Tax Dept allows to access various digital platforms during investigations The proposed Income Tax Bill, 2025, introduces significant changes aimed at enhancing the Income Tax Department’s ability to address tax evasion in the digital age. These changes are primarily encapsulated in the expanded definition of “virtual digital space” and the corresponding enforcement powers granted to …
Differences in surcharge rates between New Tax Regime & Old Tax Regime The new regime provides significant tax savings for high-income taxpayers, especially those earning above INR 5 crore or with capital gains/dividend income. Taxpayers should still evaluate whether the lower surcharge outweighs the loss of deductions before opting for the new regime. Key Differences …
Assessees have now received Intimation Orders on Feb 2025 for demands- Due to Post-Filing Disallowance Section 87A rebate Taxpayers who claimed Sec 87A rebate in Income Tax return’s for AY 2024-25, But later rebate disallowed by AO – What is Solution for Such demand case? This situation has created a lot of confusion among taxpayers …
A gift from a blood relative is exempt u/s 56(2) of the Income Tax Act, 1961 What is a ‘Gift’ under the Income Tax Act? Under the Income Tax Act, a “Gift” refers to any money, immovable property, or movable property received by an individual from another person or organization without any consideration in return. …
Comparison of the new bill 2025 vs. Existing Income Tax Act The Indian government has introduced the Income Tax Bill, 2025, aiming to replace the Income Tax Act of 1961. The Income Tax Bill, 2025, is focused on simplification, reducing litigation, and making compliance easier while retaining core tax principles. This is a significant development …
Decode Your Permanent Account Number (PAN) Card This is a great breakdown of the PAN structure! You’ve explained it concisely and in an engaging way. Ever wondered what the 10 characters in your PAN card actually mean, PAN issued by the Income Tax Dept of India. It is primarily used for tracking financial transactions …
Cabinet approved New Income Tax Bill to replace Old tax Law The Union Cabinet has approved a new Income Tax Union Budget Bill to replace the Income Tax Act of 1961, aiming to simplify and modernize India’s tax system. It will also simplify legal language so that taxpayers can easily understand the provisions The bill …
CBDT on application of Principal Purpose Test under amended tax Treaties This clarification from the CBDT on the application of the Principal Purpose Test under amended tax treaties provides much-needed relief to foreign investors, especially those relying on the grandfathering provisions of agreements with Mauritius, Cyprus, and Singapore. Principal Purpose Test (PPT) : The Principal …
Overview on Capital Gain Provision on Period of Holding The provided chart outlines the period of holding for determining whether a capital asset is classified as a Short-Term Capital Asset or a Long-Term Capital Asset u/s 2(42A) of the Income Tax Act. Capital Gains Tax can significantly impact investment returns. With the 2024 Budget changes, …
The Bombay High Court, in the case of 87A Rebate In a recent judgment, the Bombay High Court addressed issues concerning the Section 87A rebate under the Income Tax Act, 1961. The case arose when taxpayers reported difficulties claiming the rebate due to updates in the tax filing utility after July 5, 2024. These updates …