INCOME TAX ON BUYBACK OF SHARES AND CHANGES IN BUYBACK TAXATION AS PER BUDGET 2024
Discover the insights into share buybacks, why companies opt for buybacks, and the impact of the 2024 changes in buyback taxation. Learn how Section 115QA affects companies and shareholders, and the tax implications of upcoming buyback regulations.
Complete Guide to TDS (Tax Deducted at Source) in India: Rates, Deductions, and Compliance
WHAT IS TDS? TDS is a method used by the Indian government to collect taxes at the source of income. This means that when you receive certain types of payments, a portion of the tax is deducted before you get the money. This helps ensure that taxes are collected in advance and reduces the chances […]
Filing TDS Returns: Essential Steps, Forms, and Key Considerations
Filing TDS Returns: Essential Steps, Forms, and Key Considerations FILING TDS RETURNS The deductor must file TDS returns periodically, detailing the amount deducted and deposited. The deductee can claim credit for the TDS amount while filing their income tax return. 1. Periodic Filing The deductor must file TDS returns on a quarterly basis. This ensures […]
Understanding Section 192: TDS on Salary
Section 192 of the Income Tax Act, 1961, is a crucial provision for both employers and employees as it governs the deduction of tax at source (TDS) on salary. It mandates that every employer who pays a salary exceeding the basic exemption limit must deduct TDS before making the payment to the employee. This section […]
Claiming Relief under Section 89(1) on Salary Arrears with example
Section 89 of the Income Tax Act, 1961, is a provision designed to offer relief to taxpayers who receive a portion of their income in arrears or in advance. This section is particularly relevant for individuals who receive salary, pension, or family pension in arrears or in advance. It aims to provide a fair taxation […]
Indexation in Capital Gains: Budget 2024 Amendments and Their Impact
WHAT IS INDEXATION: Indexation is a valuable tool for minimizing the impact of taxes on your investment returns. It applies to long-term investments, such as debt funds and other asset classes, by adjusting the purchase price of the investments. This adjustment helps reduce your tax liability. To fully grasp indexation, it’s important to first understand […]
TDS on Rent – Sec. 194I of Income Tax Act, 1961
Section 194-I of the Income Tax Act mandates the deduction of income tax at source (TDS) by certain entities responsible for paying rent to residents. Here’s an elaborate breakdown of its provisions: What is Rent for understanding section 194I? Rent includes payments under lease, sub-lease, tenancy, or any other agreement for the use of Applicability […]