Direct & Indirect Taxes, Tax Ready Reckoner for AY 2022-23 & 2023-24
  • Home
  • Gross Total Income (GTI)
    • All
    • Business and Profession
    • Capital Gains
    • Clubbing of Income
    • Deductions
    • House Property
    • Other Sources
    • Salaries
    • Set Off of Losses
    Basic Rules of Deductions

    Basic Rules of Deductions under Section 80C to 80U [Sections 80A/80AB/80AC]

    Deduction under Section 80C

    Section 80C: Income Tax Deductions for AY 2022-23 and 2023-24

    Deduction under Section 80CCD

    Section 80CCD : Deduction in respect of Contribution to a National Pension Scheme (NPS)

    Deduction under Section 80D

    Section 80D : Deduction in respect of Medical Insurance Premia

    Deduction under Section 80DD

    [Section 80DD]: Deduction in respect of Caring & Maintenance including Medical Treatment of a Disabled Dependent

    Deduction under Section 80DDB

    Section 80DDB : Deduction in respect of Medical Treatment, etc.- to what extent available

    Trending Tags

    • Gross Total Income (GTI)
    • Perquisites
    • Allowances
  • Amendments Bill 2022
    Amendments relating to Penalties and Prosecutions by the Finance Bill- 2022

    Amendments relating to Penalties and Prosecutions by the Finance Bill, 2022

    Amendments relating to Appeals and Revisions by the Finance Bill- 2022

    Amendments relating to Appeals and Revisions by the Finance Bill, 2022

    Amendments relating to Deduction and Collection of Tax at Source by the Finance Bill 2022

    Amendments relating to Deduction and Collection of Tax at Source by the Finance Bill 2022

    Amendments relating to Set off or Carry Forward and Set off of Losses by the Finance Bill 2022

    Amendments relating to Set off or Carry Forward and Set off of Losses by the Finance Bill 2022

    Amendments relating to Unexplained Cash Credits- Investment- Money etc by the Finance Bill 2022

    Amendments relating to Unexplained Cash Credits, Investment, Money etc. by the Finance Bill 2022

    Amendments relating to Income under the Head Profits and Gains of Business or Profession - By Finance Bill 2022

    Amendments to Profits and Gains of Business or Profession – By Finance Bill 2022

    Trending Tags

    • Income Tax
      • All
      • Agricultural Income
      • Exempted Incomes
      • Residential Status
      • Taxation in Companies
      Types-Definitions and Residential Status of Companies

      Types, Definitions and Residential Status of Companies

      Taxation of a Foreign Company

      (Section 115JH): Special Provisions Relating to Foreign Company said to be Resident In India

      Special Provisions in case of Closely Held Company

      Special Provisions applicable to a Closely Held Company in which Public are Not Substantially Interested

      Tax on Total Income of a Company

      Tax on Total Income of a Company

      Section 115BA - Tax on Manufacturing Domestic Company

      [Section 115BA]: Tax on income of Certain Manufacturing Domestic Companies

      Section 115BAA- Tax on Domestic Company

      [Section 115BAA]: Special Provisions of Tax on Income of Certain Domestic Companies

      Trending Tags

      • Section-10
      • Exempted Incomes
      • Income Tax Rate
      • Residential Status
      • Exempted Incomes
      • Residential Status
      • Taxation in Companies
    • Assessment
      Types-Definitions and Residential Status of Companies

      Types, Definitions and Residential Status of Companies

      Taxation of a Foreign Company

      (Section 115JH): Special Provisions Relating to Foreign Company said to be Resident In India

      Special Provisions in case of Closely Held Company

      Special Provisions applicable to a Closely Held Company in which Public are Not Substantially Interested

      Tax on Total Income of a Company

      Tax on Total Income of a Company

      Section 115BA - Tax on Manufacturing Domestic Company

      [Section 115BA]: Tax on income of Certain Manufacturing Domestic Companies

      Section 115BAA- Tax on Domestic Company

      [Section 115BAA]: Special Provisions of Tax on Income of Certain Domestic Companies

      Trending Tags

      • Knowledgebase on IT
        • All
        • Investment Planning
        Investment Planning for Tax Savings A.Y. 2023-24

        Investment Planning for Tax Savings A.Y. 2023-24

        Prescribed Reports-Certificates from a Chartered Accountant

        Prescribed Reports/Certificates from a Chartered Accountant under Section 288(2).

        Prescribed Audit Reports under the Income Tax Rules-Act.

        Prescribed Audit Reports under the Income Tax Rules/ Act.

        Investment in National Saving Certificate (NSC)

        Investment in National Saving Certificate (NSC) for A.Y. 2022-23 & 2023-24.

        Investment in TERM LIFE INSURANCE

        Investment in TERM LIFE INSURANCE for A.Y. 2022-23 & 2023-24.

        Investment in National Pension Scheme (NPS)

        Investment in National Pension Scheme (NPS) for A.Y. 2022-23 & 2023-24.

        Trending Tags

        • Filing an Appeal
        • Tax Saving Investment
        • Audit Report
        • Investment Planning
      No Result
      View All Result
      Direct & Indirect Taxes, Tax Ready Reckoner for AY 2022-23 & 2023-24
      • Home
      • Gross Total Income (GTI)
        • All
        • Business and Profession
        • Capital Gains
        • Clubbing of Income
        • Deductions
        • House Property
        • Other Sources
        • Salaries
        • Set Off of Losses
        Basic Rules of Deductions

        Basic Rules of Deductions under Section 80C to 80U [Sections 80A/80AB/80AC]

        Deduction under Section 80C

        Section 80C: Income Tax Deductions for AY 2022-23 and 2023-24

        Deduction under Section 80CCD

        Section 80CCD : Deduction in respect of Contribution to a National Pension Scheme (NPS)

        Deduction under Section 80D

        Section 80D : Deduction in respect of Medical Insurance Premia

        Deduction under Section 80DD

        [Section 80DD]: Deduction in respect of Caring & Maintenance including Medical Treatment of a Disabled Dependent

        Deduction under Section 80DDB

        Section 80DDB : Deduction in respect of Medical Treatment, etc.- to what extent available

        Trending Tags

        • Gross Total Income (GTI)
        • Perquisites
        • Allowances
      • Amendments Bill 2022
        Amendments relating to Penalties and Prosecutions by the Finance Bill- 2022

        Amendments relating to Penalties and Prosecutions by the Finance Bill, 2022

        Amendments relating to Appeals and Revisions by the Finance Bill- 2022

        Amendments relating to Appeals and Revisions by the Finance Bill, 2022

        Amendments relating to Deduction and Collection of Tax at Source by the Finance Bill 2022

        Amendments relating to Deduction and Collection of Tax at Source by the Finance Bill 2022

        Amendments relating to Set off or Carry Forward and Set off of Losses by the Finance Bill 2022

        Amendments relating to Set off or Carry Forward and Set off of Losses by the Finance Bill 2022

        Amendments relating to Unexplained Cash Credits- Investment- Money etc by the Finance Bill 2022

        Amendments relating to Unexplained Cash Credits, Investment, Money etc. by the Finance Bill 2022

        Amendments relating to Income under the Head Profits and Gains of Business or Profession - By Finance Bill 2022

        Amendments to Profits and Gains of Business or Profession – By Finance Bill 2022

        Trending Tags

        • Income Tax
          • All
          • Agricultural Income
          • Exempted Incomes
          • Residential Status
          • Taxation in Companies
          Types-Definitions and Residential Status of Companies

          Types, Definitions and Residential Status of Companies

          Taxation of a Foreign Company

          (Section 115JH): Special Provisions Relating to Foreign Company said to be Resident In India

          Special Provisions in case of Closely Held Company

          Special Provisions applicable to a Closely Held Company in which Public are Not Substantially Interested

          Tax on Total Income of a Company

          Tax on Total Income of a Company

          Section 115BA - Tax on Manufacturing Domestic Company

          [Section 115BA]: Tax on income of Certain Manufacturing Domestic Companies

          Section 115BAA- Tax on Domestic Company

          [Section 115BAA]: Special Provisions of Tax on Income of Certain Domestic Companies

          Trending Tags

          • Section-10
          • Exempted Incomes
          • Income Tax Rate
          • Residential Status
          • Exempted Incomes
          • Residential Status
          • Taxation in Companies
        • Assessment
          Types-Definitions and Residential Status of Companies

          Types, Definitions and Residential Status of Companies

          Taxation of a Foreign Company

          (Section 115JH): Special Provisions Relating to Foreign Company said to be Resident In India

          Special Provisions in case of Closely Held Company

          Special Provisions applicable to a Closely Held Company in which Public are Not Substantially Interested

          Tax on Total Income of a Company

          Tax on Total Income of a Company

          Section 115BA - Tax on Manufacturing Domestic Company

          [Section 115BA]: Tax on income of Certain Manufacturing Domestic Companies

          Section 115BAA- Tax on Domestic Company

          [Section 115BAA]: Special Provisions of Tax on Income of Certain Domestic Companies

          Trending Tags

          • Knowledgebase on IT
            • All
            • Investment Planning
            Investment Planning for Tax Savings A.Y. 2023-24

            Investment Planning for Tax Savings A.Y. 2023-24

            Prescribed Reports-Certificates from a Chartered Accountant

            Prescribed Reports/Certificates from a Chartered Accountant under Section 288(2).

            Prescribed Audit Reports under the Income Tax Rules-Act.

            Prescribed Audit Reports under the Income Tax Rules/ Act.

            Investment in National Saving Certificate (NSC)

            Investment in National Saving Certificate (NSC) for A.Y. 2022-23 & 2023-24.

            Investment in TERM LIFE INSURANCE

            Investment in TERM LIFE INSURANCE for A.Y. 2022-23 & 2023-24.

            Investment in National Pension Scheme (NPS)

            Investment in National Pension Scheme (NPS) for A.Y. 2022-23 & 2023-24.

            Trending Tags

            • Filing an Appeal
            • Tax Saving Investment
            • Audit Report
            • Investment Planning
          No Result
          View All Result
          Direct & Indirect Taxes, Tax Ready Reckoner for AY 2022-23 & 2023-24
          No Result
          View All Result
          Home Gross Total Income (GTI) Deductions

          [Section 80JJAA]: Deduction in respect of Employment of New Employees

          The Provisions of Section 80JJAA towards Deduction in respect of Employment of New Employees are given here and one has to satisfy the following conditions :

          in Gross Total Income (GTI), Deductions
          A A
          Deduction under Section 80JJAA

          Deduction under Section 80JJAA

          Share on FacebookShare on TwitterShare on Pinterest

          The Provisions of Section 80JJAA towards Deduction in respect of Employment of New Employees are given here and one has to satisfy the following conditions :

          Table of Contents

          • (1)      30% of additional Employee Cost to be Allowed as Deduction for 3 Assessment Years [Section 80JJAA(1)]:
          • (2)      Essential Conditions [Section 80JJAA(2)]:
          • Explanation.—For the purposes of this Section 80-JJAA
            • (i)   Additional Employee Cost:
            • (ii) Additional employee:
            • (iii) Emoluments:

          (1)      30% of additional Employee Cost to be Allowed as Deduction for 3 Assessment Years [Section 80JJAA(1)]:

          Where the gross total income of an assessee to whom section 44AB applies, includes any profits and gains derived from business, there shall, subject to the conditions specified in section 80JJAA(2), be allowed a deduction of an amount equal to 30% of additional employee cost incurred in the course of such business in the previous year, for 3 assessment years including the assessment year relevant to the previous year in which such employment is provided.

          (2)      Essential Conditions [Section 80JJAA(2)]:

          No deduction under section 80JJAA(1) shall be allowed,—

          (a)  if the business is formed by splitting up, or the reconstruction, of an existing business:

          However, nothing contained in this clause shall apply in respect of a business which is formed as a result of re-establishment, reconstruction or revival by the assessee of the business in the circumstances and within the period specified in section 33B;

          (b)  if the business is acquired by the assessee by way of transfer from any other person or as a result of any business reorganisation;

          (c)  unless the assessee furnishes at least 1 month before the due date of furnishing the return of income the report of a chartered accountant giving such particulars in the report as may be prescribed.

          Explanation.—For the purposes of this Section 80-JJAA

          (i)   Additional Employee Cost:

          “Additional employee cost” means total emoluments paid or payable to additional employees employed during the previous year:

          Provided that in the case of an existing business, the additional employee cost shall be nil, if

          (a)  there is no increase in the number of employees from the total number of employees employed as on the last day of the preceding year;

          (b)  emoluments are paid otherwise than by an account payee cheque or account payee bank draft or by use of electronic clearing system through a bank account or such other electronic mode as may be prescribed:

          Provided further that in the first year of a new business, emoluments paid or payable to employees employed during that previous year shall be deemed to be the additional employee cost;

          Provided further that where an employee is employed during the previous year for a period of less than 240 days or 150 days, as the case may be, hut is employed for a period of 240 days or 150 days, as the case may be, in the immediately succeeding year, he shall be deemed to have been employed in the succeeding year and the provisions of this section shall apply accordingly.

          The above proviso has rationalized the deduction of 30% by allowing the benefit for a new employee who is employed for less than the minimum period of 240 days or 150 days, as the case may be, during the first year but continues to remain employed for the minimum period of 240 days or 150 days, as the case may be, in the subsequent year.

          (ii) Additional employee:

          “Additional employee” means an employee who has been employed during the previous year and whose employment has the effect of increasing the total number of employees employed by the employer as on the last day of the preceding year, but does not include,—

          (a)  an employee whose total emoluments are more than 25,000 p.m.; or

          (b)  an employee for whom the entire contribution is paid by the Government under the Employees’ Pension Scheme notified in accordance with the provisions of the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952; or

          (c)  an employee employed for a period of less than 240 days during the previous year:

          Provided that in the case of an assessee who is engaged in the business of manufacturing of apparel or footwear or leather products, the provisions of sub-clause (c) above shall have effect as if for the words “240 days”, the words “150 days” had been substituted; or

          (d)  an employee who does not participate in the recognised provident fund;

          (iii) Emoluments:

          “Emoluments” means any sum paid or payable to an employee in lieu of his employment by whatever name called, but does not include—

          (a)  any contribution paid or payable by the employer to any pension fund or provident fund or any other fund for the benefit of the employee under any law for the time being in force; and

          (b)  any lump-sum payment paid or payable to an employee at the time of termination of his service or superannuation or voluntary retirement, such as gratuity, severance pay, leave encashment, voluntary retrenchment benefits, commutation of pension and the like.

          Note.—If a company opts to be taxed under section 115BAA or it is eligible for benefit of section 115BAB, the deduction under section 80JJAA and section 80M shall still be allowed although it is not allowed any other deduction under Chapter VIA. Similarly, if an individual/HUF or a co-operative society opts to be taxed under section 115BAC or section 115BAD, as the case may be, the deduction under section 80JJAA shall still be allowed although it is not allowed any other deduction under Chapter VIA.
          Tags: Deduction
          ShareTweetPin1
          Previous Post

          Section 80P: Deduction in respect of Income of Co-operative Societies

          Next Post

          Section 80-IE: Deduction in respect of Certain Undertakings in North Eastern States

          Related Posts

          Basic Rules of Deductions
          Deductions

          Basic Rules of Deductions under Section 80C to 80U [Sections 80A/80AB/80AC]

          March 9, 2023
          Deduction under Section 80C
          Deductions

          Section 80C: Income Tax Deductions for AY 2022-23 and 2023-24

          March 9, 2023
          Deduction under Section 80CCD
          Deductions

          Section 80CCD : Deduction in respect of Contribution to a National Pension Scheme (NPS)

          March 9, 2023
          Deduction under Section 80D
          Deductions

          Section 80D : Deduction in respect of Medical Insurance Premia

          March 9, 2023
          Deduction under Section 80DD
          Deductions

          [Section 80DD]: Deduction in respect of Caring & Maintenance including Medical Treatment of a Disabled Dependent

          March 9, 2023
          Deduction under Section 80DDB
          Deductions

          Section 80DDB : Deduction in respect of Medical Treatment, etc.- to what extent available

          March 9, 2023
          Next Post
          Deduction under Section 80IE

          Section 80-IE: Deduction in respect of Certain Undertakings in North Eastern States

          Deduction under Section 80-IBA

          Section 80-IBA: Deduction in respect of Profits and Gains from Housing Projects

          Deduction under Section 80-IAC

          Section 80IAC: Deduction in respect of Eligible Business or Eligible Start Up

          • Trending
          • Comments
          • Latest
          Rates of Income Tax for Assessment Year 2022-23 & 2023-24

          Rates of Income Tax for Assessment Year 2022-23 & 2023-24

          January 12, 2023
          Exempted Incomes - Section 10

          Exempted Incomes under Section 10 to 13A under Income Tax Act. 1956

          March 13, 2023
          Residential Status [Sections 5 to 9B]

          Residential Status [Sections 5 to 9B]

          March 4, 2023
          Amendments relating to Incomes which do not Form Part of Total Income by The Finance Bill 2022

          Amendments relating to ‘Exempted Incomes -Section-10’ by The Finance Bill 2022

          November 2, 2022
          Investment in TERM LIFE INSURANCE

          Investment in TERM LIFE INSURANCE for A.Y. 2022-23 & 2023-24.

          18
          Rates of Income Tax for Assessment Year 2022-23 & 2023-24

          Rates of Income Tax for Assessment Year 2022-23 & 2023-24

          0
          Amendments relating to Incomes which do not Form Part of Total Income by The Finance Bill 2022

          Amendments relating to ‘Exempted Incomes -Section-10’ by The Finance Bill 2022

          0
          Amendments relating to Income under the Head Profits and Gains of Business or Profession - By Finance Bill 2022

          Amendments to Profits and Gains of Business or Profession – By Finance Bill 2022

          0
          Types-Definitions and Residential Status of Companies

          Types, Definitions and Residential Status of Companies

          March 21, 2023
          Taxation of a Foreign Company

          (Section 115JH): Special Provisions Relating to Foreign Company said to be Resident In India

          March 21, 2023
          Special Provisions in case of Closely Held Company

          Special Provisions applicable to a Closely Held Company in which Public are Not Substantially Interested

          March 21, 2023
          Tax on Total Income of a Company

          Tax on Total Income of a Company

          March 21, 2023

          Recent Posts

          Assessment of an Individual

          Assessment of an Individual – Computation of Taxable Income

          March 13, 2023
          Rates of Income Tax for Assessment Year 2022-23 & 2023-24

          Rates of Income Tax for Assessment Year 2022-23 & 2023-24

          January 12, 2023
          Residential Status [Sections 5 to 9B]

          Residential Status [Sections 5 to 9B]

          March 4, 2023
          Alternate Minimum Tax (AMT) on all Persons

          Alternate Minimum Tax (AMT) on all Persons other than Companies [Sections 115JC to 115JF]

          March 13, 2023
          Direct & Indirect Taxes, Tax Ready Reckoner for AY 2022-23 & 2023-24

          Income Tax Management and Tax Ready Reckoner with Tax Planning for the Assessment Years 2022-2023 & 2023-2024 - for Students, Salaried, Professionals & Businessman.

          Browse by Category

          • Agricultural Income
          • Amendments Bill 2022
          • Assessment
          • Business and Profession
          • Capital Gains
          • Clubbing of Income
          • Deductions
          • Exempted Incomes
          • Gross Total Income (GTI)
          • House Property
          • Income Tax
          • Investment Planning
          • Knowledgebase on IT
          • Other Sources
          • Residential Status
          • Salaries
          • Set Off of Losses
          • Taxation in Companies

          Recent News

          Types-Definitions and Residential Status of Companies

          Types, Definitions and Residential Status of Companies

          March 21, 2023
          Taxation of a Foreign Company

          (Section 115JH): Special Provisions Relating to Foreign Company said to be Resident In India

          March 21, 2023
          • Home
          • Gross Total Income (GTI)
          • Amendments Bill 2022
          • Income Tax
          • Assessment
          • Knowledgebase on IT

          © 2023 : incomeTAXManagement.in - Assessment Years 2022-2023 & 2023-2024.

          No Result
          View All Result
          • Home
          • Gross Total Income (GTI)
          • Amendments Bill 2022
          • Income Tax
            • Exempted Incomes
            • Residential Status
            • Taxation in Companies
          • Assessment
          • Knowledgebase on IT
            • Investment Planning

          © 2023 : incomeTAXManagement.in - Assessment Years 2022-2023 & 2023-2024.