TDS under section 194-A of Income Tax Act 1961
TDS Section-194A Interest Other than Interest on Securities Section 194A mandates the deduction of TDS on interest income other than interest on securities. It covers interest earned on fixed deposits, recurring deposits, unsecured loans and advances, etc. This includes interest from: Bank deposit Post office deposit Cooperative banks Loans and advance Deposit with NBFC Threshold […]
Applicable TDS Provisions on Diwali Gifting to Employees, Suppliers or Customers
Applicable TDS Provisions on Diwali Gifting to Employees, Suppliers or Customers – Understanding TDS/Withholding tax provisions With Diwali approaching, many businesses plan to extend goodwill by offering gifts, hampers, travel packages, loyalty rewards or other benefits to employees, suppliers, dealers or customers. While such gestures strengthen relationships, they may also trigger tax deduction at […]
Understanding International Transactions in the Context of Transfer Pricing
Transfer pricing refers to the pricing method used when goods or services are exchanged between associated enterprises. The purpose of transfer pricing laws is to ensure that such transactions are conducted at a fair and unbiased price, similar to what would be charged in a transaction between unrelated parties. The objective of Transfer Pricing Laws The primary goal of transfer […]
How to Choose the Best Online Services for GST Registration and Private Limited Company Registration
Starting a business in India is a thrilling experience, but it also entails navigating essential formalities such as GST registration and Private Limited Company registration. These are required for enterprises to ensure compliance with legal and tax rules, resulting in seamless operations. While the procedures may appear challenging, online service providers’ expertise and technology-driven solutions make them simpler […]
A Comprehensive Tax Planning Strategies for Businesses in Gurgaon
Tax planning is a crucial factor in any firm’s financial management. Whether you run a small or medium-sized business, effective tax planning may help you manage your responsibilities, utilize your resources, and stay in compliance with local legislation. In Gurgaon, a bustling business hub, adopting effective tax planning strategies is especially crucial given the region’s competitive landscape and […]
How to File Income Tax Returns Online: A Simple Guide for Beginners
Filing Income Tax Returns (ITR) is a legal responsibility of every individual or business earning above a certain threshold in India. While the process may appear frightening to novices, online tax filing, or e-filing, has made it simple, efficient, and time-saving. The blog makes the tax filing process easier for beginners by providing step-by-step instructions and essential information for a […]
Section 194T Explained: TDS on Payments by Partnership Firms to Partners
The Finance Act, of 2024 has brought a significant change in the taxation of payments made by partnership firms to their partners by introducing Section 194T. This provision ensures that payments like salary, remuneration, commission, bonus, and interest to partners are now subject to TDS (Tax Deducted at Source), which was previously not applicable. Background: Before the enactment of the Finance Act, […]
TDS under section 194M of the Income Tax Act, 1961
Tax Deduction at Source (TDS) For quick and efficient tax collection, the Income Tax Act has incorporated a tax deduction system at the point of income generation. This system is termed “Tax Deducted at Source,” or TDS. Under this method, tax is deducted from the source of income. Tax is deducted by the payer and is remitted to […]
TDS on Purchase of Property – Section 194IA of the Income Tax Act, 1961
When purchasing a property worth more than Rs 50 lakh in India, buyers have to follow certain tax procedures. These also include Tax Deducted at Source (TDS) under Section 194IA of the Income Tax Act 1961. This mandate requires that buyers of property, whether residential or commercial deduct TDS at 1% if the property is worth Rs. 50 lakh […]
New TDS Rules for Social Media Influencers: What You Need to Know
With the increasing popularity of influencer marketing in India many social media influencers are constantly sent gifts, freebies, and promotional materials by companies. These are frequently given in exchange for promoting products or services on social media platforms such as Instagram, YouTube, and TikTok. Beginning July 1, 2022, influencers will be subject to a new tax system under Section 194R of the Income […]