1. Interest on RBI 8% Savings Bonds, 2003 though taxable was till now exempted from TDS since they are Govt.
Taxation & Law
Indian Laws, Accounting and Taxation News, Service Tax, Financial Planning
With the government contemplating amendments in the pre-independence enacted Indian Trust Act, 1882, the trusts will have greater flexibility with their investment decisions.
The Finance Ministry is busy drafting the new Direct Tax Code which would be tabled in the winter session of Parliament.
The IT department is on a keen drive to increase tax collections and curb black economy.
Modus Operandi of Income Tax Scrutiny The main objective of the IT officer during scrutiny is to make sure that the income shown in the return is real and there is no tax evasion.
It seems that the government is all set to make Income Tax more complex and wipe away transparency from it.
The CBDT has recently issued a circular specifying instructions and clarifications on furnishing of returns in the new ITR forms: It is mandatory for the proprietory and partnership firms, which are tax auditable u/s 44AB and companies (other than claiming exemption u/s 11) to electronically furnish the return of income/fringe benefits.
As the last date for filing returns for the Asstt.Year 2007-08 is drawing to close, a lot of issues confuse the assessees as they fill the new forms.
Satisfied with the direct tax collections for the first quarter and confident of achieving the set targets, tax authorities are in the seventh heaven.
For the financial year 2006-07 (Asstt. year 2007-08), all non-corporate taxpayers, salaried persons, pensioners, professionals/self employed taxpayers with turnover below the tax audit limits have to file returns by July 31.
With the introduction of new annexure less ITR forms by the government, the complications for the taxpayer has increased rather than reducing.
The finance ministry in consultation with tax experts is drafting the new Direct Tax Code which will be introduced in 2008.
With the government still unclear about the final tax treatment of the periodic payments received by the borrower under a reverse mortgage scheme, many banking companies and especially the senior citizens (users for the product) are in a state of dilemma.
The sarkari babus in India are blogging! The tech-savvy Income Tax Department of India under the Ministry of Finance now has an official blog (yes, with feeds) to connect better with the tax payers of India.
70% of Indian population resides in the rural area but they have negligible insurance coverage. Thus it opens a huge opportunity for insurance marketers of micro-insurance products.
The State of Jammu & Kashmir so far, exempted from the clutches of service tax, will soon have 14 services under the tax net.
Whether it is stock market fraud or bank fraud or cyber fraud, forensic accounting has become an indispensable tool for investigation.