post : Presumptive Taxation Scheme for Professionals.

  Who is eligible to opt scheme under section 44ADA?
Answer: Professionals whose Total Gross Receipts does not exceed more than Rs. 50 lakh in a financial year, can claim the benefit of this scheme.The presumptive taxation scheme of section 44ADA is designed to give relief to small taxpayers engaged in specified profession. Refer Post : Presumptive Taxation Scheme for Professionals.

  If I have opted presumptive taxation scheme under section 44AD in the financial year 2017-18. In financial year 2018-19 I have not opt this scheme. Can I further opt scheme of section 44AD in financial year 2019-20 or not?
Answer: If a person opts this scheme then he is also require to follow the same scheme for next 5 years. Or if he failed to do so, then the above scheme will not be available to him for next 5 years. Refer Post : Presumptive Taxation for Business Income Section 44AD.

  What is the due date for payment of advance tax under presumptive taxation scheme section 44AD?
Answer: The whole amount of advance tax is to be paid on or before 15th March of the previous year. If he fails to pay the advance tax by 15th March of previous year, he shall be liable to pay interest as per section 234C. Refer Post : Presumptive Taxation for Business Income Section 44AD.

  What form of ITR should be filled under presumptive taxation scheme under section 44AD, 44ADA & 44AE?
Answer: The assessee should file form ITR-4 of income tax, for presumptive taxation scheme under section 44AD, 44ADA & 44AE. Refer Post : Presumptive Taxation for Business Income Section 44AD.

  What is the rate of income should be taken if we opt scheme under section 44AD presumptive taxation?
Answer: If a person adopting the provision of section 44AD, income is computed on presumptive basis at the rate of 6% or 8% as the case may be, of the turnover or gross receipts of the eligible business for the year. Refer Post : Presumptive Taxation for Business Income Section 44AD.

  If I have not deposited any advance tax during the financial year 2017-18. what is the rate of interest will be charged under section 234B & 234C?

  I have owned 9 light goods vehicle throughout the financial year 2018-19, carrying on business of transporter. what income i should file If I opt the presumptive taxation scheme of section 44AE?
Answer: You have 9 light goods vehicle throughout the year 2018-19, you have to show your income of Rs. 7,500 per month, per truck. So, your taxable income is Rs. 7500 X 12 X 9 = 8,10,000. Refer Post : Tax scheme for Income of Transporters under section 44AE.

  If I have owned 6 heavy goods vehicle (Gross weight 13.000 MTs) throughout the financial year 2018-19, carrying on business of transporter. what income i should file If I opt the presumptive taxation scheme of section 44AE?
Answer: You have 6 heavy goods vehicle throughout the year 2018-19, you have to show your income of Rs. 1,000 per ton, per month, per truck. So, your taxable income is Rs. 1,000 X 13 X 12 X 6 = 9,36,000. Refer Post : Tax scheme for Income of Transporters under section 44AE.

  What is due date of Advance Tax for the financial year 2018-19, if i have tax liability of Rs. 40,000 for the year?

  I am salaried person and TDS is deducted every month, I have no other income. should I have to deposit advance tax or not?
Answer: No, if you are salaried person, there is no liability to deposit advance tax because TDS is already deducted from your salary. Refer Post : Advance Tax Payments: Due Dates and Interest on Late Payment.

  I have tax liability of Rs. 40,000 during the year, but i have not deposited any advance tax on due dates. Should i pay any interest for non payment of advance tax?
Answer: Yes, you will be charged interest under section 234B & 234C. You have tax liability but you have not deposited any advance tax. Refer Post : Advance Tax Payments: Due Dates and Interest on Late Payment.

  I have tax liability of Rs. 40,000 during the year, I have deposited advance tax on due dates, but 15th June was holiday i deposited it on 16th June. Should i pay any interest for late payment of advance tax?
Answer: No, If the last day for payment of any installment is a day on which the receiving bank is closed, the assessee can make the payment on the next immediately following working day, and in such cases, the mandatory interest leviable under sections 234B and 234C would not be charged. Refer Post : Advance Tax Payments: Due Dates and Interest on Late Payment.

  I am running a provision store. I have opted presumptive taxation scheme under section 44AD. My total turnover for the year comes to Rs. 1,00,000. Should I have to maintain books of accounts under section 44AA or audit under section 44AB is required or not?
Answer: If you have opted presumptive taxation scheme under section 44AD, you have not required to maintain your books of accounts under section 44AA or any audit under section 44AB. Refer Post : Presumptive Taxation for Business Income Section 44AD.

  If a person adopts the presumptive taxation scheme of section 44AE, then is he required to maintain books of account as per section 44AA?
Answer: No, if a person adopts taxation scheme under section 44AE, he is not required to maintain books of accounts under section 44AA. Refer Post : Tax scheme for Income of Transporters under section 44AE.

  What are the best ways to save Income tax other than deductions under section 80

  What is the maximum amount that I can receive as Gratuity
Answer: Yes there is ceiling of maximum amount of Rs. 20,00,000 that you can received Refer Post : How to calculate Gratuity, Exemption and their Tax liability.

  How to calculate Gratuity amount, if our organisation is covered under Gratuity Act 1972?
Answer: Last drawn salary * 15/26 * No. of completed years of service. Refer Post :" target="_blank"> How to calculate Gratuity, Exemption and their Tax liability.

  How to calculate Gratuity amount, if our organisation is not covered under Gratuity Act 1972?
Answer: Average salary x ½ x No. of years of service. Refer Post : How to calculate Gratuity, Exemption and their Tax liability.

  When I am eligible to receive Gratuity amount?
Answer: After completing 5 years of continuous service in one organisation. Refer Post : How to calculate Gratuity, Exemption and their Tax liability.

  Is 5 years 7 months considered as 6 years or 5 years under Gratuity Act?
Answer: Yes, it will be considered 6 years in which organisations Gratuity Act applies. Refer Post : How to calculate Gratuity, Exemption and their Tax liability.

  I have an agricultural income of Rs. 3,00,000 during the financial year 2017-18. Is it taxable?
Answer: If you have only Agricultural Income, It is totally tax free. Refer Post : Agricultural Income and Tax liability.

  I have non agricultural income of Rs. 2,00,000 and agricultural income of Rs. 2,50,000 during the financial year 2017-18. what is my tax amount?
Answer: No, your non agricultural income is below taxable limit, and agricultural income is tax free. so you have no taxability.: Refer Post : Agricultural Income and Tax liability.

  I am Indian Resident having salary income during the financial year 2017-18, Tell me how to calculate tax ?

  I have salary income of Rs. 3,50,000 during the financial year 2017-18, Can I avail exemption under section 87A?
Answer: Yes, you have salary income of Rs. 3,50,000, you can take rebate under section 87A of Rs. 2,500 or 100% of tax amount, which ever is less. Refer Post : Income Tax Slab for the Financial Year 2017-18.

  I reside in rental accommodation, but do not receive HRA in my salary. Can I avail exemption of HRA in my Income Tax Return?
Answer: No, you can not claim HRA even you are residing in rental accommodation. However you can claim deduction under section 80GG for rent paid. Refer Post : Eight ways to save Income Tax.

  I am self employed and living in a rent accommodation. Can I avail exemption of HRA in my Income Tax Return?
Answer: No, if you are self employed and living in rental accommodation you can’t claim HRA, but you can claim deduction under section 80GG for rent paid. Refer Post : Eight ways to save Income Tax.

  I have gifted money to my wife. is it taxable?
Answer: No, Money gifted to wife is tax free. However If she has invested this amount in saving plan and generated interest income then it is taxable in the hands of you. Refer Post : Is Money Gifted to Wife is Taxable.

  I have received gifts from my friends amounting to Rs. 40,000. Is it taxable?
Answer: No, Money received from other than relatives should not exceed 50,000 during the financial year. So, it is tax free. Refer Post : What are Gift Tax Limits and Exemptions.

  I have received gifts from my friends on occasion of my marriage amounting Rs. 55,000. Is it taxable?
Answer: No, Money received on the occasion of marriage is totally tax free. there is no limit. Refer Post : What are Gift Tax Limits and Exemptions.

  Can HRA be claimed along with interest on Home loan?
Answer: Yes, Any salaried person can claim HRA exemption if HRA is the part of salary. Refer Post : HRA can be claimed along with interest on Home Loan.

  Investment Plan
  Whether Interest received on maturity of KVP is taxable or not?
Answer: Interest received thereon is fully taxable. Refer Post : Kisan Vikas Patra

  Whether Kisan Vikas Patra be Purchased by the ‘Karta’ on behalf of a Hindu Undivided Family (HUF)?
Answer: There is no provision in the rules for purchase of a Kisan Vikas Patra by the ‘Karta’ on behalf of an HUF. Refer Post : Kisan Vikas Patra

  Whether Kisan Vikas Patra be Purchased by Non-Resident Indians?
Answer: NRIs are not eligible to purchase KVP certificates. Refer Post : Kisan Vikas Patra

  What is the minimum or maximum amount limit to Invest in Kisan Vikas Patra?
Answer: You can invest the minimum amount of Rs. 1000 and in multiples of Rs. 1000, there is no maximum limit to invest in KVP. Refer Post : Kisan Vikas Patra

  What is the rate of Interest received on Kisan Vikas Patra?
Answer: Now the interest rate has been increased to 7.70% w.e.f 01.10.2018, earlier it was 7.30% from 01.04.18 to 30.09.2018. The interest earned on KVP is compounded annually. Refer Post : Kisan Vikas Patra

  What is the matuirty period of Kisan Vikas Patra?
Answer: Now, the maturity period is 112 months w.e.f. 01.10.2018, earlier it was 118 months from 01.04.2018 to 30.09.2018. Refer Post : Kisan Vikas Patra

  Whether Investment in Kisan Vikas Patra comes under section 80C of Income Tax Act?
Answer: The investment in KVP is not eligible for income tax exemption under section 80C. Refer Post : Kisan Vikas Patra

  Who can open the Recurring Deposit Account?
Answer: Anyone can open the account. Refer Post : Recurring Deposit Scheme

  What is the minimum or maximum amount limit under Recurring Deposit?
Answer: Minimum INR 10/- per month or any amount in multiples of INR 5/-. No maximum limit. Minimum amount that can be invested varies from bank to bank. Refer Post : Recurring Deposit Scheme

  What is the interest rate under Recurring Deposit?
Answer: Average rate of interest varies between 4% to 8% subject to the conditions. It can vary from bank to bank and tenure of deposits. The interest rates for senior citizens deposits are higher than the regular account. Interest is compounded on quarterly basis. Post offices are providing interest rate @ 7.3% per annum (quarterly compounded) for the 4th quarter of 2018-19, which has revised on 01.01.2019. On maturity INR 10/- account fetches INR 725.05. Refer Post : Recurring Deposit Scheme

  What is the term period of deposit under Recurring Deposit?
Answer: Minimum period is 6 months and maximum is 10 years. Refer Post : Recurring Deposit Scheme

  Whether TDS provisions are applicable on Recurring Deposit?
Answer: TDS should be deducted @ 10% if the total amount of interest exceeds Rs. 10,000 in a financial year. Refer Post : Recurring Deposit Scheme

  Whether Investment in Recurring deposit comes under Income Tax deduction limit?
Answer: The investment in recurring deposit schemes is not eligible for tax deduction limit. Refer Post : Recurring Deposit Scheme

  What is Kisan Vikas Patra?
Answer: Kisan Vikas Patra (KVP) is also fixed guaranteed income investment scheme. The KVPs can be purchased from any post office in India. These can be transferred from one person to another. Kisan Vikas Patra was reintroduced in 2014, with a number of changes including mandatory PAN Card proof for investments over Rs. 50, 000 and income source proof for investments exceeding Rs.10 lakh. Refer Post : Kisan Vikas Patra

  Whether Co-operative Banks/Co-operative Societies Permitted to Invest in Kisan Vikas Patra?
Answer: According to rule 6 of Kisan Vikas Patra, co-operative banks and co-operative societies are not permitted to invest in this scheme. Refer Post : Kisan Vikas Patra

  Can a trust or an HUF invest in NSC?
Answer: Under the rules of Issue VIII of NSC, trusts and HUFs cannot invest in NSC. Refer Post : National Savings Certificates

  Where to open a Recurring Deposit?
Answer: This is a special kind of medium term deposit which is offered by banks, post offices in India. Under this scheme you can invest regularly on monthly basis a fixed amount for a fixed period. You can open various recurring deposit accounts. Refer Post : Recurring Deposit Scheme

  Whether Interest earned/received on NSC is taxable or not?
Answer: The interest earned thereon is fully taxable. Refer Post : National Savings Certificates

  Who can purchase NSC?
Answer: The Groups of people like trusts, companies or Hindu Unified Families are not eligible for investment in NSC, only an Individual resident not an NRI can purchase the same. Refer Post : National Savings Certificates

  What are the types of NSC holder?
Answer: Refer Post : National Savings Certificates

  What is the minimum or maximum amount limit for investment in NSC?
Answer: You can invest the minimum amount of Rs. 100 and in multiples of Rs. 100/-, there is no maximum limit to invest in NSC. Refer Post : National Savings Certificates

  What is the interest rate on NSC?
Answer: Now the interest rate has been increased to 8.00% w.e.f 01.10.2018, earlier it was 7.60% from 01.04.18 to 30.09.2018. The interest is compounded annually but payable at maturity. The interest earned thereon is fully taxable. Refer Post : National Savings Certificates

  Whether investment in NSC comes under section 80C for Income tax deduction?
Answer: The maximum amount for deduction under section 80C is allowable up to Rs. 1, 50,000. The interest accrued on NSCs every year is also eligible within tax deduction limit of Rs. 1,50,000. Refer Post : National Savings Certificates

  What is the maturity period of NSC?
Answer: The Maturity period is of 5 years. Upon maturity, you will receive the entire maturity value. Since there is no TDS on NSC payouts. Refer Post : National Savings Certificates

  If original NSC has lost/distroyed, whether duplicate certificate will be issued or not?
Answer: In case of certificate is lost/stolen/destroyed the owner of such certificate can apply for issuance of a duplicate certificate to the post master at such post office from where it has purchased on prescribed form with a small amount of charges. Once a duplicate certificate is issued, it will be redeemable only at the post office where it was issued. Refer Post : National Savings Certificates

  What is the Ayushman Bharat health insurance scheme?
Answer: On September 23, 2018, the Prime Minister Narendra Modi launched Ayushman Bharat, worlds largest government-funded healthcare scheme. Every person listed in the Socio Economic Caste Census (SECC) database will automatically be enrolled in the scheme. Refer Post : Ayushman Bharat health insurance scheme

  What is the aim of Ayushman Bharat health insurance scheme?

  What are the sailent features under Ayushman Bharat health insurance scheme?

  What is the eligibility criteria for Ayushman Bharat health insurance scheme?

  Whether 100% withdrawal before attaining the age of 60 or before superannuation is allowed under NPS?
Answer: If the total corpus is less than or equal to Rs. 1 lakh, Subscriber can opt for 100% lump sum withdrawal. Refer Post : Benefits of National Pension System (NPS)

  What are the exit & withdrawal rules under National Pension System (NPS)?

  How to open NPS account?

  Whether 100% withdrawal at the age of 60 or superannuation is allowed under NPS?
Answer: If the total accumulated pension corpus is less than or equal to Rs. 2 lakh, Subscriber can opt for 100% lump sum withdrawal. Refer Post : Benefits of National Pension System (NPS)

  Whether partial withdrawal is allowed under National Pension System (NPS)?

  What are the types of National Pension System (NPS)?
Answer: NPS offers two kinds of accounts: tier 1 and tier 2. The tier 1 account is non-withdrawable till the person reaches the age of 60. The Tier II NPS account works like a savings account from where the subscriber is free to withdraw money as and when required. Refer Post : Benefits of National Pension System (NPS)

  What are the major changes under National Pension System (NPS)?
Answer: NPS subscribers will now be able to withdraw 60 per cent of the accumulated corpus without having to pay any tax on it. Refer Post : Benefits of National Pension System (NPS)

  What are the benefits of National Pension System (NPS)?

  What is Gold ETFs?
Answer: Gold ETF is traded on the stock exchange (NSE & BSE) where we can buy or sell gold in real time during the trading session. All investment in ETF can be made through demat account .There is no risk factor for theft or burglary because all gold ETF investment will safely get deposited in your demat account. Refer Post : Comparison between Physical Gold and Sovereign Gold Bonds and Gold ETF

  What is the comparison between Physical Gold and Sovereign Gold Bonds and Gold ETF?

  Which one is best for Investment whether Gold ETFs or SGBs?

  Which one is better between Unit linked Insurance plans vs. Mutual Funds?

  What are the Unit linked Insurance Plans?

  What are the Mutual Funds?

  What are the similarities between Unit linked Insurance plans vs. Mutual Funds?

  What is the difference between Unit linked Insurance plans vs. Mutual Funds?

  What is the revised rate of interest on GPF?
Answer: The Government has raised interest rate on General Provident Fund (GPF) and other related schemes in third quarter of 2018 by 0.4 per cent to 8 per cent (earlier it was 7.6%). Refer Post : General Provident Fund (GPF)

  From which date the revised rate of interest on GPF is applicable?
Answer: he revised rates would be applicable from October 1, 2018 to December 31, 2018. Refer Post : General Provident Fund (GPF)

  Whether partial withdrawal is allowed under GPF?
Answer: Employees can withdraw GPF for select purposes after completing 10 years of service (earlier it was 15 years of service). Refer Post : General Provident Fund (GPF)

  How much amount can be partially withdrawal under GPF?
Answer: Government has permitted GPF withdrawal of up to twelve months pay or three-fourth (75 per cent) of the outstanding money in the General Provident Fund, whichever is less, In some cases, such as for illness, the withdrawal may be allowed up to 90 per cent of the amount standing at credit of the subscriber. Refer Post : General Provident Fund (GPF)

  Contribution to GPF can be claimed as deduction under section 80C?
Answer: Yes, The contributions made by the employee can be claimed as tax deductions under section 80C. Refer Post : General Provident Fund (GPF)

  Who can deposit in GPF?
Answer: General Provident Fund (GPF) is a provident fund account which is available for government employee’s (i.e. central government employees, railways and defence forces), Semi Govt. bodies, Universities or local authorities etc. Refer Post : General Provident Fund (GPF)

  What is Pardham Mantri Vaya Vandana Yojna?
Answer: Pardhan Mantri Vaya Vandana Yojna is one of the good investment plans for senior citizens, who have completed 60 years or above. Refer Post : Pradhan Mantri Vaya Vandana Yojana (PMVVY)

  Where Pardham Mantri Vaya Vandana Yojna scheme is operated?
Answer: LIC of India has been given the sole privilege to operate this scheme. Refer Post : Pradhan Mantri Vaya Vandana Yojana (PMVVY)

  What is the mimimum or maximum amount limit under PMVVY scheme?
Answer: The investment limit has been increased to 15 lakhs under the Pradhan Mantri Vaya Vandana Yojana (PMVVY). The limit on maximum investment has now revised to per senior citizen (and not per family). Refer Post : Pradhan Mantri Vaya Vandana Yojana (PMVVY)

  What is the gurranted return under PMVVY scheme?
Answer: Pension scheme which will avail guaranteed 8% return in monthly mode and 8.3% return in yearly mode. Refer Post : Pradhan Mantri Vaya Vandana Yojana (PMVVY)

  What is maturity time period under PMVVY scheme?
Answer: On completion of 10 years, the deposited amount along with last due pension will be returned to policy holder. Refer Post : Pradhan Mantri Vaya Vandana Yojana (PMVVY)

  Can patial withdrawal facility is available or not under PMVVY scheme?
Answer: In specific cases like critical medical emergency of policy holder or spouse, the policy can be surrendered before completion of 10-year term. The surrender value will be 98% of purchase price means 2% will be deducted of the investment amount. Refer Post : Pradhan Mantri Vaya Vandana Yojana (PMVVY)

  What is the age limit for retired defence personal to invest under Senior citizen savings scheme?
Answer: Retired defense personal with the age of 50 years or above. Refer Post : Senior Citizen Savings Scheme (SCSS)

  What is the maturity period of investments under Senior citizen savings scheme?
Answer: Principal amount is payable on maturity i.e. after completion of 5 years, which can be further extended for three years. Refer Post : Senior Citizen Savings Scheme (SCSS)

  Whether investment under Public provident fund account is covered under 80C exemption from income tax?
Answer: The amount which you have deposited is covered under section 80C, can be claimed as tax benefit. Refer Post : Public Provident Fund Account (PPF)

  What is the maturity period under Public provident fund account?
Answer: The complete amount can be withdrawn after completion of lock-in period of 15 years. Refer Post : Public Provident Fund Account (PPF)

  What is the maturity period under Monthly Income Scheme?
Answer: Principal amount is payable on maturity i.e. after completion of 5 years. Refer Post : Monthly Income Scheme (MIS)

  What is the rate of interest received on Monthly Income Scheme?
Answer: The Interest rate is revised from 3rd quarter @ 7.7% per annum (earlier in 1st or 2nd quarter of 2018 it was 7.3%). Refer Post : Monthly Income Scheme (MIS)

  What is the limit of minimium or maximum amount, which can be deposited under Monthly Income Scheme?
Answer: The investment can be start with a minimum amount of Rs. 1,500 & Maximum investment limit is Rs. 4, 50,000/- in single account and Rs. 9, 00,000/- in joint account. Refer Post : Monthly Income Scheme (MIS)

  Can the premature withdrawal be made under Monthly Income Scheme?
Answer: Premature withdrawal can be made after one year or before 3 years at a discount of 2% of deposit amount and after 3 years at a discount of 1% of deposit amount. Refer Post : Monthly Income Scheme (MIS)

  Whether the interest income under Monthly Income Scheme is taxable or not?
Answer: Interest received thereon is fully taxable. Refer Post : Monthly Income Scheme (MIS)

  What is the Senior citizen savings scheme?

  Can HUF or NRIs can invest under Senior citizen savings scheme?
Answer: HUFs and NRIs are not allowed to invest in this scheme, only resident indian can invest under this scheme. Refer Post : Senior Citizen Savings Scheme (SCSS)

  What is the maximum amount, which can be deposited under Senior citizen savings scheme?
Answer: The maximum limit for investment is Rs. 15 lakhs irrespective of number of accounts, individually or jointly (in multiple of Rs. 1,000). Refer Post : Senior Citizen Savings Scheme (SCSS)

  Who can open the Sukanya samriddhi yojna account?
Answer: The account can only be opened in the name of girl child who has not attained the age of 10 years. Refer Post : Sukanya Samriddhi Yojana Account (SSYA)

  What is the limit of minimum or maximum amount, which can be deposited under Sukanya samriddhi yojna account?
Answer: The said account can be opened with a minimum amount of Rs. 250/- (earlier it was Rs. 1,000/-) and maximum of Rs. 1,50,000 per annum." Refer Post : Sukanya Samriddhi Yojana Account (SSYA)

  What is the rate of interest under Sukanya samriddhi yojna account?
Answer: The Interest rate is revised from 3rd quarter @ 8.5% per annum (earlier in 1st or 2nd quarter of 2018 it was 8.1%)." Refer Post : Sukanya Samriddhi Yojana Account (SSYA)

  What is Public provident fund account?
Answer: Public Provident Fund is one of the best, trustworthy and popular investment scheme. It offers guaranteed, risk free returns. Refer Post : Public Provident Fund Account (PPF)

  Who can open the Public provident fund account?
Answer: The account can be held only in the name of one Individual, it cannot be opened in the joint names. Refer Post : PUBLIC PROVIDENT FUND ACCOUNT (PPF)

  What is the rate of interest under Public provident fund account?
Answer: The Interest rate is revised from 3rd quarter @ 8.0% per annum (earlier in 1st or 2nd quarter of 2018 it was 7.6%). Refer Post : Public Provident Fund Account (PPF)

  What is the limit of minimum or maximum amount, which can be deposited under Public provident fund account?
Answer: The PPF account can be opened with a minimum amount of Rs. 500 & with a maximum of Rs. 1,50,000 per annum. Refer Post : Public Provident Fund Account (PPF)

  What is Sukanya samriddhi yojna account?
Answer: Sukanya Samriddhi Yojana is a good option. Its aim is to help parents of a girl child when she attains maturity for her education and marriage, through this way every parent and guardian of a girl child in India can secure their daughter’s future. Refer Post : Sukanya Samriddhi Yojana Account (SSYA)

  From which date the higher rate of interest on small saving schemes are applicable?
Answer: The rates of interest on various small saving schemes for the 3rd quarter of financial year 2018-19 i.e. 01.10.2018 to 31.12.2018, has been revised. Refer Post : Revised Interest Rates for Small Savings Schemes 3rd quarter 2018-19

  On which small saving schemes the higher interest rate is applicable?

  Whether all mutual funds are regulated by SEBI?

  What is Mutual Funds?

  How to increase my wealth to invest in Mutual Funds?

  What are the benefits to invest in Mutual Funds?

  Which one is the best saving plan for salaried person, EPF vs PPF vs. VPF?
Answer: Refer Post : EPF versus VPF versus PPF.

  What are the best saving plans in post office in India?

  Which are the best saving plans for Senior Citizens?

  Deductions/ Exemptions
  What is section 194N under Income Tax Act?
Answer: Union Budget 2019, the Finance Minister has introduced new Section 194N which relates to deduct TDS on cash withdrawal in excess of 1 crore @ 2% by a banking company or cooperative bank or post office. Refer Post : Section 194N TDS on cash withdrawals

  What is the rate of TDS under section 194N under Income Tax Act?
Answer: TDS shall be deducted as an amount equal to 2% of such cash withdrawn exceeding one crore rupee. Refer Post : Section 194N TDS on cash withdrawals

  Mr. X has withdrawal Rs. 1.10 Crore from bank during the year. What will be the amount of TDS under section 194N?
Answer: TDS shall be deducted of Rs. 2,000 (2% of Rs. 10 lakh i.e. above to Rs.1 crore). Refer Post : Section 194N TDS on cash withdrawals

  To whom section 194N is applicable?

  To whom section 194N is not applicable?

  What is section 194M under Income Tax Act?
Answer: Union Budget 2019, the Finance Minister has proposed a new Section 194M, which requires an individual or an HUF, to deduct TDS @ 5%, where they make payment exceeding Rs. 50 Lakh in a year to a contractor or to a professional even for personal work w.e.f. 01.09.2019. Refer Post : Section 194M-TDS on payments to contractors and professionals

  To whom the section 194M is applicable?
Answer: It is only applicable to an Individuals, HUF’s and Non Audited Cases. Refer Post : Section 194M-TDS on payments to contractors and professionals

  What is the rate of TDS under section 194M?
Answer: If the payment exceeds Rs. 50 lakh in a year the TDS will be deducted @ 5%. Refer Post : Section 194M-TDS on payments to contractors and professionals

  What is the time of deduction of TDS under section 194M?
Answer: TDS will be deducted at the time of credit of such amount or at the time of payment (whether in cash or by issue of a cheque or draft or by any other mode), whichever is earlier. Refer Post : Section 194M-TDS on payments to contractors and professionals

  What are the conditions for claiming deduction under section 80EEA?

  What is the deduction under section 80EEB?
Answer: Union Budget 2019, the Finance Minister has proposed an additional deduction for interest paid on loans taken for purchase of electric vehicle from the financial year 2019-20. Refer Post : Section 80EEB-Deduction for Interest paid on loan taken for purchase of Electric Vehicle

  What is the amount of deduction allowed under section 80EEB?
Answer: The Finance Minister has proposed an additional deduction of Rs. 1.50 lakh for interest paid on loans taken for purchase of electric vehicle from the financial year 2019-20. Refer Post : Section 80EEB-Deduction for Interest paid on loan taken for purchase of Electric Vehicle

  Who is eligible for deduction allowed under section 80EEB?
Answer: The deduction is available only to an individual. This deduction is not available for HUF, AOP, Partnership firm, a company, or any other assesse. Refer Post : Section 80EEB-Deduction for Interest paid on loan taken for purchase of Electric Vehicle

  What are the conditions for claiming deduction under section 80EEB?

  What is the defination of Electric Vehicle?
Answer: Electric vehicle means a vehicle which is powered exclusively by an electric motor whose traction energy is supplied exclusively by traction battery installed in the vehicle and has such electric regenerative braking system, which during braking provides for the conversion of vehicle kinetic energy into electrical energy. Refer Post : Section 80EEB-Deduction for Interest paid on loan taken for purchase of Electric Vehicle

  What is the deduction under section 80EEA?
Answer: Union Budget 2019, the Finance Minister has proposed an additional deduction for interest paid on home loan taken during the financial year 2019-20 for residential house property. This additional deduction of interest will qualify under the newly introduced section 80EEA. Refer Post : Section 80EEA-Deduction for Interest paid on home loan

  What is the amount of deduction allowed under section 80EEA?
Answer: The Finance Minister has proposed an additional deduction of Rs. 1.50 lakh for interest paid on home loan taken during the financial year 2019-20 for residential house property. Refer Post : Section 80EEA-Deduction for Interest paid on home loan

  Who is eligible for deduction allowed under section 80EEA?
Answer: The deduction is available only to an individual. This deduction is not available for HUF, AOP, Partnership firm, a company, or any other assesse. Refer Post : Section 80EEA-Deduction for Interest paid on home loan

  What are the provisions under section 80EEA in case of property in the joint name?
Answer: Property purchased in the joint name and also taken a joint home loan, each person repaying the amount would be eligible to claim whole deduction separately. Refer Post : Section 80EEA-Deduction for Interest paid on home loan

  List of donations which are covered under section 80G without any specific limit?

  List of donations which are covered under section 80G subject to the limit?

  What is the defination of "Approved Charitable Institution" under section 80E?
Answer: Approved Charitable Institution means an institution established for charitable purposes and approved by the prescribed authority section 10(23C), or an institution referred to in section 80G(2)(a). Refer Post : Section 80E Income Tax Deduction for Interest on Education Loan

  What is the deduction under section 80G?
Answer: Deduction under section 80G for donations to certain notified funds, charitable institutions or other institutions/ funds set up by the Government of India. Refer Post : Deduction under Section 80G for Donation

  Who is eligible for deduction under section 80G?
Answer: Any taxpayer whether resident or non-resident can claim deductions under section 80G. Refer Post : Deduction under Section 80G for Donation

  Whether donation paid in cash is eligible for deduction under section 80G?
Answer: No deduction under this section is allowable in case the amount of donation exceeds Rs 2000/- unless the amount is paid by any mode other than cash. Refer Post : Deduction under Section 80G for Donation

  What is the amount of deduction allowed under section 80G?
Answer: Contributions/ Donations to certain Funds as set up and notified by the Government are eligible for 100% or 50% deduction from Gross Total Income of the assessee. Refer Post : Deduction under Section 80G for Donation

  Can a company or a firm take the benefit of Section 80C?
Answer: The provisions of Section 80C apply only to individuals or a Hindu Undivided Family (HUF). Hence, a company or a firm cannot take the benefit of Section 80C. Refer Post : Deduction under section 80C 80CCC and 80CCD

  In which year can I claim deduction of the stamp duty paid for purchase of a house property?
Answer: Stamp duty for purchase of a house can be claimed in the year in which the payment is made. Refer Post : Deduction under section 80C 80CCC and 80CCD

  Premium paid to a private insurance company for life insurance. Can I claim 80C deduction for the premium paid?
Answer: Premium paid to any insurer approved by the Insurance Regulatory and Development Authority of India, whether public or private. Hence, the insurance premium paid can claim under section 80C. Refer Post : Deduction under section 80C 80CCC and 80CCD

  What is the amount of deduction under section 80CCD (1B)?
Answer: Deduction under section 80CCD (1B) is allowed up to Rs. 50,000. Investment in National Pension Scheme (NPS) is the best and only solution available to save tax. As per section 80CCD(1B). Refer Post : Deduction under section 80C 80CCC and 80CCD

  Who is eligible for claiming deduction under section 80C for payment of tuition fees?
Answer: Deduction for payment of tuition fees is available only to Individual or HUF only. The said deduction is allowed maximum for two children. Refer Post : Deduction under section 80C 80CCC and 80CCD

  What is the deduction under section 80E?
Answer: Section 80E allows deduction in respect of payment of interest on loan taken from any financial institution or any approved charitable institution for higher education for the purpose of pursuing his higher education or for the purpose of higher education of his spouse or his children or the student for whom he is the legal guardian. Refer Post : Section 80E Income Tax Deduction for Interest on Education Loan

  What is the eligibility and amount of deduction under section 80E?

  What is the amount of deduction allowed under section 80C/80CCC/80CCD (1)?
Answer: Deductions under section 80C/80CCC/80CCD (1) is allowed up to Rs. 1,50,000. Refer Post : Deduction under section 80C 80CCC and 80CCD

  To whom the deduction under section 80GG is available?
Answer: Deduction under section 80GG is available to an Individual or HUF. Refer Post : Deduction under section 80GG for Rent Paid

  What is the amount of deduction under section 80GG is eligible?

  Whether filing of Form 10BA is compulsory for availing deduction under section 80GG?
Answer: Yes, It is necessary to file form 10BA for availing deduction under section 80GG. Refer Post : Deduction under section 80GG for Rent Paid

  What are the exemptions under section 54, 54EC, 54F?

  Sale of agricultural land in urban area is taxable or not?

  To whom exemption under section 54B is allowed?

  What is the maximum amount of exemption allowed under section 54B?

  What is time limit in which amount of capital gain must be invested under section 54B?

  What is the lock in period of long term bonds covered under section 54B?

  What is the exemption under section 54B?

  Sale of agricultural land in rural area is taxable or not?

  To whom exemption under section 54EC is allowed?

  What is the maximum amount of exemption allowed under section 54EC?

  What is time limit in which amount must be invested under section 54EC?
Answer: With in 6 months from the date of sale/transfer of assets. Refer Post : Exemption u/s 54EC: Long term Capital Gain on Sale/Transfer of Land or Building or both.

  What is the lock in period of long term bonds covered under section 54EC?

  Explain the income which are partially exempted under Income tax act?

  Which allowances are partially exempted under section 10(14)?

  What is the amount of standard deduction?
Answer: Rs.40,000/-. Refer Post :Standard deduction on Income from Salary/Pension.

  From which financial year the amount of standard deduction is allowed?
Answer: W.e.f. financial year 2018-19. Refer Post :Standard deduction on Income from Salary/Pension.

  To whom the amount of standard deduction is allowed?
Answer: Standard deduction is allowed for salaried persons or pensioners. Refer Post :Standard deduction on Income from Salary/Pension.

  Explain the income which are fully exempted under Income tax act?

  Share of profit from partnership firm is exempted or not in the hands of partners?
Answer: Under section 10(2A), any share of profit from partnership firms, exempt in the hands of partners, whether it is taxable in the hands of the firms or not. Refer Post :Incomes which are fully exempted from Income Tax.

  Income from International sporting events are exemted or not?

  Which Interest incomes are exempted under section 10(15)?

  Once the exemption u/s 54F availed, the property can be sold out any time?
Answer: The new residential house can not be sold out with in 3 years from the date of purchase, or purchase a new house with in two years from the date of sale of the original assets or constructed with in 3 years from the date of sale of original assets, the exemption under section 54F will be reversed, or it will be taxed under long term capital gain. Refer Post : Exemption u/s 54F: Long term Capital assets other than residential house.

  What is the exemption amount that we can availed under section 54F?
Answer: Section 54F gives relief to taxpayers, who sold his house property after 3 years of purchase. If he arises any profit on sale of property, can claim exemption under section 54F on the following basis-
  • If the entire amount of sale consideration is invested, you can claim the full exemption benefit.

  What is the exemption under section 54?
Answer: Section 54 is allowed for long term capital gain arises on sale of residential house. If he arises any profit on sale of property, he can claim exemption under section 54 up to the amount of investment in new residential house. Refer Post : Exemption u/s 54: Long term Capital Gain on Transfer of Residential House Property.

  Once the exemption u/s 54 availed, the property can be sold out any time?
Answer: The new residential house can not be sold out with in 3 years from the date of purchase, other the exemption under section 54 will be reversed, or it will be taxed under short term capital gain. Refer Post : Exemption u/s 54: Long term Capital Gain on Transfer of Residential House Property.

  What is the exemption amount that we can availed under section 54?
Answer: Section 54 gives relief to taxpayers, who sold his house property after 3 years of purchase. If he arises any profit on sale of property, can claim exemption under section 54 on the following basis-
  • If the entire amount of capital gain is invested, you can claim the full exemption benefit.
  • If the entire amount of capital gain is not invested, you can claim the exemption of invested amount and the balance is taxable under long term capital gain.
Investment in new residential house property or amount of capital gain, whichever is lower. Refer Post : Exemption u/s 54: Long term Capital Gain on Transfer of Residential House Property.

  To whom exemption under section 54F is allowed?
Answer: This exemption is available for Individual or HUF only. Thus Firms, LLP and Companies are not eligible to claim exemption under this section. Refer Post : Exemption u/s 54F: Long term Capital assets other than residential house.

  What is the exemption under section 54F?
Answer: Section 54F is allowed for long term capital gain arises on sale of assets other than residential house. If he arises any profit on sale of assets he can claim exemption under section 54F up to the amount of sale in new residential house. Refer Post : Exemption u/s 54F: Long term Capital assets other than residential house.

  What form of certificate is required to avail deduction under section 80QQB?
Answer: Taxpayer must obtain a Certificate in Form No. 10CCD from the payer of royalty. Refer Post : Deduction under section 80QQB: for Royalty Income.

  What is the amount of deduction under section 80RRB?
Answer: Actual amount of Royalty received on Patent or Rs. 3,00,000/-, whichever is lower. Refer Post : Deduction u/s 80RRB: Royalty for Patents.

  What form of certificate is required to avail deduction under section 80RRB?
Answer: Taxpayer must obtain a Certificate in Form No. 10CCE from the payer of royalty. Refer Post : Deduction u/s 80RRB: Royalty for Patents.

  What is the deduction under section 80RRB?
Answer: Under section 80RRB, the deduction is available to person “Resident Indian”, The deduction is available for Royalty received on Patent. Refer Post : Deduction u/s 80RRB: Royalty for Patents.

  Mr. X has received royalty income for using his patent rights to another person Mr. Y. As per agreement Mr. Y pay Rs. 50,000/- per month to Mr. X. The agreement is valid for one year. What will be the deduction amount under section 80RRB?
Answer: Amount of Royalty Received Rs. 6,00,000 or Rs. 3,00,000 whichever is lower. So, the deduction under section 80RRB is allowed to Rs. 3,00,000. Refer Post : Deduction u/s 80RRB: Royalty for Patents.

  To whom exemption under section 54 is allowed?
Answer: This exemption is available for Individual or HUF only. Thus Firms, LLP and Companies are not eligible to claim exemption under this section. Refer Post : Exemption u/s 54: Long term Capital Gain on Transfer of Residential House Property.

  What is the deduction under section 80QQB?
Answer: Under section 80QQB in respect of royalty income earned by an author for writing books. This deduction is available for an individual “Resident in India”. An author writes books and gives to the publishers. Publishers publish them and earn profit on selling those. They pay an agreed amount of percentage of profit on sales made to the authors. This reward is called Royalty Income. Royalty income is taxable under the Income Tax Act, so the deduction u/s 80QQB is allowed as deduction. Refer Post : Deduction under section 80QQB: for Royalty Income.

  What is the amount of deduction under section 80QQB?
Answer: Actual amount of Royalty received or Rs. 3,00,000/-, whichever is lower. Refer Post : Deduction under section 80QQB: for Royalty Income.

  Mr. X is an author of book. He is Resident in Indian, has received Rs. 5,00,000 as Royalty within India. What will be the deduction amount under section 80QQB?
Answer: Actual Amount Received Rs. 5,00,000 or Rs. 3,00,000 whichever is lower. So, the deduction under section 80QQB is allowed to Rs. 3,00,000. Refer Post : Deduction under section 80QQB: for Royalty Income.

  Mr. X is an author of book. He is Resident in India, has earned Rs. 5,00,000 as Royalty from USA publisher on 25.05.2018. He has received the foreign remittance on 28.01.2019. What will be the deduction amount under section 80QQB?
Answer: In case of foreign remittance, he has not received any amount within 6 months. So, he is not eligible for deduction under section 80QQB. Refer Post : Deduction under section 80QQB: for Royalty Income.

  Whether audit under section 44AB is required to avail deduction under section 80JJAA?
Answer: Assessee is compulsory subject to audit under section 44AB. Certificate in form 10DA is also obtain from the Chartered Accountant and must be attached with the Income Tax Return. Refer Post : Deduction u/s 80JJAA: in respect of employment of new employees.

  Mr. X starts manufacturing in 1st May 2017. It has 120 employees @ 22,000/- per month. The salary paid to all employees through “Account payee Cheque”. Assume they fulfill all the conditions specified for deduction under section 80JJAA. What will be the deduction amount under section 80JJAA for the financial year 2017-18?
Answer: 30% of new employees emoluments (i.e. 120 employees x 22,000 per employee x 11 months) = 30% of 2,90,40,000 = 87,12,000. Deduction amount under section 80JJAA = Rs. 87,12,000. Refer Post : Deduction u/s 80JJAA: in respect of employment of new employees.

  Mr. Y had started manufacturing in May 2016. It has added 50 employee’s during the year 2017-18 earlier in the financial year 2016-17 there was 100 employees. Now he is paying to employees @ 23,000/- per month. The salary paid to all employees through “Account payee Cheque”. Assume they fulfill all the conditions specified for deduction under section 80JJAA. What will be the deduction amount under section 80JJAA for the financial year 2017-18?
Answer: 30% of additional employee’s emoluments (i.e. 50 employees* x 23,000 per employee x 12 months) i.e. 30% of 1,38,00,000 = 41,40,000. Deduction amount under section 80JJAA = Rs. 41,40,000. Refer Post : Deduction u/s 80JJAA: in respect of employment of new employees.

  What is the time period for deduction under section 80JJA is allowed?
Answer: The deduction is available for a period of five consecutive assessment years beginning with the assessment year relevant to the previous year in which such business commences. Refer Post : Deduction u/s 80JJA: Profit & Gains from business of collecting and processing of Bio-degradable waste.

  If Mr. X has set up project of Bio-degradable, he earn Rs. 4,50,000 as profit during the year 2017-18. His other income is Rs. 2,30,000. What will be the deduction amount under section 80JJA?
Answer: Mr. X has income from such business is Rs. 4,50,000, so he is eligible for deduction u/s 80JJA for Rs. 4,50,000 (Whole amount of Profit) or Rs. 5,00,000 whichever is less. Refer Post : Deduction u/s 80JJA: Profit & Gains from business of collecting and processing of Bio-degradable waste.

  To whom the deduction u/s 80JJAA is allowed?
Answer: Deduction u/ 80JJAA are available to assessees, who engage in the manufacturing or production of article or thing in India, i.e. Indian Manufacturing Company. Refer Post : Deduction u/s 80JJAA: in respect of employment of new employees.

  What is the amount of deduction allowed under section 80JJAA?
Answer: A deduction of 30% is allowed in addition to normal deduction of 100% in respect of emoluments paid to eligible new employees who have been employed for a minimum period of 240 days during the year under section 80-JJAA of the Income-tax Act. However, the minimum period of employment is relaxed to 150 days in the case of apparel industry, footwear industry and leather industry. Refer Post : Deduction u/s 80JJAA: in respect of employment of new employees.

  What is the time period for deduction under section 80JJAA is allowed?
Answer: This deduction is allowed for a total period of 3 assessment years. Refer Post : Deduction u/s 80JJAA: in respect of employment of new employees.

  To whom the deduction u/s 80JJA is allowed?
Answer: Deduction u/ 80JJA is available to an assessee, who engage in the business of collecting and processing or treating of bio-degradable waste for generating power or producing bio-fertilizers, bio-pesticides or other biological agents or for producing bio-gas or making pellets or briquettes for fuel or organic manure etc. Refer Post : Deduction u/s 80JJA: Profit & Gains from business of collecting and processing of Bio-degradable waste.

  What is the amount of deduction allowed under section 80JJA?
Answer: The deduction is available of an amount equal to the whole of such profits and gains from such business or Rs. 5,00,000 whichever is less. Refer Post : Deduction u/s 80JJA: Profit & Gains from business of collecting and processing of Bio-degradable waste.

  Who can claim deduction under section 80GGB?
Answer: It is available for all Indian Companies. Refer Post : Donation under section 80GGB & 80GGC to Political Parties & Electoral Trust.

  Who can claim deduction under section 80GGC?
Answer: It is available to an assessee (Including an Individuals) being any person other than local authority and artificial judicial person i.e. non corporate assessee. Refer Post : Donation under section 80GGB & 80GGC to Political Parties & Electoral Trust.

  Can the donation made in cash of Rs. 10,000 allowed under section 80GGB?
Answer: No, payment in cash is not allowed under section 80GGB. it can be paid through cheque/drafts/ pay order etc. Refer Post : Donation under section 80GGB & 80GGC to Political Parties & Electoral Trust.

  How much deduction amount can be claim under section 80GGC?
Answer: There is no cap or upper limit for the deduction, the deduction is allowed 100% i.e. whole amount donated qualifies for deduction. Refer Post : Donation under section 80GGB & 80GGC to Political Parties & Electoral Trust.

  Can I claim deduction for donation made to charitable institutions under section 80GGA?
Answer: No, You can’t take deduction under section 80GGA. you can take exemption under section 80G. Refer Post : Donation under section 80GGA for Scientific Research and Rural Development.

  What is minimum donation limit to get tax deduction under section 80GGA?
Answer: Any sum paid for the specified purpose can be claimed as tax deduction u/s 80GGA. Refer Post : Donation under section 80GGA for Scientific Research and Rural Development.

  Mr. Oberoi is an Indian resident having age of 45 years, his total income for the financial year 2017-18 is Rs. 3,25,000 after allowing deductions under section 80. What will be tax amount or can he avail rebate under section 87A?
Answer: Mr. Oberoi has total income of Rs. 3,25,000
Tax amount:Up to Rs. 2,50,000: Nil, 2,50,000 to 5,00,000: 5% (means 5% of Rs. 75,000 ( 3,25,000-2,50,000) = 3,750/-),Less Rebate u/s 87A Rs. 2,500, Tax liability: Rs. 1,250 Add: Ed. Cess @ 3% =37.50, Total Tax liability= 1,287.50 Refer Post : Who Can Claim Rebate Under Section 87A.

  Relief under secion 89(1) can be claimed without filling of form 10E?
Answer: No, it is necessary to furnish online form 10E to claim relief under section 89(1) under Income Tax Act. Refer Post : Claim Income Tax Relief under section 89(1) on Salary Arrears.

  Can a partnership firm or HUF claim rebate under section 87A?
Answer: No, Rebate under section 87A is available only for Resident Individuals. Refer Post : Who Can Claim Rebate Under Section 87A.

  A non resident individual claim rebate under section 87A?
Answer: No, Rebate under section 87A is available only for Resident Individuals. Refer Post : Who Can Claim Rebate Under Section 87A.

  What is the amount of rebate under section 87A?
Answer: Rebate under section 87A is available to a persons whose total income does not exceeds Rs. 3,50,000 during the financial year. The amount of deduction under section 87A is the least of Rs. 2,500 or 100% of tax amount. Refer Post : Who Can Claim Rebate Under Section 87A.

  Mr. Ramesh age of 55 years, pays medical insurance premium of Rs. 28,000/- on his health and health of his wife and dependent children and pay Rs. 42,000/- on the health of his parents which are senior citizens. What will be the amount of deduction under section 80D during the financial year 2018-19?
Answer: Mr. Ramesh would be eligible for a deduction under section 80D for Rs. 67,000/- (Rs. 25,000 + Rs. 42,000) during the financial year 2018-19. In such case where assessee is not senior citizen while his parents are senior citizens the deduction can be claimed up to maximum of Rs. 75,000. Refer Post : Deduction under section 80 D- for Medical Insurance & Health Checkup.

  Mr. Samir (65 years) has a Mediclaim policy and paid Rs 55,000 as premium. He also spent Rs 8,000 towards health check-up. What will be the deduction amount under section 80D?
Answer: Mr. Samir is a senior citizen, he can claim deduction to the extent of Rs 50,000 only under Section 80D. Even he has paid Rs. 63,000/- (Rs. 55,000+ Rs. 8,000). The deduction of health check up is included in tax deduction slab. Refer Post : Deduction under section 80 D- for Medical Insurance & Health Checkup.

  Who is eligible for deduction under section 80D?
Answer: The deduction is available to all Residents Individual or HUF. In case of an Individual for himself, spouse, dependent children or parents dependent or not or In case of HUF- for their members. Refer Post : Deduction under section 80 D- for Medical Insurance & Health Checkup.

  What is deduction limit under section 80D?
Answer: A deduction of Rs. 25,000 can be claimed for insurance of self, spouse and dependent children. An additional deduction for insurance of parents is available to the extent of Rs 25,000 if they are less than 60 years of age or Rs 50,000 (has been increased in Budget 2018 from Rs 30,000). if, a taxpayers age and parents age is 60 years or above, the maximum deduction available under this section is to the extent of Rs. 100,000. or actual amount paid which ever is lower. Refer post: Deduction under section 80 D- for Medical Insurance & Health Checkup.

  Mr. Ramesh age of 35 years, pays medical insurance premium of Rs. 28,000/- on his health and health of his wife and dependent children and pay Rs. 42,000/- on the health of his parents who are the age of 58 years. What will be the amount of deduction under section 80D during the financial year 2018-19?
Answer: Mr. Ramesh would be eligible for a deduction under section 80D for Rs. 50,000/- (Rs. 25,000 + Rs. 25,000) during the financial year 2018-19. In such case where both are not senior citizens the deduction can be claimed up to maximum of Rs. 50,000. Refer Post : Deduction under section 80 D- for Medical Insurance & Health Checkup.

  What will be the deduction amount under section 80TTA?
Answer: The deduction is available on Interest received from Banks, Post offices or Co-operative Societies carrying on banking business up to Rs. 10,000 during the year. Refer post: Deduction on Interest Income: Under Section 80TTA/80TTB.

  Interest received on FDR/Recurring deposits, is it eligible for deduction under section 80TTA?
Answer: No, Interest received on FDR/Recurring deposits are not eligible for deduction under section 80TTA. Refer post: Deduction on Interest Income: Under Section 80TTA/80TTB.

  Who is eligible for deduction under section 80TTB and what is the deduction limit under section 80TTB?
Answer: The deduction is available only to Resident Senior Citizens. The deduction is eligible on all kind of interest received from banks, post offices or co-operative societies carrying on banking business up to the extent of Rs. 50,000 (w.e.f. 01.04.2018 on wards) during the year. Refer post : Deduction on Interest Income: Under Section 80TTA/80TTB.

  I am Senior citizen, having interest income of Rs. 15,000 on FDR or Rs. 5,000 on saving account during the year 2017-18. What amount i can claim for deduction under section 80TTA & 80TTB?
Answer: You can take exemption of Rs. 5,000 under section 80TTA for interest received on saving account. In the financial year 2017-18, Section 80TTB was not introduced. it is applicable from 01.04.2018 on wards. Refer post: Deduction on Interest Income: Under Section 80TTA/80TTB.

  I am Senior citizen, having interest income of Rs. 50,000 on FDR or Rs. 5,000 on saving account during the year 2018-19. can i eligible for both deductions under sectidon 80TTA & 80TTB?
Answer: No, You can take deduction maximum to Rs. 50,000 under section 80TTB. you cant’t take deduction under section 80TTA. Refer post: Deduction on Interest Income: Under Section 80TTA/80TTB.

  Who is eligible for deduction under section 80DDB?
Answer: The deduction is available to all Residents Individual or HUF. In case of an Individual for himself, or disable dependent can be spouse, children, parents, brother/sister (Siblings) or In case of HUF- for their members. Refer post : Deduction under section 80DDB: for Medical treatment of Specified Diseases.

  What is deduction limit under section 80DDB?
Answer: If any person whether himself or dependent suffering from specified disease, or is not a senior citizen the assessee can claim deduction of Rs. 40,000 or actual expenditure, which ever is lower.if any person whether himself or dependent is senior citizen the deduction can be claimed Rs. 1,00,000 (w.e.f F.Y. 2018-19 on wards) or actual expenses, which ever is lower. Refer Post : Deduction under section 80DDB: for Medical treatment of Specified Diseases.

  If brother of Mr. X is suffering from Malignant Cancer having age of 50 years, Mr. X spend Rs. 80,000 on treatment of his brother, totally depend on Mr. X. what amount of deduction Mr. X can claim under section 80DDB for the year 2018-19?
Answer: Mr. X can claim deduction of Rs. 40,000 (Actual Expenditure of Rs. 80,000 or limit of Rs. 40,000 which ever is lower). Refer post : Deduction under section 80DDB: for Medical treatment of Specified Diseases.

  If brother of Mr. X is suffering from Malignant Cancer, having age of 62 years, Mr. X spend Rs. 1,20,000 on treatment of his brother, totally depend on Mr. X. Mr. X also received an amount of Rs. 25,000 from an Insurance company. what amount of deduction Mr. X can claim under section 80DDB for the year 2018-19 ?
Answer: Mr. X can claim deduction of Rs. 75,000 [i,.e. Rs. 1,00,000 (Actual Expenditure of Rs. 1,25,000 or limit of Rs. 1,00,000 which ever is lower) – 25,000 received from an Insurance company] . Refer post : Deduction under section 80DDB: for Medical treatment of Specified Diseases.

  Who is eligible for deduction under section 80TTA?
Answer: The deduction is available to all Residents Individual or HUF. Refer post: Deduction on Interest Income: Under Section 80TTA/80TTB.

  What are the deductions under chapter VIA of Income Tax Act?
Answer: There are many deduction starting from 80C to 80U, which falls under chapter VIA. Refer Post : Deductions under Chapter VIA.

  What is the amount of deduction covered under section 80C/ 80CCC/ 80CCD(1)?
Answer: The deduction covered under section 80C/80CCC/80CCD(1) is allowed up to the extent of Rs. 1,50,000 during the financial year. Refer Post : Deductions under Chapter VIA.

  Can the deduction under section 80CCD(1b) is also covered under the ceiling of Rs. 1,50,000?
Answer: No, The deduction under section 80CCD(1b) is allowed extra up to the extent of Rs. 50,000 besides the limit of Rs. 1,50,000. Refer Post : Deductions under Chapter VIA.

  If brother of Mr. X is totally blind and he is dependent on Mr. X. what amount of deduction Mr. X can claim under section 80DD?
Answer: Mr. X can claim deduction of Rs. 1,25,000 under section 80DD, because the brother of Mr. X is totally blind. Refer Post : Section 80DD: Deduction for Disability of a Dependent Relatives.

  Who can be disabled dependents under section 80DD?
Answer: Disabled dependent can be Spouse, Children, Parents, Brother/Sister (siblings). Refer Post : Section 80DD: Deduction for Disability of a Dependent Relatives.

  What is deduction limit under section 80DD?
Answer: If disabled dependent is suffering at least 40%, the deduction is available for Rs. 75,000 or if disabled dependent is suffering at least 80% the deduction is available for Rs. 1,25,000. Refer Post : Section 80DD: Deduction for Disability of a Dependent Relatives.

  Who is eligible for deduction under section 80DD?
Answer: The deduction is available to all Residents Individual or HUF. In case of an Individual for their disabled dependent relatives or In case of HUF- for their members. Refer Post : Section 80DD: Deduction for Disability of a Dependent Relatives.

  If Mr. X himself suffering from disability around 82%, What amount they can claim under section 80U?
Answer: Mr. X suffering from disability arround 82%, they can claim Rs. 1,25,000 under section 80U. Refer Post : Deduction under section 80U: For Disability of the Individual Himself.

  What documents are required to claim deduction under section 80U?
Answer: To claim deduction under section 80U no bills or any support is required, but a certificate from the doctorate of medicine is required. For illnesses such as autism or cerebral palsy form number 10-IA additionally needs to be filled. Refer Post : Deduction under section 80U: For Disability of the Individual Himself.

  If Mr. X himself suffering from disability around 65%, What amount they can claim under section 80U?
Answer: Mr. X suffering from disability arround 65%, they can claim Rs. 75,000 under section 80U. Refer Post : Deduction under section 80U: For Disability of the Individual Himself.

  What is the amount of deduction under section 80U?
Answer: Deduction is depends on the disability, if person is suffering from disability at least 40% the amount of deduction is 75,000 or if suffering from disability at least 80% the amount of deduction is 1,25,000. Refer Post : Deduction under section 80U: For Disability of the Individual Himself.

  Who is eligible for deduction under section 80U?
Answer: If an Individual himself suffering from disability can claim deduction under section 80U. Refer Post : Deduction under section 80U: For Disability of the Individual Himself.

  Can I transfer my provident fund balance from previous employer to new one, whether it is taxable or not?
Answer: No, you can transfer your provident fund balance from one employer to another, it is not taxable. Refer Post : What is Provident Fund and Tax Liability.

  Can I withdraw my PF balance after 5 years or more of continuous service, whether it is taxable or not?
Answer: Fully Exempt, if you have withdrawal your provident fund balance after 5 years of continuous service. Refer Post : What is Provident Fund and Tax Liability.

  I am working in an organisation, My contribution is 12% or my employer contributes the same. Is employer’s contribution is covered under section 80C or not?
Answer: No, Only employee’s contribution is covered under section 80C. Refer Post : What is Provident Fund and Tax Liability.

  Contribution of employer’s is more than 12% during the year. is it taxable?
Answer: Yes, The Contribution made by an employer up to 12% is exempt from Income Tax. In excess of 12% of salary is treated as salary income of the employee and is taxable in the year in which year excess contribution is made. Refer Post : What is Provident Fund and Tax Liability.

  Commuted pension received on retirement is taxable or not?
Answer: Commuted pension received by Govt. employee or employee of local authorities or statutory corporations is fully exempt. and if it is received by Non Government employee there is two conditions. Refer Post : Who is eligible for Pension, their Exemption and Tax liability.

  Uncommuted pension is taxable or not?
Answer: It is fully taxable in the hands of all employees, whether government or non- government under the head “Income from Salary”. Refer Post : Who is eligible for Pension, their Exemption and Tax liability\.

  Can I avail Standard deduction announced in Budget 2018, against pension received?
Answer: Yes, from financial year 2018-19, there is a standard deduction of Rs. 40,000/- that can also be claimed under pension as it is a part of income under heads of salaries. Refer Post : Who is eligible for Pension, their Exemption and Tax liability.

  What is Family pension, whether it is taxable or not?
Answer: Pension received by a family member of any employee in case of death of an employee is family pension. Commuted family pension is tax free while non commuted pension is 1/3rd of the uncommuted pension or Rs.15000/- whichever is less is to be exempted from tax and balance is taxable. Refer Post : Who is eligible for Pension, their Exemption and Tax liability.

  To whom ESI Act is applicable?
Answer: All factories and establishments in which 10 or more persons are employed, even shops, restaurants, hotels, private education institutes etc. Refer Post : What is ESI contribution and its benefit.

  What is the wage rate under ESI Act?
Answer: The wage limit for coverage under the Act is Rs.21, 000/- per month. Refer Post : What is ESI contribution and its benefit.

  An Apprentice will be covered under ESI?
Answer: No, an apprentice will not be covered under ESI Act. Refer Post : What is ESI contribution and its benefit.

  What is pension scheme?
Answer: Pension is an amount which an employee gets after retirement for the past services, whether it is paid by government, a private company or any financial institutions. Refer Post : Who is eligible for Pension, their Exemption and Tax liability.

  Who is eligible for pension?
Answer: Person himself, his/her spouse, children below 25 years of age and/or an unmarried daughter can also receive the pension amount. Refer Post : Who is eligible for Pension, their Exemption and Tax liability.

  What is the type of pension?
Answer: There are two types of pension scheme. Commuted or Uncommuted. Refer Post : Who is eligible for Pension, their Exemption and Tax liability.

  What is ESI?
Answer: The Employees State Insurance act provides benefits to employees in case of sickness, maternity, injury and any accident occurred during employment. Refer Post : What is ESI contribution and its benefit.

  What is the contribution by an Employee or an Employer under ESI Act?
Answer: Employer’s contribution is 4.75% and Employee’s contribution is 1.75% of wages. Refer Post : What is ESI contribution and its benefit.

  Can I claim deductions under chapter VI-A, If I opt the presumptive taxation scheme of section 44AE?
Answer: Yes you can claim deduction under chapter VI-A, if you have opt taxation scheme under section 44AE. Refer Post : Tax scheme for Income of Transporters under section 44AE.

  Under LTA benefit, Food & Hotel expenses are allowed?
Answer: You can claim only travelling expenses with in India for LTA benefit. Refer Post : Leave Travel Allowance Exemption and Tax liability.

  Can NRIs claim rebate under section 87A?
Answer: This rebate is allowed for Resident Indian Only. Refer Post : Who Can Claim Rebate Under Section 87A.

  Can this rebate be claimed by anyone?
Answer: No, This rebate is allowed for Individuals not for HUF, Firm or Companies etc. Refer Post : Who Can Claim Rebate Under Section 87A.

  I have total income of Rs. 3,00,000 during the financial year 2017-18. can i avail the rebate under section 87A?
Answer: Yes, you can avail rebate of Rs. 2,500 or tax amount, whichever is less. this deduction is allowed for Individuals not for HUF, Firm or Companies etc. Refer Post : Who Can Claim Rebate Under Section 87A.

  I have total income of Rs. 4,50,000 during the financial year 2017-18. I have investment of Rs. 1,50,000 under 80C. can i avail the rebate under section 87A?
Answer: Yes, you can avail rebate under section 87A. Your total income after deductions not to exceed Rs. 3,50,000 during the financial year. Refer Post : Who Can Claim Rebate Under Section 87A.

  I have total income of Rs. 3,20,000 during the financial year 2017-18. can i avail the rebate under section 87A or what is my tax liability?
Answer: Yes, you can avail rebate under section 87A. As per income tax slab, tax amount on Rs. 3,20,000 comes to Rs. 3,500. you can avail rebate of Rs. 2,500 and your tax amount comes to Rs. 1,000+ 3% Ed. cess extra. Refer Post : Who Can Claim Rebate Under Section 87A.

  When an employee can claim LTA?
Answer: An employee can claim LTA twice a time in a block of 4 years. One time in first two years and second in next two years. Refer Post : Leave Travel Allowance Exemption and Tax liability.

  What is a block year in LTA?
Answer: Block year means block of 4 years for claiming LTA. Now it is 2018-2021 is a block year, previous block year was 2014-2017. Refer Post : Leave Travel Allowance Exemption and Tax liability.

  Who is eligible to travel with an employee to get LTA benefit?
Answer: The employee self, his spouse, two children and dependent parents, dependent brother or sister can travel to claim LTA. Refer Post : Leave Travel Allowance Exemption and Tax liability.

  Can I claim LTA for travelling out of India?
Answer: LTA can be claimed to travel with in India. Refer Post : Leave Travel Allowance Exemption and Tax liability.

  I reside with my parents, and not in a rented accommodation. Can I avail HRA exemption?
Answer: Yes, you can claim HRA even when residing with your parents in their accommodation. Refer Post : How to calculate House Rent Allowance (HRA) Exemption.

  GST
  What are the decisions taken in 35th GST Council Meeting?
Answer: Refer Post : 35th GST Council Meeting

  What are the new enhancements in E-way Bill system dated 23.04.2019?
Answer: The National Informatics Centre (“NIC”) has introduced certain new enhancements to the E-Way Bill (EWB) system dated April 23, 2019. The purpose of introduction of such enhancement is to ease the process of generation of E-Way Bill system by the taxpayers and the transporters. Refer Post : New Enhancements in e Way Bill System dated-23rd-April-2019

  If the PIN Code of both source and destination are same, what will be the amount of distance entered?
Answer: In case, the PIN Code of both source and destination are same, the user is allowed to enter distance up to a maximum of 100KMs. Refer Post : New Enhancements in e Way Bill System dated-23rd-April-2019

  If the distance shown between two PIN Codes are lower as compared to actual distance, what we will do?
Answer: if the system has displayed the distance between Place A and B, based on the PIN Codes, as 655 KMs, then the user is allowed to enter the actual distance covered up to 720KMs (655KMs + 65KMs). Refer Post : New Enhancements in e Way Bill System dated-23rd-April-2019

  What are the Highlights of 33rd GST Council meeting?

  What are the accounting enteries under GST?
Answer: Refer Post : Accounting Entry under GST

  What are the Key updates of 32nd GST Council Meeting?

  What has increased the threshold limit under Composition Scheme in 32nd GST council meeting?
Answer: GST council has increased the threshold limit of annual turnover for Composition scheme raised to Rs 1.5 crore from Rs. 1 Crore w.e.f. 1st April 2019. Refer Post : Key updates of 32nd GST Council Meeting

  What is the Composition scheme for Service Providers provided in 32nd GST council meeting?
Answer: Those providing services or mixed supplies (goods and services) with a turnover up to Rs. 50 lakh per annum will now be entitled to avail composition scheme. Refer Post : Key updates of 32nd GST Council Meeting

  What is the rate under Composition scheme for Service Providers charged in 32nd GST council meeting?
Answer: Compounding rate for services under composition scheme is fixed at 6 percent. Refer Post : Key updates of 32nd GST Council Meeting

  What is the change for filing returns under composition scheme in 32nd GST council meeting?
Answer: Businesses whose under GST Composition Scheme from April 1st 2019, has to file just one annual return, but pay taxes once every quarter. Refer Post : Key updates of 32nd GST Council Meeting

  What is the accounting entry when time of supply is the date of provision of service under GST?
Answer: Refer Post : Accounting Entry under GST

  What is the accounting entry for payment of GST liabilities through Cash or Bank Account under GST?
Answer: Refer Post : Accounting Entry under GST

  What are the key updates of 32nd GST council meeting?

  What has increased in threshold limit for GST registration in 32nd GST council meeting?
Answer: The Registration threshold limit under GST has increased to Rs. 40 lakh (earlier it was Rs. 20 lakh) for all states and Rs. 20 lakh (earlier it was Rs. 10 lakh) for NE and hill states. Refer Post : Key updates of 32nd GST Council Meeting

  What is the rate of cess imposed for Kerala State in 32nd GST council meeting?
Answer: GST Council allows Kerala to impose 1% calamity cess on intra-state sales for 2 years.This has been done to help the state cope up with natural disasters. Refer Post : Key updates of 32nd GST Council Meeting

  What is the Mixed Supply under GST?
Answer: Mixed supply means two or more individual supplies of goods or services, or any combination thereof, made in conjunction with each other by a taxable person for a single price where such supply does not constitute a composite supply. Refer Post : Mixed Supply and Composite Supply under GST

  What is the Composite Supply under GST?
Answer: Composite supply means a supply comprises two or more goods/services, which are naturally bundled and supplied in with each other in the ordinary course of business, one of which is a principal supply. Refer Post : Mixed Supply and Composite Supply under GST

  What is the time of supply under Composite Supply under GST?
Answer: If the composite supply involves supply of services as principal supply, such composite supply would qualify as supply of services and accordingly the provisions relating to time of supply of services would be applicable. Alternatively, if composite supply involves supply of goods as principal supply, such composite supply would qualify as supply of goods and accordingly, the provisions relating to time of supply of goods would be applicable. Refer Post : Mixed Supply and Composite Supply under GST

  What is the time of supply under Mixed Supply under GST?
Answer: The mixed supply, if involves supply of a service liable to tax at higher rates than any other constituent supplies, such mixed supply would qualify as supply of services and accordingly the provisions relating to time of supply of services would be applicable. Alternatively, the mixed supply, if involves supply of goods liable to tax at higher rates than any other constituent supplies, such mixed supply would qualify as supply of goods and accordingly the provisions relating to time of supply of services would be applicable. Refer Post : Mixed Supply and Composite Supply under GST

  What is the accounting entry for Purchase/Receipts of Goods or services under GST?
Answer: Refer Post : Accounting Entry under GST

  What is the accounting entry for Supply of Goods or services under GST?
Answer: Refer Post : Accounting Entry under GST

  What is the accounting entry when time of supply is the date of payment under GST?
Answer: Refer Post : Accounting Entry under GST

  What is the extended date for filing GSTR-4 for the period from July 2017 to September 2018 without late fees?
Answer: FORM GSTR-4 for the quarter from July, 2017 to September, 2018 by the due date but furnishes the said return between the period from 22nd December, 2018 to 31st March, 2019 vide Notification No. 77/2018. Refer Post : Waiver of Late Fees for Filing of GSTR-1 GSTR-3B and GSTR-4

  What is extended date for filing GSTR-1 for the period from July 2017 to September 2018 without late fees?
Answer: FORM GSTR-1 for the months/quarter from July, 2017 to September, 2018 by the due date but furnishes the said details in Form GSTR-1 between the period from 22nd December, 2018 to 31st March, 2019 vide Notification No. 75/2018. Refer Post : Waiver of Late Fees for Filing of GSTR-1 GSTR-3B and GSTR-4

  What is the extended date for filing GSTR-3B for the period from July 2017 to September 2018 without late fees?
Answer: FORM GSTR-3B for the months of July, 2017 to September, 2018 by the due date but furnishes the said return between the period from 22nd December, 2018 to 31st March, 2019 vide Notification No. 76/2018. Refer Post : Waiver of Late Fees for Filing of GSTR-1 GSTR-3B and GSTR-4

  What are the major changes under GST council 31st meeting?

  What is the due date for filing GST annual return for the financial uear 2017-18?
Answer: The due date for furnishing the annual returns in FORM GSTR-9, FORM GSTR-9A and reconciliation statement in FORM GSTR-9C for the Financial Year 2017 – 2018 shall be further extended till 30.06.2019. Refer Post : GST rates on goods and services reduced by GST Council

  What are the due date for filing GST returns?
Answer: Refer Post : Due dates for filing GST Returns

  What amount will be charged for late filing of GST returns?
Answer: In case if the taxpayer does not file his/her return with in the due dates as mentioned above, the late fee for filing GSTR-1, GSTR-3B, GSTR-4, GSTR-5 & GSTR-6 will be charged Rs. 50/day i.e. Rs. 25 per day in each CGST and SGST (in case of having tax liability) and Rs. 20/day i.e. Rs. 10/- day in each CGST and SGST (in case of Nil tax liability) subject to a maximum of Rs. 5000/-, from the due date till the date the returns are actually filed. There is no late fee on IGST. Refer Post : Due dates for filing GST Returns

  What is the rate of interest for late payment of Tax amount?
Answer: Interest is 18% per annum. It has to be calculated by the tax payer on the amount of outstanding tax to be paid. Time period will be from the next day of filing to the date of payment. Refer Post : Due dates for filing GST Returns

  What forms of return will be used for different tax payers?
Answer: Refer Post : Due dates for filing GST Returns

  What is the GSTR-9?
Answer: This is the annual return which is to be filed by the normal registered taxpayer once a year with all the consolidated details of SGST, CGST and IGST paid during the under GST. Refer Post : Comparison between GSTR-9 and GSTR-9C

  What is the GSTR-9C?
Answer: As per section 35(5) of CGST Act, every registered person whose turnover during the financial year exceeds the prescribed limit of Rs. 2 crore shall get his accounts audited by a chartered accountant or a cost accountant and shall submit a copy of the audited annual accounts, the reconciliation statement under sub-section (2) of section 44 which is called GSTR-9C and such other documents in such form and manner as may be prescribed. Refer Post : Comparison between GSTR-9 and GSTR-9C

  What is the difference between GSTR-9 and GSTR-9C?

  M/s ABC & company (Registered dealer) has purchased the goods from M/s SYG Alloys (Unregistered dealer) amounting to Rs 10,000. Should it pay GST under Reverse Charge Mechanism on the whole amount or the amount exceeding the threshold limit?
Answer: When the limit of Rs 5,000 in a day is crossed, the GST is payable on the entire amount of Rs 10,000. Refer Post : Reverse Charge Mechanism under GST (RCM)

  M/s XYZ & company (E-commerce operator) provides services of plumbers, electricians etc. to customers. Who will be liable to pay tax under reverse charge mechanism?
Answer: M/s XYZ & Company is liable to pay GST and collect it from the customers. Refer Post : Reverse Charge Mechanism under GST (RCM)

  Which Items of Profit & Loss attract GST under RCM?

  Which Items of Profit & Loss does not attract GST under RCM?

  List of supplies of Goods and Services under Reverse Charge Mechanism?

  What is Reverse charge mechanism (RCM) under GST?
Answer: Tax means GST which is charged on goods/ services supplied, always it is paid by the supplier against supplies of goods & services, but in certain cases the buyer has to pay GST under reverse charge on purchase of goods/supplies. This type of GST paid by the buyer is called Reverse charge mechanism. Refer Post : Reverse Charge Mechanism under GST (RCM)

  M/s ABC & company (Registered dealer) has purchased the goods from M/s SYG Alloys (Unregistered dealer) amounting to Rs 10,000. Under reverse charge mechanism who will be liable to pay GST?
Answer: Under reverse charge mechanism M/s ABC & Company will be liable to pay GST on purchase of Rs. 10,000. Refer Post : Reverse Charge Mechanism under GST (RCM)

  Mr. Ram is an agriculturist with an annual turnover of Rs. 10.00 lakh of agricultural produce. His supply of woven bags is Rs. 2.00 lakh. Whether he is required to register under GST or not if it is covered under special category state?
Answer: Mr. Ram has an annual turnover of Rs. 12.00 lakhs (i.e. Rs. 10.00 lakhs from agriculture produce + Rs. 2.00 lakh from supply of woven bags). Mr. Ram has to register himself under GST because the “Aggregate Turnover” exceeds the threshold limit of Rs. 10.00 lakh (under special category states) during the year. Refer Post : How to calculate Aggregate Turnover under GST

  Whether Taxes paid i.e. Central tax, State tax, Union territory tax, integrated tax and cess etc is included in Aggregate turnover under GST?
Answer: No, Taxes paid i.e. Central tax, State tax, Union territory tax, integrated tax and cess etc are not included while computation of Aggregate turnovere under GST. Refer Post : How to calculate Aggregate Turnover under GST

  What is an Aggregate turnover under GST?

  What is threshold limit in case of special category states under GST?
Answer: In case of special category states the Aggregate turnover threshold limit is Rs.10 lakhs. Refer Post : How to calculate Aggregate Turnover under GST

  What is threshold limit in normal case under GST?
Answer: In case of normal category the Aggregate turnover threshold limit is more than Rs.20 lakhs. Refer Post : How to calculate Aggregate Turnover under GST

  What states are covered under special category states under GST?

  Who are not required to file GSTR-9A?

  Which informations are required to be file under GSTR-9A?

  What is the amount of penalty or late fees will be charged for late filling of GSTR-9A?
Answer: Late fees for not filing the GSTR 9A within the due date is Rs. 100 per day per act i.e. CGST or SGST/UTGST. Refer Post : GSTR-9A Annual Return for Composition Dealers

  What is the maximum amount of penalty or late fees will be charged for late filling of GSTR-9A?
Answer: Maximum late fees per day cannot exceed 0.25% of the turnover in the state or union territory. Refer Post : GSTR-9A Annual Return for Composition Dealers

  What is GSTR-9?
Answer: The “GSTR-9” is the annual return to be filed by the normal registered taxpayer once a year with all the consolidated details of SGST, CGST and IGST paid during the under GST. Refer Post : GSTR-9 Annual Return for Normal Registered Taxpayers

  What is the due date to file GSTR-9?
Answer: GSTR-9 has to be filed on or before 31st December from the end of relevant financial year. Refer Post : GSTR-9 Annual Return for Normal Registered Taxpayers

  A Casual Taxable Person is required to file GSTR-9?
Answer: No, A Casual Taxable Persona is not required to file GSTR-9. Refer Post : GSTR-9 Annual Return for Normal Registered Taxpayers

  Which informations are required to be file under GSTR-9?

  What is GSTR-9A?
Answer: The “GSTR-9A” is the annual return to be filed once in a year by taxpayers who have opted for the Composition Scheme under GST. Refer Post : GSTR-9A Annual Return for Composition Dealers

  What is the due date to file GSTR-9A?
Answer: GSTR-9A has to be filed on or before 31st December from the end of relevant financial year. Refer Post : GSTR-9A Annual Return for Composition Dealers

  What is the meaning of Capital Goods under GST?
Answer: As per provisions of section 2 (19) of the Act, “Capital goods” means goods, the value of which is capitalised in the books of account of the person claiming the input tax credit and which are used or intended to be used in the course or furtherance of business. Capital goods are like Plant & Machinery, Furniture, Equipment’s & Vehicle etc. used for production of goods. Refer Post : GST credit on Capital Goods

  Can input tax credit on capital Goods which are used for personal purpose or for exempted sales can be availed?
Answer: No ITC Availed if the goods are used for personal purpose or for exempted sales. Refer Post : GST credit on Capital Goods

  Can input tax credit on Capital Goods which are partially used for personal/exempted sales or partially for normal business use can be availed?
Answer: Refer Post : GST credit on Capital Goods

  How to calculate reversal of input tax credit availed on capital goods?
Answer: Refer Post : GST credit on Capital Goods

  What is the treatment of input tax credit on capital goods send for job work?
Answer: Refer Post : GST credit on Capital Goods

  How to calculate output tax credit on sale of capital goods?
Answer: Refer Post : GST credit on Capital Goods

  List of items which are not eligible for input tax credit under GST?

  When E-way bill is not required to be issued?

  What is E-way Bill under GST?

  When E-way Bill should be issued mandatory?

  Who is required to issue E-way Bill?

  Who will be issued E-way bill in case of Transport of goods by Rail or Vessel or Air?
Answer: When Goods are transported by rail, by vessel or by air the e-way bill shall be generated by the registered person (either supplier or recipient). This e-way bill shall be generated either before or after the commencement of movement of goods and the information should be furnished in part B of GST EWB 01. Refer Post : Information about E-Way bill Under GST

  Who will be issued E-way bill in case of goods transported through Courier Agency or E-Commerce Operator?
Answer: If the goods are transported through courier agency or e-commerce operator on an authorization received from the consignor, the information in Part A of GST EWB 01 may be furnished by such persons. Refer Post : Information about E-Way bill Under GST

  In which circumstances a special audit is conducted?
Answer: Refer Post : Audit under GST

  When GST Audit is required?
Answer: Refer Post : Audit under GST

  When it is compulsory to get audit their annual accounts?
Answer: It is required for the registered dealer, if his total turnover for the financial year exceeds Rs. 2.00 crore shall get his accounts audited by Chartered Accountant or Cost Accountant and shall submit a copy of audited annual accounts. Refer Post : Audit under GST

  In which time period a General audit ordered by Commissioner is conducted?
Answer: Refer Post : Audit under GST

  What is the GST rate on "Sal Leave"?
Answer: Earlier it falls under 18% GST rate category, now it is exempted from GST. Refer Post : List of Revised GST Tax Rates

  From which date the new revised rates of GST are effective"?
Answer: The new revised GST rates on various goods and services, applicable w.e.f. 27th July 2018. Refer Post : List of Revised GST Tax Rates

  What is the GST rate on "Fortified milk"?
Answer: Now, It is exempted from GST. Refer Post : List of Revised GST Tax Rates

  What is the GST rate on "Beet and cane sugar"?
Answer: Now, It is falling under GST rate of 5%. Refer Post : List of Revised GST Tax Rates

  What is the GST rate on "Kota stone and similar stones"?
Answer: Unpolished Kota stone and similar stones [ other than marble and granite] is falling under GST rate of 5%, while polished Kota stone and similar stones (ready to use) is falling under GST rate of 18%. Refer Post : List of Revised GST Tax Rates

  What is the revised GST rate list of goods & services?
Answer: The GST council in 28th meeting held on 21st July 2018, the Government has reduced the GST rates on various goods and services. Refer Post : List of Revised GST Tax Rates

  What is the GST rate on "Sanitary Napkins"?
Answer: Earlier it falls under 12% GST rate category, now it is exempted from GST. Refer Post : List of Revised GST Tax Rates

  What is the late fees and penalty for non filing of GSTR-1?
Answer: The late fees have been reduced to Rs. 50 per day (i.e. Rs. 25/- on account of CGST or Rs. 25/- on account of SGST) and Rs 20 per day (i.e. Rs. 10/- on account of CGST or Rs. 10/- on account of SGST) in case of Nil return. Refer Post : Introduction about GSTR-1

  How to e-file GSTR-1?
Answer: Refer Post : How to file GSTR-1

  If the registered person having turover over to Rs. 1.50 crore in the financial year, what will be the due date to file GSTR-1?
Answer: By the 11th of the next month. Refer Post : Due date has been extended for filing GSTR-1

  Whether any person has not filed the GSTR-1 for the month of May 2018 till 05.10.2018, can he file the return as on date or what is the amount of penalty will be charged?
Answer: The finance ministry has announced that the due date for filing return from July 2017 to Septermber 2018, can be filed up to 31.10.2018, without any fine or penalty. Refer Post : Due date has been extended for filing GSTR-1

  If any person registered in kerala, having turover up to Rs. 1.50 crore in the financial year, what will be the due date to file GSTR-1 for the quarter July 18 to September 18?
Answer: By the 15th November, he can file his return without any fine or penalty. Refer Post : Due date has been extended for filing GSTR-1

  What is the GSTR-1?
Answer: GSTR-1 is a monthly or quarterly return that should be filed by every registered dealer. It contains details of all outward supplies i.e. sales, details of business irrespective of whether the transaction was done or not in a month. Refer Post : Introduction about GSTR-1

  Who should file GSTR-1?
Answer: Refer Post : Introduction about GSTR-1

  Can GSTR-1 be revised?
Answer: GSTR-1 once filed cannot be revised. Any mistake made in the return can be altered by amendment in the next month’s return. Refer Post : Introduction about GSTR-1

  If the registered person having turover up to Rs. 1.50 crore in the financial year, what will be the due date to file GSTR-1?
Answer: By the 31st of the next quarter. Refer Post : Due date has been extended for filing GSTR-1

  If, landlord or tenant are registered in different states but the property is situated in same state of landlord registered, whether IGST, CGST or SGST what will be charged?
Answer: SGST or CGST @ 9% equally will be charged. Refer Post : GST on Rental Income of Immovable Property

  What is the GST rate for canteen services provided in factories, schools, institutions etc.?
Answer: The GST will be charged @ 5%. Refer Post : GST on Canteen or Outdoor Catering Services

  What is the GST rate for catering services provided at Railway?
Answer: The GST will be charged @ 5%. Refer Post : GST on Canteen or Outdoor Catering Services

  What is the GST rate for catering services provided at Mariage halls, conferences or other outdoor parties?
Answer: The GST will be charged @ 18%. Refer Post : GST on Canteen or Outdoor Catering Services

  What is the GST rate for catering services provided at parties occasionally?
Answer: The GST will be charged @ 18%. Refer Post : GST on Canteen or Outdoor Catering Services

  Whether GST will be charged on house property rented for residential purpose?
Answer: No, the residential property rented for residential purpose is exempt under GST. Refer Post : GST on Rental Income of Immovable Property

  Whether GST will be charged on property rented for commercial purpose?
Answer: Yes, the property rented for commercial purposes is taxable under GST. Refer Post : GST on Rental Income of Immovable Property

  What is the rate of GST charged on rental income?
Answer: The rate of GST is 18%. Refer Post : GST on Rental Income of Immovable Property

  My rental income for the year is Rs.18.00 lakhs, whether i have to pay GST or not?
Answer: No, The total value of services provided, and goods supplied by the landlord during the financial year is less than Rs. 20.00 lakh or Rs. 10.00 lakh for specified states. Refer Post : GST on Rental Income of Immovable Property

  If, landlord or tenant are registered in the same state or the property is also situated under the same state, whether IGST, CGST or SGST what will be charged?
Answer: SGST or CGST @9% equally will be charged. Refer Post : GST on Rental Income of Immovable Property

  "If an advertisement agency buys space from the newspaper and sells such space for advertisement to clients on its own account." what will be the rate of GST charged?
Answer: GST will be charged @ 5%. Refer Post : GST on selling advertisement space on Print Media

  "If the advertisement agency sells space for advertisement as an agent of the newspaper on commission basis." what will be the rate of GST charged?
Answer: It would be liable to pay GST at 18 per cent on the sale commission it receives from the newspaper. Refer Post : GST on selling advertisement space on Print Media

  "If a Newspaper sells advertisement space directly to clients". What will be the rate of GST charged?
Answer: GST will be charged @ 5%. Refer Post : GST on selling advertisement space on Print Media

  If “Hindustan Times” (Newspaper), sells a unit of space worth Rs 50,000 to any client says “Hindustan Liver Limited” directly. What will be GST liability?
Answer: The Hindustan Times, newspaper would be liable to pay GST @ 5% on Rs 50,000 which comes to Rs. 2,500/-
&
The client “Hindustan Liver Limited” can take input tax credit (ITC) of Rs 2,500/-. Refer Post : GST on selling advertisement space on Print Media

  From which date the provision of TCS applicable under GST?
Answer: For all e-commerce operators/companies w.e.f.1st October 2018, have to deduct 1% tax collected at source (TCS) before making payments to their suppliers. Refer Post : Provisions of TCS under GST

  What is the rate of TCS charged under under GST?
Answer: TCS will be charged @ 1% (0.5% on CGST + 0.5% SGST or 1% for IGST). Refer Post : Provisions of TCS under GST

  What is the time limit for payment of TCS charged under under GST?
Answer: The deductor shall be required to pay the deducted amount of TCS within 10 days after the end of the month of collection. Refer Post : Provisions of TCS under GST

  In which form statement of return filing of TCS under under GST?
Answer: The deductor is liable to file monthly statement in “FORM GSTR-8” within a period of 10 days from the end of the month, or also file Annual statement in “Form GSTR-9B” before 31st December following the end of the financial year. Refer Post : Provisions of TCS under GST

  The person who is liable to deduct TDS under GST?
Answer: Refer Post : Provisions of TDS under GST.

  What is the rate of TDS under GST?
Answer: TDS will be deducted @ 2% (1% on CGST + 1% SGST or 2% for IGST). Refer Post : Provisions of TDS under GST.

  When TDS to be deducted under GST?
Answer: TDS to be deducted at the time of payment or credit to the supplier of taxable goods or services, if the total value of supply under the contract exceeds Rs. 2,50,000/-. Refer Post : Provisions of TDS under GST.

  When TDS is not to be deducted under GST?
Answer: If the contract value does not exceed Rs. 2,50,000/-, the applicability of TDS on GST, is considering individual contact value not the value of total number of contacts  OR If the location of registration of recipient is different from the location of supplier and place of supply. Refer Post : Provisions of TDS under GST.

  What is the time limit for payment of TDS deducted under GST?
Answer: The deductor shall be required to pay the deducted amount of TDS within 10 days after the end of the month in which such deduction is made. Refer Post : Provisions of TDS under GST.

  What is the time limit for issuance of TDS certificate and any penalty will be charged for non issuance of TDS certificate with in the time prescribed limit under GST?
Answer: TDS certificate is required to be issued by deductor, in "Form GSTR-7A" to the deductee, within 5 days of crediting the amount to the Government, otherwise the deductor should be liable to pay a late fee of Rs. 100/- per day from the expiry of the 5th day till the certificate is issued. This late fee would not be more than Rs. 5000/-. Refer Post : Provisions of TDS under GST.

  What is the due date of filing TDS return or in which form it is filed?
Answer: The deductor is liable to file GST return in "FORM GSTR-7" within a period of 10 days from the end of the month, otherwise the deductor should be liable to pay a late fee of Rs. 100/- per day for each day for which the failure continues subject to a maximum of Rs. 5000/-. Refer Post : Provisions of TDS under GST.

  The person who is liable to collect TCS under GST?
Answer: Under Section 52, an Electronic Commerce Operator is liable to collect TCS only if the supply has been made through such Operator by other suppliers and the consideration is collected by the Electronic Commerce Operator, not being an agent. Refer Post : Provisions of TCS under GST

  What is the defination of “Electronic Commerce Operator” under GST?
Answer: “Electronic Commerce Operator” is defined as any person who owns, operates or manages digital or electronic facility or platform for electronic commerce. Refer Post : Provisions of TCS under GST

  What is the “Net Value of Taxable Supplies” under GST?
Answer: “Net Value of Taxable Supplies” means (Aggregate Value of Taxable Supplies of Goods/Services) – Services under section 9(5) – (Aggregate Value of Returned Taxable Supplies/Goods). Refer Post : Provisions of TCS under GST

  From which date the provision of TDS under GST is effective?
Answer: Yes, The Provision of TDS under GST is effective from 01st October 2018, under Notification No. 50/2018- Central Tax dated 13th September 2018. Refer Post : Provisions of TDS under GST.

  Who is liable to pay GST under Reverese Charge Mechanism?
Answer: Refer Post : GST on Goods Transport Agency.

  What are the GST rates under GTA?
Answer: Refer Post : GST on Goods Transport Agency.

  What are the exemption of GST under GTA?
Answer: Refer Post : GST on Goods Transport Agency.

  What are the benefits of Voluntary registration?
Answer: Refer Post : Voluntary Registration under GST.

  What are the disadvantages of Voluntary registration?
Answer: Refer Post : Voluntary Registration under GST.

  Iput tax credit can be availed under Voluntary registration?
Answer: Refer Post : Voluntary Registration under GST.

  Interstate sale can be made under Voluntary registration?
Answer: Refer Post : Voluntary Registration under GST.

  What is GTA under GST?
Answer: Refer Post : GST on Goods Transport Agency.

  Whether Goods Transport Agency is liable to GST under GST?
Answer: Refer Post : GST on Goods Transport Agency.

  What is Voluntary registration?
Answer: Refer Post : Voluntary Registration under GST.

  What is "Agreegate Turnover" under GST?

  What are the categories for which registration of GST is mandatory?

  Why registration of GST required in India?

  What is the registration process under casual taxable person?
Answer: Refer Post : Casual Taxable Person under GST.

  Return in which form to be submitted by casual taxpayer?
Answer: Refer Post : Casual Taxable Person under GST.

  Is it necessary for casual taxpayer to deposit tax in advance?
Answer: Yes, Refer Post : Casual Taxable Person under GST.

  Who is Casual Taxable Person under GST?
Answer: Refer Post : Casual Taxable Person under GST.

  What are the registration requirement for casual taxable person?
Answer: Refer Post : Casual Taxable Person under GST.

  What is SGST input tax credit, whether it can be adjusted with IGST payable, CGST payable or SGST payable?

  What is the difference between SGST, CGST and IGST?

  What is the composition scheme?
Answer: Refer Post : Composition Scheme Under GST.

  What is the eligibility under composition scheme?
Answer: Refer Post : Composition Scheme Under GST.

  Who cannot opt composition scheme?
Answer: Refer Post : Composition Scheme Under GST.

  What are the conditions under composition scheme?
Answer: Refer Post : Composition Scheme Under GST.

  Which form of return is to be filed under composition scheme?
Answer: Refer Post : Composition Scheme Under GST.

  What are the benefits and drawbacks of composition scheme?
Answer: Refer Post : Composition Scheme Under GST.

  What is IGST?
Answer: Refer Post : What is CGST, SGST and IGST.

  What is CGST?
Answer: Refer Post : What is CGST, SGST and IGST.

  What is SGST?
Answer: Refer Post : What is CGST, SGST and IGST.

  What is IGST input tax credit, whether it can be adjusted with IGST payable, CGST payable or SGST payable?

  What is CGST input tax credit, whether it can be adjusted with IGST payable, CGST payable or SGST payable?

  Information Technology
  What about ARKit under Augmented Reality?
Answer: ARKit is launched by Apple for iOS operating system. Refer Post : What is Augmented Reality

  What about ARCore under Augmented Reality?
Answer: ARCore launched by Google on Android operating system. Refer Post : What is Augmented Reality

  What are the types of Augmented Reality?
Answer: There are 4 types of augmented reality. Refer Post : What is Augmented Reality

  What is Augmented Reality?
Answer: Augmented reality is a method by which we can alter our real world by adding some digital elements to it. AR Enriches Perception with Virtual Elements in the Physical World i.e. to bring computer generated objects into the real world, which only the user can see. Users can see their products in 3D in a real-life environment and in real-time through tablets or smartphones to drive sales and improve user engagement. Refer Post : What is Augmented Reality

  Banking
  What is the revised Interest rate of Punjab National Bank on term deposits w.e.f. 01.09.2019?

  What is the revised Interest rate of Punjab National Bank on saving accounts w.e.f. 01.09.2019?

  What is CIBIL?
Answer: The Credit Information Bureau (India) Limited (CIBIL) is the credit information company licensed by Reserve Bank of India. Earlier, banks were finding it difficult to verify customer’s background for credit worthiness before approving of loan. Credit Information Companies are specialized institutions who maintain and record related credits and loans of customers and commercial entities. Refer Post : Information about CIBIL

  What is the role of CIBIL?
Answer: This company is engaged in maintaining the records of all the credit-related activities of companies as well as individuals i.e. credit cards and loans etc. The registered member banks and several other financial institutions periodically submit their information to CIBIL. Based on the information and record provided by these institutions, CIBIL issues a CIR (Credit Information Report) as well as a credit score which provide lenders to an idea about customers present and past borrowing history including their repayments. Refer Post : Information about CIBIL

  What are the objective of CIBIL?
Answer: Collaborate and collect all credit related data from the market and create a Credit report. To provide all relevant information regarding the credit history of the loan/credit card applicant to the Lender. Refer Post : Information about CIBIL

  What are the uses of CIBIL?
Answer: Refer Post : Information about CIBIL

  Whether Demat account can be freezed?
Answer: Freezing of Demat accounts is a good option if one does not want any unexpected debits or credits in the account. The freezing option is also available for a specific quantity of securities for a specific time period held in the account. Refer Post : Demat Account their Features and Benefits

  Whether securities are required to keep in physical form under Demat account?
Answer: No, A Demat Account holds all the investments an individual makes in shares, government securities, exchange traded funds, bonds and mutual funds in one place. Refer Post : Demat Account their Features and Benefits

  How to Open Demat Account?

  What documents are required for opening a Demat Account?

  How to use Demat Account?

  What are the features of Demat Account?

  What are the benefits of Demat Account?

  What is Dematerialisation and Rematerialisation of Securities under Demat Account?
Answer: Dematerialisation refers to the conversion of securities into electronic form and conversion of electronic form securities into physical form is called Rematerialisation. Refer Post : Demat Account their Features and Benefits

  What is Demat Account?
Answer: Demat Account provides the facility of holding shares and securities in electronic format. During online trading, shares are bought and held in a demat account, thus facilitating easy trade for the users. Stocks in Demat account remain in dematerialized form. Refer Post : Demat Account their Features and Benefits

  What are the payment modes under Bharat Bill Payment System (BBPS)?
Answer: The payment modes options at BBPS are cash, cards (credit, debit cards), IMPS, UPI, AEPS, internet banking, UPI and wallets. Refer Post : Bharat Bill Payment System (BBPS)

  What are the payment channels under Bharat Bill Payment System (BBPS)?
Answer: BBPS is a centralised bill payment system for everyday bills of consumers. It covers repetitive payments for everyday utility services such as electricity, water, gas, telecom and Direct-to-Home (DTH), as mentioned on Bharat Bill Payment Systems official website. Refer Post : Bharat Bill Payment System (BBPS)

  What is ECS?
Answer: Electronic Clearing System (ECS), is an electronic mode of funds transfer from one bank account to another. It can be used by institutions for making payments such as distribution of dividend interest, salary, pension, among others. It can also be used to pay bills and other charges such as telephone, electricity, water or for making equated monthly installments payments on loans as well as SIP investments. ECS can be used for both credit and debit purposes. Refer Post : Difference between NACH and ECS

  Difference between NACH and ECS?
Answer: Refer Post : Difference between NACH and ECS

  What are the objectives of National Automated Clearing House (NACH)?

  What are the benefits of National Automated Clearing House (NACH)?

  How National Automated Clearing House (NACH) works?

  What is the Bharat Bill Payment System (BBPS)?
Answer: The Bharat bill payment system is a Reserve Bank of India (RBI) conceptualised system driven by National Payments Corporation of India (NPCI). It is a one-stop ecosystem for payment of all bills providing an interoperable and accessible “Anytime Anywhere” bill payment service to all customers across India with certainty, reliability and safety of transactions. Refer Post : Bharat Bill Payment System (BBPS)

  What are the key participants under Bharat Bill Payment System (BBPS)?
Answer: Refer Post : Bharat Bill Payment System (BBPS)

  How Bharat Bill Payment System (BBPS) works?
Answer: Refer Post : Bharat Bill Payment System (BBPS)

  What are the features under National Financial Switch (NFS)?

  What is Cheque Truncation System (CTS)?
Answer: Cheque Truncation System brings elegance to the whole activity of cheque processing & clearing and offers numerous benefits to banks like time and cost savings, cost effectiveness, including human resource rationalization, business process re-engineering and enhanced customer service. Refer Post : What is Cheque Truncation System (CTS)

  What are benefits of Cheque Truncation System (CTS)?

  What is Cheque Truncation System (CTS) scenario?

  What is National Automated Clearing House (NACH)?
Answer: NACH is the centralised web-based payment solution that helps the banks, corporate sectors, government and other financial institutions to handle bulk payments. High volume transactions such as dividend and salary pay by the corporate, subsidies and pensions payment by the government and such can be easily done through NACH. The system will also assist the financial institutions and corporate to receive high volume payments as well. High volume payments that consist of water, electricity, telephone bills, loan amounts, EMIs, mutual fund investments payments can be received through NACH solution. Refer Post : What is National Automated Clearing House (NACH)

  What are the Fund Transfer limit under NEFT, RTGS, IMPS or UPI?

  Which one is the best for Fund Transfer whether NEFT or RTGS or IMPS or UPI?

  What is NEFT?
Answer: NEFT is a nation-wide payment system. There is no minimum or maximum limit of fund transfer through NEFT. NEFT is available on internet banking, mobile banking and at the bank branches. The Timing of NEFT is from 8.00 AM to 6.30 PM from Monday to Saturday (Except 2nd and 4th Saturday). NEFT transactions are settled in batches. Refer Post : Fund Transfer limit under NEFT, RTGS, IMPS or UPI

  What is RTGS?
Answer: RTGS is the best method of fund transfer for a big amount. The system is managed by the RBI. There is minimum limit of Rs. 2.00 lakh but there is no maximum limit of fund transfer through RTGS. Money under RTGS transfers instantly. The timing of RTGS is from 8:00 AM to 4:30 PM from Monday to Saturday (Except 2nd and 4th Saturday). Refer Post : Fund Transfer limit under NEFT, RTGS, IMPS or UPI

  What is IMPS?
Answer: IMPS is an instant payment inter-bank electronic funds transfer system in India. IMPS offer an inter-bank electronic fund transfer service through mobile phones. Unlike NEFT and RTGS, the service is available 24/7 throughout the year including bank holidays. Refer Post : Fund Transfer limit under NEFT, RTGS, IMPS or UPI

  What is UPI?
Answer: UPI is a platform provided by NPCI to facilitate inter-operability amongst multiple bank accounts into a single mobile application (of any participating bank), merging several banking features, seamless fund routing & merchant payments into one hood. There are many UPI apps available at Google Play store. Refer Post : Fund Transfer limit under NEFT, RTGS, IMPS or UPI

  How funds can be transfered/ remittance through IMPS?

  What is National Financial Switch (NFS)?
Answer: NFS has established a strong and sustainable operational model with in-house capabilities and today can be compared at par with other major and well-established switch networks. NFS is the largest network shared Automated Teller Machines (ATMs) in India. It aims to interconnect all the ATM’s in the country and facilitate easy banking to the users. NFS connects the ATM of member banks under a single network. Refer Post : How National Financial Switch (NFS) works

  What types of services are offered by National Financial Switch (NFS)?

  What are the benefits of RuPay Card?
Answer: Refer Post : RuPay Card and their benefits

  What is the Unified Payments Interface (UPI) APP?
Answer: UPI stands for Unified Payments Interface (UPI) which is a platform provided by NPCI to facilitate inter-operability amongst multiple bank accounts into a single mobile application (of any participating bank), merging several banking features, seamless fund routing & merchant payments into one hood. Refer Post : Unified Payments Interface (UPI) APP

  What are the feature under UPI APP?

  How to register under UPI APP?

  What is the daily transaction limit under UPI APP?
Answer: You can send money up to ?1 lakh in a transaction. However, Some UPI apps have set a limit for per transaction. Refer Post : Unified Payments Interface (UPI) APP

  What are the number of transaction limit under UPI APP?
Answer: you can’t pay more than 10 times using the BHIM in 24 hours from an account. This limit of 10 transactions is applicable across the UPI apps. Refer Post : Unified Payments Interface (UPI) APP

  What are the benefits of UPI APP?

  What is Bharat Interface for Money (BHIM) APP?
Answer: BHIM app is a very simple & easy to understand & having feature of quick payment transactions using Unified Payment Interface (UPI) platform. It helps to make India cashless system. Refer Post : Bharat Interface for Money (BHIM) APP

  What are the feature under BHIM APP?

  How to register under BHIM APP?

  What is the daily transaction limit under BHIM APP?
Answer: The daily limit for BHIM app transaction is ?40,000. Refer Post : Bharat Interface for Money (BHIM) APP

  What are the number of transaction limit under BHIM APP?
Answer: you can’t pay more than 10 times using the BHIM in 24 hours from an account. This limit of 10 transactions is applicable across the UPI apps. Refer Post : Bharat Interface for Money (BHIM) APP

  What is the RuPay Card?
Answer: RuPay card scheme launched by the National Payments Corporation of India (NPCI) has been conceived to fulfill RBI’s vision to offer a domestic, open-loop, multilateral system which will allow all Indian banks and financial institutions in India to participate in electronic payments. Refer Post : RuPay Card and their benefits

  Can I apply for SGBs online?
Answer: Yes, you can apply for these bonds online by visiting the official website of designated commercial banks issuing these bonds. Refer Post : Sovereign Gold Bonds Scheme

  What are the features of Sovereign Gold Bonds?
Answer: Refer Post : Sovereign Gold Bonds Scheme

  What are the tax treatment under Sovereign Gold Bonds?
Answer: No capital gain tax will be charged if you hold it until maturity or say redeem it after its maturity, otherwise Long term capital gain will be taxed @ 20% with indexation benefit after 3 years of holding otherwise charged as Short term capital gain at normal slab rate. Interest received thereon is taxable. Refer Post : Sovereign Gold Bonds Scheme

  Who can invest under Sovereign Gold Bonds scheme?
Answer: Any Indian Resident- for example an Individual, HUF, Trust, charitable institutions or universities can invest in sovereign gold bonds, even an Individual can purchase on behalf of minor or in the joint name. Refer Post : Sovereign Gold Bonds Scheme

  What is Sovereign Gold Bonds Scheme?
Answer: Sovereign gold bonds are issued by Reserve Bank of India on the behalf of the Government of India. This is in the form of bonds not in physical gold. The value of bonds is denominated in multiples of gold grams. Investment in physical gold always remain fear of theft and incur expenses for their wear/tear for example to keep in locker, you have to pay locker rent annually. Sovereign gold bonds are safe because they are in the form of bonds not in the form of physical gold. Refer Post : Sovereign Gold Bonds Scheme

  What is saving bank account?

  What is current account?

  Difference between Saving bank account and Current Account?

  Accounting
  What is the difference between gross total income and total income?

  What is Gross Total Income?
Answer: Gross Total Income means Income received from all sources of Income i.e. Income from Salary (if any) +Income from House Property (if any) + Profits and gains of business or profession (if any) + Income from Capital Gain (if any) + Income from other sources (if any). Refer Post : Difference between Gross Total Income and Total Income

  What is Total Income?
Answer: Total Income is the income on which tax liability is determined means Gross Total Income less Deductions (under section 80C to 80U), if any. Refer Post : Difference between Gross Total Income and Total Income

  How to calculate Total Income?

  Whether exemption under section 10 will be included in Gross Total Income or not?
Answer: Incomes which are exempted under section 10 will be not included in computation of Gross Total Income. Refer Post : Difference between Gross Total Income and Total Income

  Whether deductions under section 16 will be included in Gross Total Income or not?

  Whether Inter source losses, inter head losses, brought forward losses, unabsorbed depreciation etc will have to be adjusted while computing the gross total income or not?
Answer: Inter source losses, inter head losses, brought forward losses, unabsorbed depreciation, etc., (if any) will have to be adjusted while computing the gross total income. Refer Post : Difference between Gross Total Income and Total Income

  What is the difference between Bill of Exchange and a Promissory Note?

  What is a Promissory Note?
Answer: A promissory note is an instrument in writing (not being a bank note or a currency note) containing an unconditional undertaking, signed by the maker, to pay a certain sum of money only to, or to the order of, a certain person. Refer Post : Difference between Bill of Exchange and a Promissory Note

  What is Bill of Exchange?
Answer: A bill of exchange is an instrument in writing containing an unconditional order signed by the maker, directing a certain person to pay a certain sum of money only to, or to the order of, a certain person or to the bearer of the instrument. Refer Post : Difference between Bill of Exchange and a Promissory Note

  What is the difference between Receipt & Payment Account and Income & Expenditure Account?

  What are the features of Non profit organisations?

  Whether Trading and Profit & Loss account is to be prepared for Non profit organisations?
Answer: These Organisations do not prepare Trading and Profit & Loss Account, at the end of the accounting period they prepare Receipts and Payments Account and Income and Expenditure Account. Refer Post : Financial Statements of Non-Profit Organisations

  Whether Balance sheet is to be prepared for Non profit organisations?
Answer: Yes, The organizations prepare its balance sheet so that they can know the financial position of their organization. It is prepared by taking assets and liabilities and also fund based items. Refer Post : Financial Statements of Non-Profit Organisations

  What is the source of income under Non profit organisations?

  Meaning of Non profit organisations?
Answer: As the name clear that the motive of creation of these organizations are non-profit making. The aims of these organisations are not to earn profits but to render services to its members and to the public. This includes Hospitals, Libraries, Schools, Clubs, Religious institutions, charitable institutions and Societies etc., their primary motive of providing services. Refer Post : Financial Statements of Non-Profit Organisations

  What is the Difference between Provision and Reserve?

  Capital Reserves can be used for distribution of Dividend?
Answer: Capital Reserves are used to write off Capital losses and for the issue of fully paid bonus shares. Usually, Capital Reserves are not available for distribution as cash dividends. Some capital reserves can however be utilized to distribute dividends subject to fulfillment of the some conditions. Refer Post : What are the Provisions and Reserves

  What are the Revenue Reserves?
Answer: Revenue Reserve as “that portion, or any detail thereof, of the net worth or total equity of an enterprise representing retained earnings available for withdrawal by proprietors. Refer Post : What are the Provisions and Reserves

  Types of Revenue Reserves?
Answer: Revenue Reserve are of two types General Reserve or Specific Reserve. Refer Post : What are the Provisions and Reserves

  What are the Provisions?
Answer: The amount written off or retained by way of providing for depreciation, renewals or diminution in the value of assets; or The amount retained by way of providing for any known liability of which the amount cannot be determined with substantial accuracy. Refer Post : What are the Provisions and Reserves

  What are the purposes for creating Provisions?

  What are the benefits for creating Provisions?

  What are the Reserves?
Answer: Reserves mean amounts set aside out of profits and other surpluses to meet future uncertainties. In other words, a reserve is meant for meeting any unknown liability or loss in the future. Reserve does not represent any expense or loss and as such it is not debited to Profit & Loss Account. Creation of reserve does not reduce the net profits but only reduces the divisible profits. Refer Post : What are the Provisions and Reserves

  What are the purposes for creating Provisions?

  What are the types of Provisions?

  What is the Capital Reserve?
Answer: In addition to the normal profit, capital profits are also earned in the business for many sources. The reserves created out of such capital profits are known as Capital Reserves. Profits received from the following sources are termed as fixed assets are treated as Capital Reserves. Refer Post : What are the Provisions and Reserves

  What is Current Liabilities?
Answer: Current Liabilities refer to those liabilities which are to be paid in near future, usually within a year. Refer Post : Classification of Assets and Liabilities

  What is Contingent Liabilities?
Answer: The liabilities which are not the liabilities of the firm on the date of the Balance Sheet but may become liabilities in future on happening of an uncertain event are all called contingent liabilities. Refer Post : Classification of Assets and Liabilities

  What is the Revenue Expenditure?
Answer: Expenses incurred where the full benefit of which is received during one accounting period is termed as revenue expenditure, such expenses are debited to Trading and Profit & loss Account. The expenditure which is incurred on a regular basis for conducting the operational activities of the business are known as Revenue expenditure like the purchase of stock, carriage, freight, etc. Refer Post : Difference between Capital Expenditure and Revenue Expenditure

  What is Deferred Revenue Expenditure?
Answer: There are certain expenditures which are revenue nature but the benefit of which is likely to be derived over a number of years. Such expenditures are termed as “Deferred Revenue Expenditures”. The benefit of such expenditure generally lasts between 3 to 7 years. The whole expenditure is not debited to the Profit and Loss Account of the current year but spread over the years for which the benefit is likely to last, only a part of such expenditure is taken to Profit & Loss Account every year and the unwritten off portion is allowed to stand on the assets side of the Balance Sheet. Refer Post : Difference between Capital Expenditure and Revenue Expenditure

  What is the difference between Capital Expenditure and Revenue Expenditure?

  What is the Capital Expenditure?
Answer: Expenses incurred for purchase or erection of fixed assets i.e. Land, Building, Plant & Machinery, Furniture, Equipment, Vehicles etc. i.e. capital assets are called Capital Expenditure. Such expenditure yields benefit over a long period and hence written in Assets. Refer Post : Difference between Capital Expenditure and Revenue Expenditure

  What is Non Current Assets?
Answer: Non-Current Assets are those assets which are held for continued use in the business for the purpose of producing goods or services and are not meant for sale. Non-Current Assets are long term investments and fixed assets. Refer Post : Classification of Assets and Liabilities

  What is Tangible Assets or Intangible Assets?
Answer: Tangible assets are those assets which can be seen and touched. Those assets which have a physical existence such as Land & Building, Plant & Machinery, Equipment, Computer, Motor Vehicles, Furniture, Stock, Cash etc. Intangible assets are those assets which do not a physical existence and thus. Cannot be seen or felt such as Goodwill, Patents, Copyright, Trade Marks, Computer Software and Prepaid Expenses, Intangible assets are also valuable assets. Intangible assets help the firm in earning profits as much as the tangible assets. Refer Post : Classification of Assets and Liabilities

  What is Current Assets?
Answer: Current Assets are those assets which are meant for sale or which the management would want to convert into cash with one year. Refer Post : Classification of Assets and Liabilities

  What is Fictitious or Normal Assets?
Answer: Fictitious or Normal Assets are the assets which cannot be realized in cash or no further benefit can be derived from these assets. Such assets include Debit balance of P&L A/c and these are unwritten losses or non-recoupable costs. For instance, underwriting commission, Brokerage, Discount on Issue of Shares or Debentures etc. Refer Post : Classification of Assets and Liabilities

  What is Liabilities?
Answer: Liabilities are the amounts which a business has to pay. They are generally classified according to the period for which they are contracted. Certain liabilities are repayable within a short period of time while certain other liabilities are repayable only after a long time. Refer Post : Classification of Assets and Liabilities

  What is Non-Current Liabilities?
Answer: Non-current liabilities which fall due for payment in a relatively long period say more than one year. Refer Post : Classification of Assets and Liabilities

  What is an Assets?
Answer: Assets are future economic benefits, the rights of which are owned or controlled by an organization or individual. Refer Post : Classification of Assets and Liabilities

  What is Book keeping?
Answer: Book Keeping is an art of recording in books of accounts the monetary aspects of commercial or financial transactions. Refer Post : Distinction between Book Keeping and Accounting

  What is Accounting?
Answer: Accounting starts where book keeping ends. Refer Post : Distinction between Book Keeping and Accounting

  What is the difference between Book keeping and Accounting?

  What are the basis of Acounting?
Answer: There are two basis of Accounting. Refer Post : Basis of Accounting and their distinction

  What is cash basis of Acounting?
Answer: Under this, the income & expenses are booked on cash basis i.e. incomes are recorded on receipt basis or expenses are recorded on payment basis, other than cash i.e. credit transactions are not recorded in their books. Refer Post : Basis of Accounting and their distinction

  What is accrual basis of Acounting?
Answer: Under this, incomes are recorded when they are earned or accrued, irrespective of the fact whether cash is received or not, example sales/ purchases made on credit will be including in total sales/ purchases. Expenses like rent due to the landlord but not paid will be treated as expense for the period. All expenses/incomes are booked on accrual basis. Refer Post : Basis of Accounting and their distinction

  What is the istinction between Cash Basis of Accounting and Accrual Basis of Accounting?

  Why do the need of Accounting?
Answer: Now a day every business men required to maintain their books of accounts to know about financial details as below regarding their business. Refer Post : Knowledge about Accounting

  What are the types of Accounting?
Answer: Refer Post : Knowledge about Accounting

  What are the benefits of Accounting?
Answer: Refer Post : Knowledge about Accounting

  What are the reasons of difference between balance with banks and balance with our books of Accounts?

  What is the Format of Bank Reconciliation statement?

  What is Accounting?
Answer: Accounting is the science of recording and classifying business transactions and events, primarily of a financial character and the art if making significant summaries, analysis and interpretations of those transactions and events and communicating the result to persons who must make decisions or for judgment. Refer Post : Knowledge about Accounting

  What are the benefits of Bank Reconciliation statement?

  How to prepare Bank Reconciliation statement?

  What is the Bank Reconciliation statement?
Answer: Bank reconciliation statement (BRS) is a report which compares the bank balance with the balance stated in the books of accounts of the assesse on a particular date. Sometime the transactions are accounted for in the banks financial system before the company incorporates them into its own accounting system. Such timing differences appear as reconciling items in the Bank Reconciliation Statement. Refer Post : Bank Reconciliation Statement (BRS)

  Ministry of Corporate Affairs
  Can OPCs be incorporated using SPICe forms?
Answer: Yes, OPCs can be incorporated through using SPICe forms. Refer Post : Incorporation of a company through SPICe Form INC-32

  Can NIDHI companies be incorporated using SPICe forms?
Answer: Yes, NIDHI companies can be incorporated through using SPICe forms. Refer Post : Incorporation of a company through SPICe Form INC-32

  What are the features of SPICe or Form INC-32?

  What if there are more than seven subscribers to MoA and AoA?
Answer: SPICe form shall be filed with MoA and AOA as attachments in case of more than seven subscribers. Refer Post : Incorporation of a company through SPICe Form INC-32

  How many resubmissions are permitted for SPICe forms?
Answer: Two resubmissions are permitted for SPICe forms. Refer Post : Incorporation of a company through SPICe Form INC-32

  Can LLPs be incorporated using SPICe forms?
Answer: No, LLPs can be incorporated through using SPICe forms. Refer Post : Incorporation of a company through SPICe Form INC-32

  What is E-Form AGILE INC-35?
Answer: The AGILE (INC-35) form is part of SPICe Incorporation e-form and covers three important registration for businesses namely-1). GSTIN – Goods and Service Tax Identification Number, 2. ESIC – Employees’ State Insurance Corporation, 3. EPFO – Employees’ Provident Fund Organization. Refer Post : New E-Form AGILE INC35 for GSTIN, ESIC and EPFO

  What will be the size of file of AGILE-INC-35?
Answer: The maximum size of the e-form AGILE file that needs to be uploaded, shall be 6MB. Refer Post : New E-Form AGILE INC35 for GSTIN, ESIC and EPFO

  What is the fee payable for taking various registration under E-form AGILE?
Answer: No fee is prescribed for filling e-form AGILE. Refer Post : New E-Form AGILE INC35 for GSTIN, ESIC and EPFO

  What are the benefit of e-form AGILE?
Answer: The applicability of this form will act as the single window clearance system and Incorporation of new companies along with taking registration under various other authorities will become easier and faster. Refer Post : New E-Form AGILE INC35 for GSTIN, ESIC and EPFO

  To whom it is applicable for registration through e-form AGILE?
Answer: The Companies incorporated by MCA through SPICe application can applied through e-form AGILE. The application (SPICe) for incorporation of a company shall be accompanied by a linked e-form AGILE to obtain GSTIN along with other applicable forms. Refer Post : New E-Form AGILE INC35 for GSTIN, ESIC and EPFO

  What are the effective dates for Registration through e-form AGILE?

  What is the due date for filing DIR-3 KYC?
Answer: Due date of filing of DIR-3 KYC is 30th April of Immediate Financial Year. Refer Post : Form DIR-3 KYC

  Who have to file DIR-3 KYC?
Answer: Every director (Indian and foreigner) who has been allotted a director identification number (DIN/DPIN)” on or before 31st March and the status of such DIN is ‘Approved’, needs to file form DIR-3 KYC to update KYC details within one month of every financial year i.e. 30th April to the MCA. Refer Post : Form DIR-3 KYC

  What is the due date for filing DIR-3 KYC for the financial year 2018-19?
Answer: The Due date for filing DIR 3 KYC for the financial year ended on 31st March 2019 is 30th April 2019. Refer Post : Form DIR-3 KYC

  Is it mandatory to enter a unique mobile number and email ID in form DIR-3 KYC?
Answer: Yes. It is mandatory to enter your personal mobile number and personal email ID in the form DIR-3 KYC and the same has to be verified by an OTP. Refer Post : Form DIR-3 KYC

  What is the fees for filing form DIR-3 KYC?
Answer: Form DIR-3 KYC, if filed within the due date of the respective financial year, no fee is payable. Refer Post : Form DIR-3 KYC

  Can I file form DIR-3 KYC if my DIN is Deactivated?
Answer: Form DIR-3 KYC, if filed after the due date, for DIN status ‘Deactivated due to non-filing of DIR-3 KYC’ The deactivated DIN shall be reactivated only after filing e-form DIR-3 KYC and on payment of Rs. 5, 000/-. Refer Post : Form DIR-3 KYC

  What is the amount of late fees will be charged if form DIR 3-KYC has not filed on due date?
Answer: The late fees will be charged for filing e-form DIR-3 KYC is Rs. 5, 000/-. Refer Post : Form DIR-3 KYC

  What documents/details are required for filing DIR 3-KYC?
Answer: Refer Post : Form DIR-3 KYC

  What is DIR-3 KYC?
Answer: DIR-3 KYC is introduced by Ministry of Corporate Affairs (MCA) to conduct KYC (know your customer) verification for Directors of all companies. It is mandatory for Directors and should be filed by using a Digital Signature Certificate (DSC). Refer Post : Form DIR-3 KYC

  Miscellaneous
  What is National Financial Reporting Authority (NFRA)?
Answer: As per a notification issued by the Ministry of Corporate Affairs (MCA) last day, the Government appointed the 1st October, 2018 as the date of constitution of National Financial Reporting Authority. Refer Post : Introduction about NFRA and their Role

  Which companies had covered under NFRA?

  What are the functions and duties of NFRA?

  What is the charitable trust?
Answer: A charitable trust is set up to hold and protect some or all of your assets specifically for charitable purposes and allows you to support causes and charities on an ongoing basis. They are non-profit based and their main purpose is toward activities which are for the benefit for the Society at large. Refer Post : Charitable trust and their registration

  What are the things required for creation of Charitable Trust?

  What are the classification of Trust?

  What are the steps to be taken for registration of Charitable or religious Trusts?

  What is FASTag?
Answer: FASTag is a simple to use, reloadable tag which enables automatic deduction of toll charges and lets you pass through the toll plaza without stopping for the cash transaction. FASTag is linked to a prepaid account from which the applicable toll amount is deducted or Paytm. The tag employs Radio-frequency Identification (RFID) technology and is affixed on the vehicles windscreen after the tag account is active. Refer Post : Introduction about FASTag

  Benefits of FASTag?
Answer: Refer Post : Introduction about FASTag

  What are the types of documents requried for FASTag?
Answer: Refer Post : Introduction about FASTag

  How to buy FASTag?
Answer: Refer Post : Introduction about FASTag

  Meaning of PAN card digit in India?
Answer: The PAN number is an alpha-numeric number made of 10 digits assigned to your identity, manly used for income tax related matters. Refer Post : Deciphering your 10 digit PAN

  What is the Micro, Small and Medium Enterprises (MSME)?

  What is the defination of Micro, Small and Medium Enterprises (MSME)?

  What are the benefits of Micro, Small and Medium Enterprises (MSME) registration?

  What are the benefits for forming an LLP?
Answer: Refer Post : What is an LLP and their benefits

  What are the drawbacks of forming an LLP?
Answer: Refer Post : What is an LLP and their benefits

  What are the steps to be taken for registration of an LLP?

  What are the documents required for registration of an LLP?

  What is the difference between limited liability partnership firms and partnership firms?

  What is the difference between registered or non registered parnership firms?

  Who is benefitial whether registered or non registered parnership firms?

  How to create partnership deed?

  How to register partnership deed?

  What is Limited Liability Partnership Firms?
Answer: Limited Liability Partnership (LLP) is a partnership firm where liability of some or all the partners have limited means that the personal assets of the partners are not used for paying off the debts of the firm while under the partnership firms the liability of the partners are not limited i.e. the personal assets can be used for paying off the debts of the firm. Refer Post : What is an LLP and their benefits

  What is Section 40(b) under Income Tax Act 1961?
Answer: Section 40(b) of Income Tax Act provides some specific conditions for payment of Remuneration includes salary, bonus, commission etc. and Interest paid to partners. Refer Post : Interest and Remuneration paid or payable to partners under section 40b

  Whether the limit prescibed under section 40(b) for remuneration paid is applicable to all partners whether working or non working?
Answer: Remuneration paid to working partners only are allowed as deduction, subject to the limit prescribed under Section 40(b) of Income Tax Act. Refer Post : Interest and Remuneration paid or payable to partners under section 40b

  What is the limit prescibed under section 40(b) for remuneration paid to working partners?

  What is the limit prescibed under section 40(b) for interest paid on capital to partners?
Answer: Interst on capital is allowed up to 12% per annum. Refer Post : Interest and Remuneration paid or payable to partners under section 40b

  Whether the limit prescibed under section 40(b) for interest paid on capital is applicable to all partners whether working or non working?
Answer: Interest paid to partners whether working or non-working is allowed up to the extent of 12% under section 40(b). Refer Post : Interest and Remuneration paid or payable to partners under section 40b

  Step by step guidance how to file form 15CB?

  What is Form 15CB?
Answer: Form 15CB liability can be ascertained and certified by obtaining the Certificate from a Chartered Accountant in Form no. 15CB. This certificate has been prescribed under Section 195(6) of the Income-tax Act and is an alternate channel of obtaining Tax clearance apart from Certificate from Assessing Officer. Refer Post : Details about form 15CA and 15CB

  What is the list of items, which does not require compliance of form 15CA & Form 15CB?
Answer: Refer Post : Details about form 15CA and 15CB

  When form 15CA will be required to submit?
Answer: Refer Post : Details about form 15CA and 15CB

  When form 15CB will be required to submit?
Answer: Refer Post : Details about form 15CA and 15CB

  Step by step guidance how to file form 15CA?

  What is Form 15CA?
Answer: As per Section 195 of Income tax Act, 1961, every person liable for making a payment to non-residents shall deduct TDS from the payments made to non-residents if such sum is chargeable to Income tax. As per Rule 37BB, it is a duty of authorized dealers/banks to ensure that such forms are received by them from the remitter. Refer Post : Details about form 15CA and 15CB

  How i can reduce my monthly expenses?

  What is Net Assets Value?
Answer: Refer Post : Net Assets vs Net Worth.

  Net Assets vs Net Worth?
Answer: Refer Post : Net Assets vs Net Worth.

  How to increase Net Worth?
Answer: Refer Post : Tips to Increase your net worth.

  What is the lease agreement?
Answer: Refer Post : Lease Vs Rent.

  What is the Rent agreement?
Answer: Refer Post : Lease Vs Rent.

  Difference between Rent vs lease?
Answer: Refer Post : Lease Vs Rent.

  What is Net Worth?
Answer: it also includes total assets minus total liabilities. Refer Post : Net Assets vs Net Worth.

  What is Net Assets?
Answer: It includes total assets minus total liabilities. Refer Post : Net Assets vs Net Worth.



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