Those Indian citizens who are abroad and have bought shares listed in those countries , have common tax worries about the tax implication once they go back to India . One Mr Reddy asks same question. He says “Iam staying in USA for the last 5 years. I hold some stocks here in US. I am...
What Are the Tax & FEMA implications on sale of share in foreign company by a returning NRI ?
November 15, 2010 by
Is scholarship granted by foreign government or university tax free ?
November 1, 2010 by
If scholarship is paid only for meeting the cost of education, the fact that the recipient does not spend the whole amount towards education or that he is able to save something out of it would not detract from the character of the payment being one for scholarship. CIT v. V.K. Balachandran [1984] 147 ITR 4 (Mad.).
All about tax free medical reimbursement by employer.
October 30, 2010 by
There is no requirement of a specific type of treatment , as far as allowance of reimbursement of medical expense of Rs 15,000 in a year is concerned. It should be genuine medical treatment , for which employer has reimbursed up to Rs 15,000 in a year.
Exemption u/s 10(10C) available for RBI employees opting Exit Option Scheme” should also be for S.B.I !
October 18, 2010 by
Venkat Rao, Behrampur asked “I want to know whether an employee who has retired voluntarily under “Exit Option Scheme” of S.B.I in the year 2006 is eligible to avail exemption upto Rs. 5 lakh of the ex-gratia amount he received u/s 10(10C) of the I.T Act ? If yes, kindly answer the same with latest...
Is capital gain exempt if LTCG on sale of land is used for buying flat in joint name ?
October 17, 2010 by
Exemption u/s 54F states that exemption from tax on Long Term Capital Gains on sale of asset other than house is allowed if the net consideration ( Sales consideration less exependiture on selling the asset) should be invested in residential house.So, it is not the LTCG which should be invested , but the net sale consideration. Pleaase read For Exemption u/s 54F , Net Sales Consideration Should Be Invested or Used and Not The Capital Gains !
Is tax free schlarship in foreign country taxable in India ?
October 15, 2010 by
Please note that if you are non resident in the year in which you earned tax free scholarship in foreign country, the receipt can not be taxable. So, compute yourself if the year in which you got the scholarship.
How to compute tax in case you get taxable PF accumulated balance?
October 15, 2010 by
Where the accumulated balance due to an employee participating in a recognised provident fund is included in his total income owing to the provi-sions of rule 8 not being applicable, the [Assessing] Officer shall calculate the total of the various sums of [tax] which would have been payable by the emp-loyee in respect of his total income for each of the years concerned if the fund had not been a recognised provident fund, and the amount by which such total exceeds the total of all sums paid by or on behalf
How to know the capital gains on jewellery bought 50 years ago?
September 20, 2010 by
My mother received gold jewellery in her marriage in 1955. Now in 2010 I have sold some of her jewellery for rs 2.0 lacs approximately. Please let me know the amount of capital gains that I have to pay The price of jewellery in 1955 is not known by us. Shuchi Singhal, Lucknow You have not...
Is sale of agriculture land near town committee tax free?
September 16, 2010 by
the sale of the land results in long term capital gains on which you will have to pay tax , you can claim exemption provided u/s section 54B ,54F and 54 EC which can be availed by you for reducing the tax or even exempting from payment of tax. For knowing more on section 54B read here . For section 54Fclick here and section 54EC read it here.
Should you invest sale consideration or capital gains for exemption u/s 54EC ?
September 14, 2010 by
Section 54EC is one of the ways for saving tax on long term capital gains. It is provided that if one invests in specified assets- NHAI and REC bonds at present- , then the long term capital gains will be exempt. The question one comes in the mind of S. M of Pune is whether...
Can Official Liquidator be given notice to file income tax return ?
August 29, 2010 by
Filing of return under Income tax is compulsory for two classes of persons-company and firm. This is provided in proviso to section 139 of the I T Act. What happens when a company goes into liquidation? Darshan Khakhar of Ahmedabad asks “Does an official liquidator appointed by court bear any responsibility of tax? Is it a...
Can one claim exemption from capital gains u/s 54 & 54F simultaneously for buying one house only !
August 25, 2010 by
Section 54 provides exemption if you sale a residential house and buy a residential house. Section 54F provides exemption if one sales capital asset other than residential house and buy residential house. Interesting question has been asked by Kennedy of Chennai on claim of exemption from capital gains on sale of land , building and house. Here is his...
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