Eleven Tax Propsal of Budget 2010-11 Affecting Business & Companies

Settlement Scope Increased
Now search and seizure cases pending for assessment is eligible for application for settlement to Settlement Commission .
Extra Deduction of Rs 20,000 For Individuals & HUF
A deduction u/s 80CCF for  an additional amount of Rs.20,000 for investment in long-term infrastructure bonds as notified by the Central Government has been proposed. .  [...]

Five Tax Budget Proposal Affecting You Seriously!

Tax Slabs Expanded
New tax labs are as under
Upto 1,60,000  Exempt
Rs 1,60,001 to Rs 5,00,000       10 %
Ra 500001 to Rs 8,00,000        20 %
Over Rs 8,00,000                          30%
Therefore , majority of tax payers will get some kind of relief from tax.
Deduction u/s 80D  on Central Government Health Scheme
Till now , deduction was being allowed on medical insurance u/s [...]

e-Payment of Service Tax Compulsory For Payer of Rs 10 Lakhs or More in F.Y 2009-10

The electronic payment option for payment of service tax  was available only to those who had paid a service tax of Rs 50 lakh or more including utilisation of Cenvat credit. Now , the Central Board of Excise and Customes has made electronic payment of service tax compulsory from April 1, 2010, vide notification No.1/2010,  [...]

When Are You Liable to Pay Advance Tax?

I am 57 years old housewife and my total earnings from Bank FD’s for FY 2009-2010 will be approx Rs 388600 and i will be making an investment of Rs 100000 under ELSS. Need to know, how do i pay income tax on my interest income. Should i pay this at the time of IT [...]

Is Children Education Allowance Taxed Twice?

Why children education allowance  is taxable ? The amount expended on Children Edu is paid from salary and taken into account for tax calculation, again when the same amount considered as income when it is reimbursed as CEA? Earlier RTF was also considered in the same way. F Saxena, Katni
Children Education allowance is not taxed [...]

Can One Claim Deduction For Fee Paid to Coaching Institute?

My son is studying at NIT doing BTech in Computer Science. During this financial year he has joined TIME classes for doing preparation for CAT. He has paid Rs.18000/- towards Tution Fees. Duration of course is one year. Whether I can claim Tax Rebate for Rs.18000/-. Similarly during May 2009 he joined NIIT classes for [...]

What is the Easiest Method to Value Unquoted Share of a Company?

A PVT LTD Co.is owning a landed propertyonly since 1993 at a price at that time of Rs.12 lacs. At what price 100% shares be transferred when the Market Value of the property is about Rs. 40 lacs? Kishan Lal Agarwal,Kolkata
There are many ways to value shares of a company and there is always the [...]

Under Which Head Royalty Taxable?

I am a 34 year old person who has invented certain formulas related to nutritional supplements which will be manufactured in the USA but I am residing in Noida and shall be receiving 50% of the sales proceeds (in USA) as royalty fees regularly every month or quarterly as decided by me. Until now my [...]

Circular on FBT Advance Tax Adjustment Issued!

Section 115WM of the Income-tax Act, 1961 – Income-tax on fringe benefits – Chapter XII-H not to apply after a certain date – Adjustment of advance tax in respect of fringe benefits for assessment year 2010-11 against advance tax

Circular No. 2/2010, dated 29-1-2010

The Finance Act, 2005 introduced a levy namely Fringe Benefit Tax (FBT) [...]