Make Your Business Compliance Easy

In case of individuals, income tax is applicable on the slab system on total income. As the income increases, the applicable tax rate increases. Some taxpayers in higher income slab may tend to divert some portion of their income to minimize tax burden. Therefore to prevent such tax avoidance, clubbing of income provisions have been incorporated.

So, if you are planning to transfer assets or income to another person in order to avoid tax implications, then such transfers could also be taxable in your hands.

Even genuine gifts to friends and family can also attract clubbing provisions under Income Tax Act. So, it is important to have insight knowledge of clubbing provisions to avoid any tax implications or penalties.

W.e.f.  13th August 2020, the e-assessment scheme of 2019 is amended to be known as “Facelesss Assessment Scheme”. 

Goods transport agency means any person who provides service in respect of transportation of goods by road and issues consignment note, by whatever name called.

When there is a sale of long term capital asset, the gains are usually quite large and are taxed at 20 %. Therefore, the tax amount comes out to be a large amount liable to be paid as Long term Capital Gain tax.

However, Govt. has given the option of claiming exemption from long term capital gains tax if the taxpayer reinvests the amount in certain specified forms of investment and can thereby save tax as per following sections:

1. Section 54
2. Section 54 EC
3. Section 54 F

As we know Income from salary, business and house property are taxed under various heads, Income/loss from sale of equity shares is taxed under the head “Capital Gains”.

CSR refers to practices & policies undertaken by corporations that are intended to have a positive influence on all aspects of the society including economic, social & environmental. It is important to both consumers & companies.

An HUF is a family which consists of all male lineal descendants from a common ancestor, and also the spouses and unmarried daughters of the descendants. While the male members are called coparceners, the females are referred to as members.

The senior-most male member is called the karta, and a typical HUF consists of a karta, his sons, grandsons, and great-grandsons (all of whom are coparceners), and their wives and unmarried daughters (all of whom are members). Even Jain, Buddhist and Sikh families can have HUFs.