TAX DESTINATION

Hello Everyone, Budget was announced yesterday. However, to understand the new rates and changes, we must have information about existing rates and limits. So in this article we will see what was existing law and what changes have come. Let's get started.  Presumptive Taxation   Micro enterprises with turnover up to 2 crore and certain professionals with turnover of up to 50 lakh can avail the benefit of presumptive taxation as per the current law. In the budget 2023, it is proposed to provide enhanced limits of 3 crore and 75 lakh respectively, to the tax payers whose cash receipts are no more than 5 per cent. Cooperation   New co-operatives that commence manufacturing activities till 31.3.2024 shall get the benefit of a lower tax rate of 15 per cent, as is presently available to new manufacturing companies. Start-Ups Extension of date of incorporation for eligible start up for exemption. Certain start-ups are eligible for some tax benefit if they are incorporated befo

Hello Everyone, Budget was announced yesterday. However, to understand the new rates and changes, we must have information about existing rates and limits. So in this article we will see what was existing law and what changes have come. Let's get started.  Presumptive Taxation   Micro enterprises with turnover up to 2 crore and certain professionals with turnover of up to 50 lakh can avail the benefit of presumptive taxation as per the current law. In the budget 2023, it is proposed to provide enhanced limits of 3 crore and 75 lakh respectively, to the tax payers whose cash receipts are no more than 5 per cent. Cooperation   New co-operatives that commence manufacturing activities till 31.3.2024 shall get the benefit of a lower tax rate of 15 per cent, as is presently available to new manufacturing companies. Start-Ups Extension of date of incorporation for eligible start up for exemption. Certain start-ups are eligible for some tax benefit if they are incorporated befo

Hello Everyone, The most awaited budget has been announced by Smt. Finance Minister Nirmala Sitaraman and we are here to give you a quick update on the same. On an overall basis, Unionbudget2023 is an attention-seeking budget. To list out there are many proposals on many things but the impact of all those things are same. The main example for this is, they have reduced Income tax rates, Rebates, and surcharges where you won't be having any deductions & exemptions that will yield the same impact as of the old regime. But it will create impact to government & seek attention from the public that Government has reduced tax rates. There are seven Priorities in Budget 2023 as below. Inclusive development Reaching the last mile Infra & investment Unleashing the potential Green growth Youth power Financial sector Capital investment outlay increased by 33% Capital investment outlay being increased by 33% to Rs 10 lakh crores, which would be 3.3% of GDP. 50-year interest-free l

Hello Everyone, The most awaited budget has been announced by Smt. Finance Minister Nirmala Sitaraman and we are here to give you a quick update on the same. On an overall basis, Unionbudget2023 is an attention-seeking budget. To list out there are many proposals on many things but the impact of all those things are same. The main example for this is, they have reduced Income tax rates, Rebates, and surcharges where you won't be having any deductions & exemptions that will yield the same impact as of the old regime. But it will create impact to government & seek attention from the public that Government has reduced tax rates. There are seven Priorities in Budget 2023 as below. Inclusive development Reaching the last mile Infra & investment Unleashing the potential Green growth Youth power Financial sector Capital investment outlay increased by 33% Capital investment outlay being increased by 33% to Rs 10 lakh crores, which would be 3.3% of GDP. 50-year interest-free l

Hello Everyone! Welcome back to Tax Destination. We are near the end of the Financial year 2023. So it is very important to do tax planning if you haven't done yet. This quarter is probably your last chance to save taxes for the financial year 2022-23. When we talk about tax saving, the first thing that comes in our mind is to avail various payment based deductions. So in this article we will talk about 80C deduction in detail. Who are eligible for 80C deduction Only an individual or a Hindu undivided family can avail the deduction available under 80C. This deduction is not available to companies, LLP, partnership firm and other person. Quantum of Deduction The maximum amount of deduction an Eligible person can claim is Rs 1,50,000. Section 80C can be claimed is Certain payments are made during the year. Let us discuss this payments. There are various payment in respect of which you can claim deduction under section 80C. For example, Life insurance premium, Sukanya Samriddhi yoj

Hello Everyone! Welcome back to Tax Destination. We are near the end of the Financial year 2023. So it is very important to do tax planning if you haven't done yet. This quarter is probably your last chance to save taxes for the financial year 2022-23. When we talk about tax saving, the first thing that comes in our mind is to avail various payment based deductions. So in this article we will talk about 80C deduction in detail. Who are eligible for 80C deduction Only an individual or a Hindu undivided family can avail the deduction available under 80C. This deduction is not available to companies, LLP, partnership firm and other person. Quantum of Deduction The maximum amount of deduction an Eligible person can claim is Rs 1,50,000. Section 80C can be claimed is Certain payments are made during the year. Let us discuss this payments. There are various payment in respect of which you can claim deduction under section 80C. For example, Life insurance premium, Sukanya Samriddhi yoj

Hello Everyone! Welcome back. As we are in the end of the year 2022, we also have some important due dates. Today in our blog we would be discussing about belated return and revised return whose last date is 31st December 2022. Belated return If the person fails to file the return of income within the time-limit prescribed in this regard, then as per section 139(4) he can file a belated return. A belated return can be filed at any time 3 months before the end of the relevant assessment year or before completion of assessment, whichever is earlier. So, for FY 2021-23 (AY 2022-23) it is 31st December 2022. Illustration Mr. Raja is a trader of agricultural products. Turnover of his business for the previous year 2021-22 amounted to Rs. 84,00,000. He has not opted for the presumptive taxation scheme of section 44AD i.e. not declaring income at 8% of sales. He declared income at less than 8% of sales. What will be the ‘due date’ for filing his return of income for the financial year 202122?