Income Tax Benefits in 2020: The HUF Advantage
HUF or Hindu Undivided Family is a unique taxable entity which is existing only in India. This entity is taxed independently from its members. This entity can be created by Hindus as well as by Sikhs, Jains and Buddhists also. Let’s see how it can be advantageous from a taxation perspective. How to create HUF The moment you are married, HUF is automatically created, however, it should...
How to make the most of the tax break in 2020?
Health problems coupled with their associated treatment expenses have been undergoing a rise in recent years especially due to poor lifestyle choices and changing food habits. We have seen that Indians self-finance 78% of their medical expenses out of which 72% comprise expenses related to purchasing medicines both before and after the procedures. This was the main reason behind the...
Save Tax Without Investing More! How?
Tax saving without investing? Seems like a dream, isn’t it? But yes, it’s true! There are certain exemptions and certain deductions which you can claim and gain the tax savings without investing a penny. Generally, these will come in the form of a loss from a certain head of income or certain expenses. So why wait? Let’s see what all is there in store for you. Housing loan benefit...
Difference between Tax Exemption and Tax Deduction
With the tax return filing season around the corner, many of you must be planning your taxes or reviewing your tax status. After putting so much effort in earning money, who likes paying taxes on their incomes? No one does, right?. But, like it or not, as per the current tax regulations, if your income is anywhere above Rs. 5 lakhs in a financial year, you would have to pay taxes. However,...
File Your Taxes Right – Changes to Note in the ITR-1 (SAHAJ) Form
It’s that time of the year again when you have to go through the process of filing your ITR. Don’t forget that the last date to file your ITR for FY 2018-19 is July 31, 2019 (if not extended by government)! Formerly, filing your ITR was a long drawn process, including long lines and a lot of paperwork. However, with the perceptible shift to digital, there have been many benefits in terms of...
10 things every salaried Taxpayer should know
Tax filing is important if you are an earning individual and are earning more than Rs.2.5 lakhs in a financial year. With the Government’s increased measures on curbing tax evasion, it has become necessary to file your taxes correctly. If you are a salaried employee, it becomes all the more important to be careful with your tax filing. In fact, the Income Tax Department has issued a warning...
How Health Insurance Becomes Tax Saving Tool?
There is no denying the fact that the need for health insurance within the insurance portfolio is an absolute must. The truth is that there have been rising concerns among people with regards to increasing health care costs and growing medical conditions. It has become mandatory for every individual to buy medical insurance. It is a comprehensive and well selected medical insurance that can...
Top 3 Noteworthy Tips to Help You Stay Away From Income Tax Notice
Had you ever faced any of the unwanted experience for not filing your Income Tax Returns? Here unwanted experience means receiving Income Tax Notices or an Income Tax raid at your house. Do you know why this happens? It’s because you lose the transparency between your income and tax paid while making yourself the victim of the IT department. This makes things more difficult when you...
All You Need To Know About DTAA (Double Tax Avoidance Agreement)
A DTAA is a tax settlement signed between two or more countries. Its chief objective is that the tax payers in these countries could avoid being taxed twice on the same earnings. A DTAA is applicable in situations where a tax payer lives in one country and earns the salary in another. DTAAs can either be extensive to obscure all sources of income or be bounded to specific areas such as taxing...