What foreign exchange transactions are illegal in India?

What foreign exchange transactions are illegal in India?
Reserve Bank of India prohibits use of foreign exchange for certain purposes by Indians despite the fact that huge foreign exchange accumulation in Indian coffers , the RBI  had announced a Liberalised Remittance Scheme (the Scheme) in February 2004 as a step towards further simplification and liberalization of the foreign exchange facilities available to resident individuals. However , following transactions are illegal as RBI does not permit such foreign exchange transactions Remittance for any purpose specifically prohibited under Schedule-I

Capital gains tax rate simplified !

Capital gains tax rate simplified !
First of all , see whether the asset sold is long term asset  or short term asset . Follow the rule given below : Shares or units of mututal fund held for more than 12 months are long term. If held for less than 12 months, the shares or mututal fund units are short term asset. In case of all other kinds of asset, one is having long term assets if it is held for more than 36 months.

Whether purchase and sale of share through demat account is STCG or Speculation?

Income Tax Act distinguishes between different types of transaction in shares . The purchase or sale of shares can result in -short term capital gains or trading gains or speculative gains - all depending upon the circumstances in which such purchase or sale of shares have been done. In this context , Om Prakash Singh of Varanasi asks : "Whether purchase and sale of share through demat account is STCG or Speculation and whether interest paid on loan for

Why you need not fill Form 10DB for share transaction?

Form 10 DB was a declaration as proof of securities transaction payments on the purchase or sale of shares and units. Filing of form 10DB was a must for claiming deduction u/s 88E . From Asst year 2009-10 (FY 2008-09 ) provision of deduction on account of securities tax transaction has been abolished  by instertion of a clause in that section . Please read the section below 88E. (1) Where the total income of an assessee in a previous

Deduction of securties transaction tax (STT) from business or capital gainssimplified !

The Rule of STT deduction from business income and capital gains are not same. While computing gains from share transactions whether treated as capital gains or profit from business brings issue of deduction of  the expense of Securities transaction tax (STT) cost immediately in the mind of an assessee. Vivek Sharma , Ghaziabad asks " I had a question about expending STT for tax purposes. Can an individual claim the STT on short term share trading (not derivative) as

What to do if your bank account gets debited twice while making tax payments?

NSDL is handling e-payments of tax. It provides  following answer to such problem which may occur while making online tax payments. If during the transaction or after completing the transaction bank site encountered any error or get disconnected before generating Taxpayer counterfoil then instead of doing the same transaction again kindly check your Account, if account is being debited then contact your bank for regeneration of taxpayer counterfoil . Please note in the above case donot make the same