Income Tax Articles

Karniti Part-16: Tax planning for Children is not a child's play

CA Umesh Sharma 23 December 2013 at 11:16

Income Tax planning for Childrens is not a childs play.Arjuna (fictional character): Dear Krishna, the festival of Christmas is being celebrated all over the world very joyfully. In this festival Santa Clause make exchange of gifts to a

Rent Free accommodation and Taxation

TKKKKKK 20 December 2013 at 15:40

When employer provides employee facility of rent free accommodation. value of it is taxable as a perquisites in salary head of income tax.For calculating perquisites value taxpayer has to follow two steps.step 1: find out unfurnished accommodatio

Loan provided to employees- Perquisite calculation - Part II

T E Gautham 10 December 2013 at 17:57

In an earlier previous post, we had a look at the basis of perquisite calculation on loans provided to employees and members of their household. According to Rule 3 (7)(i) of the Income Tax rules, the taxable value of benefit an employee derives on a

Power to call for general information u/s 133(6)

sivadas chettoor 09 December 2013 at 11:36

POWER TO CALL FOR GENERAL INFORMATION U/S 133(6) OF THE INCOME TAX ACT 1961- A STUDY INTRODUCTION:The Hon Supreme Court of India, in August 2013, pronounced its judgment in Kathiroor Service Cooperative Bank Ltd & Others V Commissioner of

Loan provided to employees- Perquisite calculation - Part I

T E Gautham 06 December 2013 at 13:29

We find many payroll managers being unaware that loans provided to employees (by the employer) are taxable in the hands of the employees. The typical reactions (from payroll managers) we come across when we talk about taxability of loans provided to

Karniti Part-13: Dear, Pay tax on "House" and Relax at "Home"

CA Umesh Sharma 03 December 2013 at 11:38

Taxation on Purchase or Sale of House PropertyArjuna(fictional character): O Lord Krishna, food, clothes and house, being the basic necessities of life, hold an important place in human life. But nowadays lot of money is needed to buy or construct a

Karniti Part-12: Income of Trusts, then follow & trust Indian law

CA Umesh Sharma 26 November 2013 at 11:31

Finance and Income Tax of Charitable TrustsLet us try to get answers to our questions in a bit different and joyful manner. The fictional character of Arjuna will be played by the common man or tax payer and the fictional character of Krishna the Exp

Calculation of Tax Exemption on LTA

T E Gautham 25 November 2013 at 12:19

In an earlier post we looked at the conditions governing tax exemption on leave travel allowance (LTA). In this post we will look at the calculation of the tax exemption amount. As mentioned in the earlier post, the exemption is available only on tra

Tax Exemption on Leave Travel Allowance

T E Gautham 23 November 2013 at 13:46

As a company engaged in the business of payroll processing and statutory compliance related to payroll, we wonder if the tax law governing tax exemption on Leave Travel Allowance (LTA) is among the most complex tax legislations in India. Each year or

Inflation Cost - Allowability under Business Head of the Income Tax Act,1961

Raghavendra Prasad M 23 November 2013 at 13:45

Sri S.S.Tarapore, retired Dy. Governor , Reserve Bank of India, and a popular columnist in The Hindu Business Line, Eenadu dailies time and again requests the RBI authorities to do justice to the poor depositors by payi