Easy chart of deductions u/s 80C to 80U every individual should aware of !

deduction u/s 80C

The season of tax has arrived. Therefore , there is need for easy chart of all tax deduction u/s 80c to 80U for an Individual taxpayer?Under Income tax , deduction u/s 80C,80CCC, 80D, 80DD,80DDB,80G , 80GG, 80GGA, 80GGC , 80IAB , 80IB , 80IC , 80ID ,80IE , 80JJA , 80QQB ,80RRB , 80U  are relevant to Individuals depending on the condition fulfillment. The following chart of … [Read more...]

Rule 8D Not Applicable Stock-in-Trade : ITAT Kolkata

Rule 8D

Rule 8D is invoked by assessing officer for computing disallowance u/s Section 14A of the Income Tax Act even in case shares are held as Stock-in-Trade.Thus , the agony of the taxpayers who deals in shares only and does not involves in investment aggravates , because in most of cases  the dividend received are far less than the expense likely to be disallowed as result of … [Read more...]

Delhi ITAT: No Long Term Exemption if Asset is Converted to Stock in Trade


Delhi Income Tax Tribunal Alka Agarwal vs ADIT has recently dwell on the issue whether long term capital gains exemption as provided u/s 10(38) can be claimed in case of a share which was previously held as investment , but converted to stock in trade and when sold after holding them for more than a year.The Tribunal confirmed the order of A.O and CIT(A ) who denied the … [Read more...]

ITAT Clash : Holding Period in Case of Conversion of Stock–in-Trade to Capital Asset


Long term is tax free if sold through recognized stock exchange. Short term is taxed at lower rates of 15% . Stock-in-trade is taxed at higher rates than capital gains. Therefore, many tax payers are resorting to capital gains rather business income. Many convert their holding as stock in trade as capital asset and then sale.In all such cases of conversion of stoc-in-trade to … [Read more...]

What , How and Why of 8% RBI Relief Bond in seven steps?

Once upon a time , the relief bonds issued by Reserve Bank of India used to be tax free with quite handsome amount of interest . So , overall that was quite hassle free ( on account of tax exempt status) investments. Update as on 9/09/2013 : Premature encashment allowed now ! But , now the bonds are not only taxable but also subject to tax at source. The interest @ 8 % … [Read more...]