A Large Number of Assessees Do Not Require to Deposit Advance Tax !

In the month of March , you will find many advertisement from Income Tax Department as well as the banks regarding the 15th March deadline for advance tax deposit .While the date is indeed the last of the advance tax installment , this  quick post is for reminding many tax payers – and I repeat – a large number of persons do not require to deposit advance tax at all under the Income Tax Act .They just need to deposit self assessment tax .

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5 Types of Service of Notice May Make Assessment Order Bad in Law !

Scrutiny of your tax return starts with the service of a notice u/s 143(2) of the Income Tax Act .In other words, without proper service of notice u/s 143(2), no assessment order can be passed.The importance of the service of notice can be understood from the simple fact that the assessment orders were cancelled by Tribunals & Courts on the ground of improper service of notice. In this post , I am going to discuss , at least , five types of service of notice by the assessing officer that was  not considered proper service of notice by  higher judicial authority  . But before that , it is important to talk about the legal provision of service of notice for scrutiny assessment.

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CBDT: Return Processed by Entering Wrong PAN Can be corrected .

The online method of filing tax return and processing u/s 143(1) is very good for tax payers but the new system sometimes brings its own problem. For example, it may happen that tax return is processed with a wrong PAN number. What  is the solution for such problem ? Fortunately, the income tax department has given its thought on the problem and issued guideline to the authorities concerned on the way such problem has to be solved.

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Can Booked Flat be Considered for Wealth Tax Purpose ?

This post originates due to question asked by the premium subscriber , Sri Sanjeev Khurana , CA of New Delhi regarding impact of allotment of flats or booking of flats where 70 to 80 % of  money has been given to the builder . You can see the complete question 

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TDS u/s 195 only on Income Portion , Not Full Amount: CBDT Circular

Section 195 of the Income Tax Act provides for deduction of tax or withholding of tax on any sum paid to non resident. Since the word used in the provision u/s 195 is “any other sum” , controversy was always there whether the withholding of tax is to be made on full amount of sum of remittance or only on the income portion of the remittance. Fortunately , Supreme Court in GE India Technology Private Ltd vs CIT  327 ITR 456 and Transmission Corporation of AP Ltd & another  vs CIT (1999)  299 ITR 587 held that only the amount which is chargeable to tax as income under Income tax Act requires tax deduction at source. [Read more...]

5 Situations Two Persons Can Claim Depreciation During the Same Year ?

The law of claiming depreciation on asset of business is regulated through section 32 of the Income Tax Act . Further Income Tax Rule provides depreciation rate for various class of assets. Now as it happens with businesses, one needs to reorganize through various ways like amalgamation, or changing the structure of the business etc….

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How to Lodge Online Income Tax Grievance ?

The grievance of tax payers are prevailing for many reasons . It may relate to non issue of refund or non service of intimation or indisposed of rectification petition or not giving effect to the appeal orders or wrong demand creation or unruly behaviour of officers and staff. At times , you are at loss where to go and complain about these matters.

Online Way to Lodge Tax Related Grievance

The good news is that government of India has already set up an online portal for grievance settlement . One of the many departments and ministry , a citizen can lodge complain is Income Tax Department . It is very good system because you can get the status of disposal of your complaint . Every complain generates an acknowledgement number.

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Due Date for Filing TDS Statements for FYs 2012-13 and 2013-14

CBDT has extended the due date for filing of TDS or TCS statement related to FY 2012-13 and FY 2013-14 to 31st March 2014 , on the ground that the allotment of Accounts Officers Identification Numbers (AIN) to the PAOs/ DTOs/CDDOs (a pre-requisite for filing Form 24G and generation of BIN) was completed in F.Y. 2012-13. This has resulted in delay in filing of TDS/TCS statements by a large number of Government deductors. Read the CBDT Circulars Extending TDS/TCS Statement [Read more...]