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If the case is not covered in any of the above 2 situations, the income is not taxable in India and accordingly no TDS is required u/s. The parents, brothers, and sisters of the individual or any of them, wholly or mainly dependent on the individual. 10A.Any compensation received by a person in connection https://1investing.in/ with the termination of his employment or modification of terms and conditions relating thereto.11. D) The FIFO method shall be adopted to reckon the period of the holding of the security, in cases where the dates of purchase and sale cannot be correlated through specific number of scrips.
Land, building, plant or machinery, in order to shift industrial undertaking from urban area to SEZ. Land, building, plant or machinery, in order to shift industrial undertaking from urban area to rural area. R) By HUF where one of its members has converted his self-acquired property into joint family property. Transfer of capital asset by India Infrastructure Finance Company to an institution established for financing the infrastructure and development. B) Date of broker's note provided such transactions are followed up by delivery of shares and also the transfer deeds.
- Qualifying expenditure incurred by resident persons on prospecting for the minerals or on the development of mine or other natural deposit of such minerals shall be allowed as deduction .
- Any transfer of a capital asset by the predecessor co-operative bank to the successor co-operative bank in a business reorganization.
- Investment in new assets or capital gains, whichever is lower, however, subject to Rs. 50 lakhs.
40Any sum paid or payable to a non-resident which is subject to a deduction of Equalisation levy would attract disallowance if such sum was paid without deduction of such levy or if it was deducted but not deposited with the Central Government till the due date of filing of return. Any sum paid by assessee-employer by way of contribution towards a pension scheme, as referred to in section 80CCD, on account of an employee. Eligible expenditure is allowed as deduction in ten equal installments in 10 previous years. Each payment under VRS is allowed as deduction in five equal installments in 5 previous years. Expenditure (not being cost of land/building) incurred on notified agricultural extension project for the purpose of training, educating and guiding the farmers shall be allowed as deduction, provided the expenditure to be incurred is expected to be more than Rs. 25 lakhs . Expenditure by way of payment of any sum to a public sector company/local authority/approved association or institution for carrying out any eligible scheme or project .
It was decided that Haryana and Karnataka shall study all aspects and submit a paper before the fitment committee in due course. Services provided by the guest anchors in lieu of honorarium would attract GST liability. Further, for claiming the benefits of DTAA, requirements of Sec. 90 – a tax residency certificate from the country of residence of the receiver and of Sec. 90 read with rule is honorarium taxable in india 21AB- furnishing declaration by NR in form 10F, are also required to be complied with. H) Share received as a consequences of demerger or amalgamation of a company under clause or clause of section 47, respectively. W.e.f. April 1, 2017, eligible start-up is also included in definition of eligible company. Cost of acquisition of such shares minus amount calculated above in point 8.
Tax on income
Similarly as per NHB Guidelines, Interest on bad and doubtful debts of housing finance company, shall be chargeable to tax, in the year it is credited to P & L A/c or year in which it is actually received by them, whichever is earlier. In case of contract for providing services with duration of not more than 90 days, the profits and gains shall be determined on basis of project completion method. Out of sum computed above, any loss incurred due to vacancy in the house property shall be deducted and the remaining sum so computed shall be deemed to the gross annual value. Reimbursement for the use of vehicle partly for official purposes and partly for personal purposes of the employee. B) Medical insurance premium paid or reimbursed by the employer is not chargeable to tax. C) Food in office premises or through non-transferable paid vouchers usable only at eating joints provided by an employer is not taxable, if cost to the employer is Rs. 50 per meal.
If you win awards or prizes, check whether they are approved by the Government or not. Understand the implication of taxation and how much tax is payable so that you don’t face any penalty from the income tax department. Awards which are not approved by the Government and prizes are taxed at the rate of 30%. Cess would also have to be added to the tax rate which brings the total tax rate to 31.2%.
Any sum of money received by an individual, from any person, in respect of any expenditure actually incurred by him on his medical treatment or treatment of any member of his family in respect of any illness related to COVID-19, shall not be considered as income of such person. Any expenditure incurred by a company on scientific research on in-house scientific research and development facilities as approved by the prescribed authorities shall be allowed as deduction . If house property is owned by co-owners and their share in house property is definite and ascertainable than the income of such house property will be assessed in the hands of each co-owner separately. For the purpose of computing income from house property, the annual value of the property will be taken in proportion to their share in the property. In such a case, each co-owner shall be entitled to claim benefit of self-occupied house property in respect of their share in the property .
Q- Would the winnings be taxed at the tax slab rate?
When a depreciable asset of a power generating units is sold, discarded, demolished or destroyed then terminal depreciation shall be deductible from sale consideration while computing capital gains, or balancing charge is taxable in the relevant year, as the case may be. Consideration paid by company on buyback of shares or other securities would be deemed as full value of consideration. The difference between the cost of acquisition and buy-back price would be taxed as capital gain in the hands of the shareholder. Computation of capital gain depends upon the nature of the capital asset transferred during the previous year, vis-à-vis, short-term capital asset, long-term capital asset or depreciable asset. Capital gain arising on transfer of short-term capital asset or depreciable asset is considered as short-term capital gain, whereas transfer of long-term capital asset gives rise to long-term capital gain. Income of a foreign company engaged in the business of civil construction or the business of erection of plant or machinery or testing or commissioning thereof, in connection with turnkey power projects shall be computed on presumptive basis .
1) New asset should be acquired and installed during the period beginning on the 1st day of April, 2015 and ending before the 1st day of April, 2020. 20A.43AAAny foreign exchange gain or loss arising in respect of specified foreign currency transactions shall be treated as income or loss. Value of any benefits or perquisites arising from a business or the exercise of a profession.
No feedback sought from states on hiking GST rates, says finance ministry
Deductions for provision for bad and doubtful debts created by certain banks, financial institutions and non-banking financial company . Qualifying preliminary expenditure is allowable in each of 5 successive years beginning with the previous year in which the extension of undertaking is completed or the new unit commences production or operation. No deduction shall be allowed to a company engaged in manufacturing alcoholic spirits or tobacco products.
B) Where the consideration for issue of shares is received by company from class or classes of person as notified by the Government. A) Where the consideration for issue of shares is received by a venture capital undertaking from a venture capital company or venture capital fund or a specified fund. M) Consequent to transfer of share (in case of demerger as referred to in Section 47 of a foreign company which derives, directly or indirectly, its value substantially from the share or shares of an Indian company held by a demerged foreign company to resulting foreign company. Transfer of capital asset , by a shareholder or unit holder or interest holder, held by him, in original fund in consideration for share or unit or interest in the resultant fund in a relocation. Expenditure incurred wholly and exclusively for the business of PE or fixed place of profession in India shall be allowed as deduction. Any increase or decrease in the liability incurred in foreign currency pursuant to fluctuation in the foreign exchange rates shall be adjusted with the actual cost of such asset only on actual payment of the liability.
100% of sum paid to such association, university, college, or other institution is allowed as deduction. Where bad debts have been allowed as deduction underSection 36 in earlier years, any recovery of same shall be chargeable to tax. Depreciable asset in case of power generating units, is sold, discarded, demolished or destroyed, the amount by which sale consideration and/ or insurance compensation together with scrap value exceeds its WDV shall be chargeable to tax.
More Under Income Tax
It shall be deemed that such debt or part thereof has been written off as irrecoverable in the accounts. Expenditure incurred by a company on any notified skill development project is allowed as deduction . Payment to a National Laboratory or University or an Indian Institute of Technology or a specified person is allowed as deduction.
Stock or shares becomes property of taxpayer on consolidation, conversion, etc. Cost of acquisition of an asset is the amount for which it was originally acquired by the assessee. It includes expenses of capital nature incurred in connection with such purchase or for completing the title of the property. Full value of consideration is the consideration received or receivable by the transferor in lieu of assets, which he has transferred. If it is received in kind, then fair market value (‘FMV’) of such assets shall be taken as full value of consideration.
Whether RCM applicable in case of Honorarium paid to the director of the co op bank by Co Op?
C) Date of contract of sale as declared by parties provided it is followed up by actual delivery of shares and the transfer deeds. Presumptive income of eligible business shall be 8% of gross receipt or total turnover. Income of a non-resident engaged in the business of operation of aircraft shall be computed on presumptive basis . B) Public company registered in India with the main object of carrying on the business of providing long-term finance for construction or purchase of residential houses in India.