The provisions, which are being discussed under various sub-sections of section 40A have overriding effect over the provisions of any other section, because section 40A(1) clearly states that the provision of section 40A shall have effect notwithstanding anything to the contrary contained in any other provisions of the Act. Therefore any expenditure or allowance, though […]
Under Section 43B, some of the Expenses are allowed and can be claimed by the Assessee only in the year in which the payment is actually made for computing income under the head Business and Profession. Notwithstanding anything contained in any other provisions of Income-tax Act, in respect of certain expenditure/ payments, the deduction is
Income referred to in Section 68, 69A, 69B, 69C and 69D which are undisclosed income and Investments Taxed as Deemed Income of Business and Profession. 1. Cash credits [Section 68]: Where any sum is found credited in the books of an assessee, maintained for any previous year, and the assessee offers no explanation about the
What are the Deemed Profits and how they chargeable to Tax as Business Income 1. Recovery against any Allowance or Deduction Allowed earlier [(Section 4 1(1)] (A) Recovery by the same assessee (Section 41(1)(a)1: Where an allowance or deduction has been made in the assessment for any year in respect of (i) loss, (ii) expenditure
Deemed Profits Chargeable to Tax as Business Income Read More »
As per Section 44AA and Rule 6F, persons carrying on Business and Professions specified below are mandatorily required to maintain their books of accounts. 1. Person carrying on certain professions [Section 44AA(1)]: Every person, carrying on legal medical, engineering or architectural profession, or profession of accountancy or interior decoration or any other profession as is
Following Business are required to get their Accounts compulsory Tax Audited by a Chartered Accountant under Section 44AB for computing Profits and Gain of Business and Profession. 1. Following Business required to get their Accounts Compulsory Audited by CA under Section 44AB (1) Person carrying on business to get his accounts audited if his total
Special Provisions for computing Business income in certain cases on the basis of Estimated Income Method under Section 44AD, 44ADA, 44AE has been described with examples. 1. Special Provisions for computing profits and gains of Any Business [Section 44AD] (excluding the business covered under Section 44AE) (1) Eligible assessee engaged in an eligible business allowed
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Income under the head ‘Income from House Property’ under Section 22 to 27 has been described with practical examples for the AY- 2022-23 & 2023-24. Table showing …How to Compute “Income from House Property” 1. Gross annual value i.e. expected rent/actual rent received or receivable, whichever is higher ₹…………. However, in case of vacancy, expected rent
Income From “House Property” [Section 22 to 27] Read More »
1. Computation of Income under the head Income from “Salaries” The first head of income is income from “Salaries”. Sections 15, 16 and 17 of the Income-tax Act deal with the computation of income under the head “Salaries”. To understand the computation of income under the head “Salaries”, the following important concepts must first be
Income under the Head “Salaries” [Sections 15 to 17] Read More »
1. Allowances- Income under the head Salaries Allowance is a fixed monetary amount paid by the employer to the employee for meeting some particular expenses, whether personal or for the performance of his duties. These allowances are generally taxable and are to be included in the gross salary unless a specific exemption has been provided
Allowance- Meaning, Types and Treatment for Calculating Taxable Salary Income Read More »
