Debentures are an essential instrument for companies to raise long-term capital. A debenture is a type of debt instrument issued by a company to investors, promising to repay the borrowed amount with interest on a predetermined date. Over time, these debentures must be repaid, which is known as the redemption of debentures. The redemption process […]
In the realm of international taxation, mechanisms like the Double Taxation Avoidance Agreement (DTAA) play a pivotal role in ensuring that taxpayers are not subjected to tax on the same income in multiple jurisdictions. For non-resident Indians (NRIs) and foreign entities earning income in India, availing the benefits of DTAA necessitates compliance with certain documentation
Understanding income tax deductions can be tricky for people with salaries in India. Section 16A of the Income Tax Act helps reduce your tax by allowing certain deductions from your salary. Our guide will break down these tax rules for you. Section 16A of the Income Tax Act gives tax breaks to employees in many
Section 92e of the Income Tax Act is key in managing transfer pricing in India. It deals with both international and domestic transactions. Our guide dives into the details of this important tax rule, making sure prices are fair and clear between related companies. Under Section 92e, businesses must follow strict reporting rules for big
Understanding what is date of incorporation is key when starting a company. This date marks when a company legally begins. It impacts financial reports, taxes, and following rules. In India, the Ministry of Corporate Affairs (MCA) makes registering companies online easier. Knowing the importance of this date is vital. It affects taxes and what shareholders
We’re here to introduce Section 35AD of the Income Tax Act. It offers tax deductions for specific businesses in India. The act allows a 100% deduction of capital expenditure under Section 35AD. This aims to boost investment in sectors like infrastructure development. This section is key for businesses. It lets them claim tax deductions, which
Speculative income is based on future events and carries a lot of risk. It’s a high-stakes investment in financial markets. In India, you can make money from stocks, commodities, and currencies. But, it’s key to know the risks and how to invest wisely to make the most money. In India, investors can try different speculative
We will explore Section 112a, covering its basics, how to calculate long-term capital gains, and tax rates. This section of the Income Tax Act deals with taxes on long-term capital gains from selling certain assets. These include listed equity shares, equity-oriented mutual funds, and units of business trusts. If you make more than Rs. 1
We will explore the concept of clubbing of income, a key part of Indian income tax law. Clubbing of income means adding someone else’s income to your own tax return. This is important to know because it can change how much tax you pay. The Indian income tax law has rules for clubbing income. It’s
The GST composition scheme is a simple tax plan for small businesses in India. It lets them pay a fixed percentage of their sales as tax. This makes tax easier and less complicated for small businesses. Most states have a limit of Rs. 1.5 crore for this scheme. North-Eastern states and Himachal Pradesh have a