Introduction: India has progressive taxation policy that makes higher the tax liability at the stage of higher income tax slabs the higher the income is. To bypass the increased tax burden, some taxpayers go as far as transferring their assets and income into their spouses’ name. On the other hand, the Income Tax Department has created provisions […]

Introduction: The taxpayer is entitled to exclude from his total income the part of the sum which has been donated to electoral trusts or political parties in accordance with the two latter parts of the Section 80 GGC of the Income Tax Act of 1961. This can be a fiscal measure, allowing either a partial (50%) […]

Introduction: Any tax paid to an contractor is subject to tax withheld at source (TDS) under Section 194C. In this section, we examine the specific provisions of the TDS relating to advertising, including deductions from fees paid to advertising agencies in industries such as newspapers, magazines, publications , advertising, advertising, promotions, etc. Go into details. […]

Introduction: Section 80CCC of the Income Tax Act of 1961 permits individuals to claim annual deductions of up to Rs. 1.5 lakh for contributions towards designated pension plans offered by life insurance companies, with the overall deduction being subject to the limits outlined in Section 80C. Section 80CCC: Section 80CCC provides for investment-based deductions, which […]

Introduction: You may already know that investments can help in reducing tax liability, but what you might not be aware of is that the Income Tax Department provides tax benefits for certain personal expenses as well, such as health check-ups, stamp duty for a home, and more. These deductible expenses fall under sections 80C to […]

Introduction: Taxation varies for individuals, companies, firms, and other entities, with Hindu Undivided Family (HUF) being one such entity. HUF entails a distinct and autonomous set of tax obligations and exemptions. Introduced in India, the concept of HUF aims to preserve familial unity and retain business earnings within the family, thereby ensuring familial control and […]

Introduction: Under Section 80 EEB of the Income Tax Act, you’re eligible to avail tax deduction benefits of up to ₹1.5 lakh on the interest paid towards a loan specifically taken for the purchase of an electric vehicle. However, meeting specific terms and conditions related to the loan issuer and the electric vehicle is necessary […]

Introduction: Section 80DDB of the Income Tax Act, established by the Indian government as a tax-saving provision, allows taxpayers to deduct expenses associated with various ailments. This provision encompasses both personal expenditures and those of a taxpayer’s dependents, including their spouse, children, and parents. It’s important to note that this deduction is applicable only to […]

Introduction: Home rents can pose significant burdens, particularly in urban locales where demand for rental properties drives up prices steadily. Those without House Rent Allowance (HRA) included in their monthly earnings feel the impact even more. Fortunately, Section 80GG of the Income Tax Act, 1961, provides an avenue for annual deductions on rent payments, offering […]

Introduction: The concept of Tax Deducted at Source (TDS) was introduced to streamline tax collection by directly withholding taxes from the source of income. Under this principle, a person acting as a deductor, obligated to make certain payments to another person (the deductee), is required to deduct tax at the source and remit it to […]