If any deficiencies are noticed in the existing TDS Return such as incorrect PAN, incorrect challan details, the revised TDS return should file. To file a revised TDS return there is no time limit. Interest will be levied if there is any TDS liability arising on the filing of the revised return. ThRead more
If any deficiencies are noticed in the existing TDS Return such as incorrect PAN, incorrect challan details, the revised TDS return should file.
To file a revised TDS return there is no time limit. Interest will be levied if there is any TDS liability arising on the filing of the revised return. The penalty is also levied if it is filed for other reasons.
The following are the various types of corrections that can be made to an accepted TDS Return:-
Update deductor details such as Name, Address of Deductor. This type of correction is known as C1.
Update challan details such as Challan Serial No., BSR Code, Challan Tender Date, Challan amounts, etc. This type of correction is known as C2.
Update/delete /add deductee details. This type of correction is known as C3.
Add/delete salary detail records. This type of correction is known as C4.
Update PAN of the deductee or employee in deductee/salary details. This type of correction is known as C5.
Add a new challan and underlying deductees. This type of correction is known as C9.
TDS Revised Return statement can only be filed if the original return has been accepted by the Tin Central System. You can check the status of the regular statement on the TIN website by entering the TAN No. and Provisional Receipt No./ Token No. on https://onlineservices.tin.nsdl.com/TIN/JSP/tds/linktoUnAuthorizedInput.jsp
GST (Goods and Services Tax) is an Indirect tax and applied on the sale of goods and services. Earlier, there were lots of other Indirect taxes such as VAT, service tax, purchase tax, excise duty, etc, GST replaced all of these taxes. GST is applicable all over India and has similar rate of taxes (5Read more
GST (Goods and Services Tax) is an Indirect tax and applied on the sale of goods and services. Earlier, there were lots of other Indirect taxes such as VAT, service tax, purchase tax, excise duty, etc, GST replaced all of these taxes.
GST is applicable all over India and has similar rate of taxes (5%, 12% , 18% , & 28%.) on all services and products all over India. it is a multi-stage tax system that aims to curb the cascading effect of other Indirect taxes.
FPO is an organization where the members are farmers. Farmers Producers Organization provides end-to-end support and services to the small farmers and covers technical services, marketing, processing, and others aspects of agriculture inputs. The object behind the Farmer Producer Organizations (FPO)Read more
FPO is an organization where the members are farmers. Farmers Producers Organization provides end-to-end support and services to the small farmers and covers technical services, marketing, processing, and others aspects of agriculture inputs.
The object behind the Farmer Producer Organizations (FPO) is that the “Farmers, who are the producers of their agriculture products, can form the groups and can register themselves under the Indian Companies Act
The Small Farmers Agribusiness Consortium (SFAC) supports the State Government to form the Farmer Producer Organizations (FPOs). The goal is to enhance the farmers’ competitiveness. The major operations of the Farmers Producer Organization (FPO) include the supply of seed, machinery, market linkages & fertilizer, training, networking, financial and technical advice.
The Farmer Producer Organization ensures a better income for the producers through an organization of their own and to increase their advantage in emerging market opportunities.
Small producers do not have the volume individually to get the benefit of economies of scale. Also in agricultural marketing, the chain of intermediaries take the advantage of small farmers by buying their products at lower rates. By FPO they will be eliminated. Farmers Producers can get the advantage of better bargaining power by bulk production and supplies.
Trading in futures & options must be reported as a business income in the financial year. It is treated as Non-speculative business income. Income from trading in Futures and options (both intraday and overnight) is considered as normal business income/loss. Hence ITR-4 needs to be required forRead more
Trading in futures & options must be reported as a business income in the financial year. It is treated as Non-speculative business income.
Income from trading in Futures and options (both intraday and overnight) is considered as normal business income/loss. Hence ITR-4 needs to be required for this income for the assessment year 2021-22. F&O is also considered as non-speculative as these instruments are used for hedging and meant for taking/giving delivery of the underlying contracts.
Assessee can also claim expenses from the earnings of your business. Expenses like brokerage, broker’s commission, subscriptions to journals related to trading, telephone bills, internet costs, consultant charges, fee of experts or salary of staff, all of these can be claimed. Assessee need to maintain proper records of all these expenses.
Turnover:
The method of calculating turnover is a debatable issue and what makes it a grey area is that there is no guideline as such from the IT department. One article of great help though is the guidance note on tax audit under Section 44AB by ICAI (Institute of chartered accountants of India, the governing body for CA’s). The article on Page 23, Section 5.12 of this guidance note has a guideline on how turnover can be calculated. It says:
Delivery based transactions
For all delivery based transactions, where you buy stocks and hold it more than 1 day and sell them, the total value of the sales is to be considered as turnover. So if you bought 100 Reliance shares at Rs 800 and sold them at Rs 820, the selling value of Rs 82000 (820 x 100) can be considered as turnover.
But remember that the above calculation of turnover for delivery trades is only applicable if you are declaring equity delivery based trades also as a business income. If you are declaring them as capital gains or investments, there is no need to calculate turnover on such transactions. Also, there is no need for an audit if you have only capital gains irrespective of turnover or profitability.
For all speculative transactions, aggregate or absolute sum of both positive and negative differences from trades is to be considered as a turnover. So if you buy 100 shares of Reliance at 800 in the morning and sell at 820 by afternoon, you make a profit or positive difference of Rs 2000, this Rs.2000 can be considered as turnover for this trade.
Non-speculative transactions (Futures and options)
For all non-speculative transactions, the article says that turnover to be determined as follows –
The total of favourable and unfavourable differences shall be taken as turnover
Premium received on sale of options is also to be included in turnover
In respect of any reverse trades entered, the difference thereon should also form part of the turnover.
So if you buy 25 units or 1 lot of Nifty futures at 8000 and sell at 7900, Rs.2500 (25 x 100) the negative difference or loss on the trade is turnover.
In options, if you buy 100 or 4 lots of Nifty 8200 calls at Rs.20 and sell at Rs.30. Firstly, the favourable difference or profit of Rs 1000 (10 x 100) is the turnover. But premium received on sale also has to be considered turnover, which is Rs 30 x 100 = Rs 3000. So total turnover on this option trade = 1000 +3000 = Rs 4000.
Carry forward and setoff of business loss:
Speculative losses (Loss from intraday equity trading) can be carried forward for 4 years and can be set-off only against any speculative gains you make in that period.
Non-speculative losses can be set-off against any other business income except salary income. So they can be set-off against bank interest income, rental income, capital gains, but only in the same year. They can be carry forwarded for the nest 8 years however non-speculative losses can be set-off only against any non-speculative gains made in that period.
Offsetting of losses:
Speculative (Intraday equity) loss can’t be offset with non-speculative (F&O) gains, but speculative gains can be offset with non-speculative losses.
In the case of HUF, the Aadhaar number of Karta shall be linked with the PAN card of HUF. In the case of other non-corporate organizations, Aadhaar number of the principal person of the organization shall be linked with the PAN card of the organization.
In the case of HUF, the Aadhaar number of Karta shall be linked with the PAN card of HUF. In the case of other non-corporate organizations, Aadhaar number of the principal person of the organization shall be linked with the PAN card of the organization.
VRS is a monetary facility provided by the corporates for the retrenchment of some of its employees due to various reasons related to employees and the company. It is opted by an employee that wishes to voluntarily end his or her service tenure at the organization before his or her retirement date.Read more
VRS is a monetary facility provided by the corporates for the retrenchment of some of its employees due to various reasons related to employees and the company. It is opted by an employee that wishes to voluntarily end his or her service tenure at the organization before his or her retirement date.
It is applicable only to a person that has completed 10 years’ service in the organization. The person must be above the age of 40 years. · It applies to all employees, including workers and executives of the company, except the director of the company or cooperative society.
An Individual can receive VRS from more than one company in his lifetime. But he can plan his tax liability only once.
In case of receipt of past salary, salary in advance or receipt of family pension in arrears, tax relief under section 89(1) is allowed. Here’s how you can calculate the tax relief as per below steps – Step 1: First calculate the tax payable on the total income, including additional salary – in theRead more
In case of receipt of past salary, salary in advance or receipt of family pension in arrears, tax relief under section 89(1) is allowed.
Here’s how you can calculate the tax relief as per below steps –
Step 1:
First calculate the tax payable on the total income, including additional salary – in the year it is received.
Step 2:
Now calculate tax payable on the total income, excluding additional salary in the year it is received. You need to subtract the arrear received from the employer from the total salary received
Step 3:
Calculate the difference between Step 1 and Step 2.
This will give you the additional tax liability arrived due to arrears of income.
Step 4:
Now calculate the tax payable on the total income of that year to which the arrears relate, excluding arrears.
Step 5:
Calculate tax payable on the total income of that year to which the arrears relate, including arrears
Step 6:
Calculate the difference between Step 4 and Step 5.
This will calculate the actual tax liability in any past year pertaining to which arrears have been received in the current year, had the full arrears received in the same past year.
Step 7:
Excess of the amount at Step 3 over Step 6 is the tax relief that shall be allowed. ( Step 3 minus Step 6). If the amount in Step 6 is more than the amount in Step 3, no relief shall be allowed.
Yes you can claim the exemption of HRA as per section 10(13A) as it has no bearing on your home loan interest deduction. The deduction of Interest on the home loans can be taken under section 24b. so, Both can be claimed. In fact, the interest paid on the home loan can be considered as the cost of tRead more
Yes
you can claim the exemption of HRA as per section 10(13A) as it has no bearing on your home loan interest deduction. The deduction of Interest on the home loans can be taken under section 24b.
so, Both can be claimed.
In fact, the interest paid on the home loan can be considered as the cost of the acquisition of property at the time of selling the property and calculating capital gain.
GST registration is required for Charitable Trust running medical store to give medicines without profit. Since charitable Trust is running a medical store, and selling medicines to customers at a lower rate with no profit, sale of medicine by Trust would be a taxable supply of goods; aggregate turnRead more
GST registration is required for Charitable Trust running medical store to give medicines without profit.
Since charitable Trust is running a medical store, and selling medicines to customers at a lower rate with no profit, sale of medicine by Trust would be a taxable supply of goods; aggregate turnover exceeding threshold limit, Trust would have to obtain registration
Do the Statutory Auditors have a right to access all the Board Agenda and Minutes thereof?
It is not clear if the auditor can check or not, please clarify.
It is not clear if the auditor can check or not, please clarify.
See lessWhat is the last date to revise TDS return?
If any deficiencies are noticed in the existing TDS Return such as incorrect PAN, incorrect challan details, the revised TDS return should file. To file a revised TDS return there is no time limit. Interest will be levied if there is any TDS liability arising on the filing of the revised return. ThRead more
If any deficiencies are noticed in the existing TDS Return such as incorrect PAN, incorrect challan details, the revised TDS return should file.
To file a revised TDS return there is no time limit. Interest will be levied if there is any TDS liability arising on the filing of the revised return. The penalty is also levied if it is filed for other reasons.
The following are the various types of corrections that can be made to an accepted TDS Return:-
TDS Revised Return statement can only be filed if the original return has been accepted by the Tin Central System. You can check the status of the regular statement on the TIN website by entering the TAN No. and Provisional Receipt No./ Token No. on https://onlineservices.tin.nsdl.com/TIN/JSP/tds/linktoUnAuthorizedInput.jsp
See lesswhat is GST?
GST (Goods and Services Tax) is an Indirect tax and applied on the sale of goods and services. Earlier, there were lots of other Indirect taxes such as VAT, service tax, purchase tax, excise duty, etc, GST replaced all of these taxes. GST is applicable all over India and has similar rate of taxes (5Read more
GST (Goods and Services Tax) is an Indirect tax and applied on the sale of goods and services. Earlier, there were lots of other Indirect taxes such as VAT, service tax, purchase tax, excise duty, etc, GST replaced all of these taxes.
GST is applicable all over India and has similar rate of taxes (5%, 12% , 18% , & 28%.) on all services and products all over India. it is a multi-stage tax system that aims to curb the cascading effect of other Indirect taxes.
See lessWhat Is Farmers Producers Organization (FPO)?
FPO is an organization where the members are farmers. Farmers Producers Organization provides end-to-end support and services to the small farmers and covers technical services, marketing, processing, and others aspects of agriculture inputs. The object behind the Farmer Producer Organizations (FPO)Read more
FPO is an organization where the members are farmers. Farmers Producers Organization provides end-to-end support and services to the small farmers and covers technical services, marketing, processing, and others aspects of agriculture inputs.
The object behind the Farmer Producer Organizations (FPO) is that the “Farmers, who are the producers of their agriculture products, can form the groups and can register themselves under the Indian Companies Act
The Small Farmers Agribusiness Consortium (SFAC) supports the State Government to form the Farmer Producer Organizations (FPOs). The goal is to enhance the farmers’ competitiveness. The major operations of the Farmers Producer Organization (FPO) include the supply of seed, machinery, market linkages & fertilizer, training, networking, financial and technical advice.
The Farmer Producer Organization ensures a better income for the producers through an organization of their own and to increase their advantage in emerging market opportunities.
Small producers do not have the volume individually to get the benefit of economies of scale. Also in agricultural marketing, the chain of intermediaries take the advantage of small farmers by buying their products at lower rates. By FPO they will be eliminated. Farmers Producers can get the advantage of better bargaining power by bulk production and supplies.
See lessHow to show income of commodities trading and income from future & options in ITR?
Trading in futures & options must be reported as a business income in the financial year. It is treated as Non-speculative business income. Income from trading in Futures and options (both intraday and overnight) is considered as normal business income/loss. Hence ITR-4 needs to be required forRead more
Trading in futures & options must be reported as a business income in the financial year. It is treated as Non-speculative business income.
Income from trading in Futures and options (both intraday and overnight) is considered as normal business income/loss. Hence ITR-4 needs to be required for this income for the assessment year 2021-22. F&O is also considered as non-speculative as these instruments are used for hedging and meant for taking/giving delivery of the underlying contracts.
Assessee can also claim expenses from the earnings of your business. Expenses like brokerage, broker’s commission, subscriptions to journals related to trading, telephone bills, internet costs, consultant charges, fee of experts or salary of staff, all of these can be claimed. Assessee need to maintain proper records of all these expenses.
Turnover:
The method of calculating turnover is a debatable issue and what makes it a grey area is that there is no guideline as such from the IT department. One article of great help though is the guidance note on tax audit under Section 44AB by ICAI (Institute of chartered accountants of India, the governing body for CA’s). The article on Page 23, Section 5.12 of this guidance note has a guideline on how turnover can be calculated. It says:
For all delivery based transactions, where you buy stocks and hold it more than 1 day and sell them, the total value of the sales is to be considered as turnover. So if you bought 100 Reliance shares at Rs 800 and sold them at Rs 820, the selling value of Rs 82000 (820 x 100) can be considered as turnover.
But remember that the above calculation of turnover for delivery trades is only applicable if you are declaring equity delivery based trades also as a business income. If you are declaring them as capital gains or investments, there is no need to calculate turnover on such transactions. Also, there is no need for an audit if you have only capital gains irrespective of turnover or profitability.
For all speculative transactions, aggregate or absolute sum of both positive and negative differences from trades is to be considered as a turnover. So if you buy 100 shares of Reliance at 800 in the morning and sell at 820 by afternoon, you make a profit or positive difference of Rs 2000, this Rs.2000 can be considered as turnover for this trade.
For all non-speculative transactions, the article says that turnover to be determined as follows –
So if you buy 25 units or 1 lot of Nifty futures at 8000 and sell at 7900, Rs.2500 (25 x 100) the negative difference or loss on the trade is turnover.
In options, if you buy 100 or 4 lots of Nifty 8200 calls at Rs.20 and sell at Rs.30. Firstly, the favourable difference or profit of Rs 1000 (10 x 100) is the turnover. But premium received on sale also has to be considered turnover, which is Rs 30 x 100 = Rs 3000. So total turnover on this option trade = 1000 +3000 = Rs 4000.
Carry forward and setoff of business loss:
Speculative losses (Loss from intraday equity trading) can be carried forward for 4 years and can be set-off only against any speculative gains you make in that period.
Non-speculative losses can be set-off against any other business income except salary income. So they can be set-off against bank interest income, rental income, capital gains, but only in the same year. They can be carry forwarded for the nest 8 years however non-speculative losses can be set-off only against any non-speculative gains made in that period.
Offsetting of losses:
Speculative (Intraday equity) loss can’t be offset with non-speculative (F&O) gains, but speculative gains can be offset with non-speculative losses.
See lessHow to link Aadhaar number at ITR portal in case of HUF ?
In the case of HUF, the Aadhaar number of Karta shall be linked with the PAN card of HUF. In the case of other non-corporate organizations, Aadhaar number of the principal person of the organization shall be linked with the PAN card of the organization.
In the case of HUF, the Aadhaar number of Karta shall be linked with the PAN card of HUF. In the case of other non-corporate organizations, Aadhaar number of the principal person of the organization shall be linked with the PAN card of the organization.
See lessWhat is Voluntary Retirement Scheme and who can availed the VRS??
VRS is a monetary facility provided by the corporates for the retrenchment of some of its employees due to various reasons related to employees and the company. It is opted by an employee that wishes to voluntarily end his or her service tenure at the organization before his or her retirement date.Read more
VRS is a monetary facility provided by the corporates for the retrenchment of some of its employees due to various reasons related to employees and the company. It is opted by an employee that wishes to voluntarily end his or her service tenure at the organization before his or her retirement date.
It is applicable only to a person that has completed 10 years’ service in the organization. The person must be above the age of 40 years. · It applies to all employees, including workers and executives of the company, except the director of the company or cooperative society.
An Individual can receive VRS from more than one company in his lifetime. But he can plan his tax liability only once.
See lessHow to calculate tax relief under Section 89(1) on salary arrears?
In case of receipt of past salary, salary in advance or receipt of family pension in arrears, tax relief under section 89(1) is allowed. Here’s how you can calculate the tax relief as per below steps – Step 1: First calculate the tax payable on the total income, including additional salary – in theRead more
In case of receipt of past salary, salary in advance or receipt of family pension in arrears, tax relief under section 89(1) is allowed.
Here’s how you can calculate the tax relief as per below steps –
Step 1:
First calculate the tax payable on the total income, including additional salary – in the year it is received.
Step 2:
Now calculate tax payable on the total income, excluding additional salary in the year it is received. You need to subtract the arrear received from the employer from the total salary received
Step 3:
Calculate the difference between Step 1 and Step 2.
This will give you the additional tax liability arrived due to arrears of income.
Step 4:
Now calculate the tax payable on the total income of that year to which the arrears relate, excluding arrears.
Step 5:
Calculate tax payable on the total income of that year to which the arrears relate, including arrears
Step 6:
Calculate the difference between Step 4 and Step 5.
This will calculate the actual tax liability in any past year pertaining to which arrears have been received in the current year, had the full arrears received in the same past year.
Step 7:
See lessExcess of the amount at Step 3 over Step 6 is the tax relief that shall be allowed. ( Step 3 minus Step 6). If the amount in Step 6 is more than the amount in Step 3, no relief shall be allowed.
Can I Claim HRA and Deduction of Home Loan Interest as well?
Yes you can claim the exemption of HRA as per section 10(13A) as it has no bearing on your home loan interest deduction. The deduction of Interest on the home loans can be taken under section 24b. so, Both can be claimed. In fact, the interest paid on the home loan can be considered as the cost of tRead more
Yes
you can claim the exemption of HRA as per section 10(13A) as it has no bearing on your home loan interest deduction. The deduction of Interest on the home loans can be taken under section 24b.
so, Both can be claimed.
In fact, the interest paid on the home loan can be considered as the cost of the acquisition of property at the time of selling the property and calculating capital gain.
See lessIs GST registration required for Charitable Trust running medical store to give medicines without profit?
GST registration is required for Charitable Trust running medical store to give medicines without profit. Since charitable Trust is running a medical store, and selling medicines to customers at a lower rate with no profit, sale of medicine by Trust would be a taxable supply of goods; aggregate turnRead more
GST registration is required for Charitable Trust running medical store to give medicines without profit.
Since charitable Trust is running a medical store, and selling medicines to customers at a lower rate with no profit, sale of medicine by Trust would be a taxable supply of goods; aggregate turnover exceeding threshold limit, Trust would have to obtain registration
See less