Introduction: To strengthen the efforts of religious charities, the Government of India provides various tax exemptions under Section 11 of the Income Tax Act but these exemptions are conditional on specific types of income, and the organizations have to meet certain conditions to be eligible to apply The Government of India offers substantial tax deductions […]
Introduction: The Finance Act ushered in the concept of Advance Pricing Agreements (APAs) through the enactment of Sections 92CC and 92CD. APAs serve as formal agreements between taxpayers and tax authorities, delineating the arm’s length price and its method of calculation for international transactions. In 2012, nations such as the US, Canada, Australia, China, and […]
Introduction: One of the Indian Government’s main revenue streams stems from taxes paid by individuals, companies, and other entities. In efforts to curb tax evasion and foster compliance, the government offers various exemptions and deductions to taxpayers. Nevertheless, a handful of companies have exploited these provisions, effectively becoming zero-tax entities. Therefore, to deal with this […]
Introduction: Companies engaged in specific international or domestic transactions must comply with the rules set out in Section 92E of the Income Tax Act. These regulations are compulsory for associated enterprises, and various criteria determine whether their transactions fall within the aforementioned categories. Therefore, multinationals operating in India should be familiar with the rules and […]
Introduction: The Income Tax Act has prescribed specific deadlines for filing of income tax returns each year in section 139. Failure to comply with these deadlines may result in legal consequences Failure to comply with income tax laws may incur penalties, including the obligation to pay interest as mentioned in section 234 of the Income […]
Introduction: Income taxpayers in India are eligible for relief under Sections 90, 90A and 91 of the Income Tax Act, 1961 as per the provisions of the Double Taxation Avoidance Agreement (DTAA). In India’s dynamic global business landscape, individuals often earn income from abroad, leading to the risk of double taxation by both source and […]
Introduction: At the conclusion of each fiscal year, taxpayers are required to review their financial records to ascertain any outstanding taxes, which must be settled subsequent to TDS (Tax Deducted at Source) and advance tax payments. This outstanding tax, referred to as self-assessment tax, necessitates computation and prompt payment by the taxpayer to evade penalties. […]
Introduction: Indian tax laws cover all aspects of business income and require business owners to have a thorough knowledge of tax procedures. Failure to submit accurate forms and returns can result in fines, penalties and legal consequences for your company. It is therefore important for business owners to be aware of these regulations to ensure […]
Introduction: While conducting market research and business planning is an important step, understanding tax obligations from the outset is equally important. It is particularly important to familiarize yourself with Section 115BA of the Income Tax Act as it sets out the tax structure of businesses like yours. Section 115BA of the Income Tax Act, introduced […]
Introduction: Several provisions and rules are connected with Section 115AD of the Income Tax Act. The most recent amendment to section 115 AD, which took effect from FY 2021–2022 and applies to the assessment year 2022–2023, introduces appropriate changes in the tax treatment of foreign institutional investor income derived from banks or securities of capital […]