Category Taxation

Presumptive Taxation

A. Section 44AD: Special provision for computing profits and gains of business  i) Applicable to – 1. Resident Individual, HUF and Firm (Excluding LLP) carrying on any business, and 2. whose total turnover or gross receipts in the previous year…

Taxation of AOPs & BOIs

1. Introduction:- The income of an Association of Persons (AOP) and Body of Individuals (BOI) shall be computed normally applying the normal provisions of the Income tax Act. The business income of AOP/BOI shall be computed after allowing all expenses…

Taxation of Agricultural Income

1.Definition of agricultural Income: Any rent or revenue derived from agricultural land Any Income derived from such land by- i) agriculture, or ii) processing of agricultural produce, or iii) sale by a cultivator or receiver of rent-in-kind of the produce…

Taxation of Hindu Undivided Family

HUF is treated as a separate entity for the purpose of assessment under Income tax act. HUF does not arise from a contract. HUF is a creation of law. After marriage, as soon as a child is born, HUF comes…

Expenses not deductible under section 40

1.Section 40(a)(i): Non-Compliance of provision of TDS where payment is made to Non-Resident Disallowance u/s 40(a)(i) shall be attracted if:A. The amount paid or payable is interest, royalty, fees for technical services or any other sum chargeable under I.T. Act.…

Section 194I-TDS on Rent

1.Deductor- Any person, [other than individual or HUF (not liable to tax audit in the preceding Financial year)]2. Deductee- Any Resident3. Time of Deduction- At the time of credit or payment, whichever is earlier.4. Rate of TDS- -For use of…

Reverse Charge Mechanism

1.Section 2(38)- Reverse Charge means the liability to pay tax by the recipient of supply of goods or services or both instead of the supplier of such goods or services or both. 2. Specified Goods under Reverse Charge- Notification No.4/2017-Central Tax…

Section 80TTA and Section 80TTB

 Section 80TTA 1. Eligibility: Deduction u/s 80TTA is available to an assessee, other than the assesse referred to in Section80TTB, being an individual or HUF. 2. Deduction is allowed from the following incomes: a. Interest earned from savings account with…

Taxation of Business Trust and Unit Holders

 1. Section 2(13A) – Definition of Business Trust: Business Trust means a trust registered as, i) An Infrastructure Investment Trust under the SEBI regulations, 2014; or ii) A Real Estate Investment Trust under the SEBI regulations, 2014, and the units…