Category Tax Planning

Income Tax Refund Scam

Category: TagsTax Planning Comments: No comments

A new internet scam in form of income tax refund mail to empty your hard earned money from your bank account is on the prowl.

A salaried person is most afraid of Income Tax Department and even more if he receives a notice from the department...

Read More

Tax Slab Rate of 35% Proposed Under DTC Bill

Category: InvestmentsTax Planning Comments: One comment

New 35% Tax slab

Luxury comes at a cost and this is going to be true in coming days with the clearance of Direct Tax Code or DTC Bill, 2013. It is not only proposed but most certainly will get the nod of Cabinet to tax the Super Rich @35% tax. The existing tax slabs are going to be revised with addition of another slab of 35% covering the Super Rich. Not only this, there will be more changes in the Wealth Tax and addition of few more assets within the meaning of wealth, like expensive watches and paintings.

Read More
PF account

After a long haul, a much awaited step has been taken by the Employee Provident Fund Organization (EPFO) to make online transfer of PF accounts, when an employee switches job from one company to another. This step will benefit over 13 lakh PF subscribers and also reduce the long time taking process and confusion.
After getting a huge response for the online verification of balance in PF account the Employee Provident Fund
Organization (EPFO) has taken this step to test the online transfer of acc...

Read More

DUE DATE OF Income Tax Return Filing 2013 -14 EXTENDED TO 05/08/2013

Category: Tax Planning Comments: No comments

A fresh breath has been pumped in to the heart of Tax payers who were facing difficulty in filing their return online or have not yet filed their returns, as the government on Wednesday extended the last date for ITR filing for 2013 of income tax returns by five days to August 5, 2013

The due date, which was today i.e. July 31st, 2013, has been extended in wake of “unprecedented surge” in number of IT returns being filed electronically...

Read More

Section 87A – Save Income Tax Upto Rs.2,000

Category: Tax Planning Comments: One comment

Section 87 A

A new section 87A has been introduced in the Budget 2013-14 under Income Tax Act, 1961, which is applicable from 1st April, 2014, wherein an additional relief upto Rs.2,000 has been provided to assessees whose total income is upto Rs.5,00,000 in a financial year. This relief is applicable for individuals only.

The following points must be noted with regard to this section:

  1. This is a rebate and not a deduction. This rebate is from the tax and not a deduction from income.
  2. Total income under this ...
Read More

Rajiv Gandhi Equity Savings Scheme Explained & Compared to ELSS

Category: InvestmentsTax Planning Comments: No comments

Rajiv Gandhi Equity Saving Scheme (RGESS) ,Tax Saving Scheme

Rajiv Gandhi Equity Saving Scheme (RGESS) is a tax-saving instrument announced in the Finance Act, 2012 to attract new investors to the equity market. It is exclusively for first time retail investors in the securities market. These investors are called “NEW INVESTORS”.

Even after initial explanation some doubts do remain in the mind of investors. To remove those doubts here is a table with practical example to give you a deeper insight to exactly how Rajiv Gandhi Equity Saving Scheme (RGE...

Read More

Top 10 Hidden Charges That Eat Up Your Money.

Category: InvestmentsStock & SecuritiesTax Planning Comments: No comments

Hidden Charges

An individual is unaware of many hidden charges that eat into his hard earned money, leaving him with less to invest and less to earn. As it is a known fact that,“someone’s pain is someone’s gain” and it aptly fits the financial services jargon. An individual is sold such policies, houses or loans which gives maximum return or commission to the bankers, real estate agents, insurance agents, etc...

Read More

Inflation Indexed Bond (Debut June 4, 2013)

Category: InvestmentsMutual FundsStock & SecuritiesTax Planning Comments: No comments

Inflation indexed bond

An Inflation Indexed Bond, is a bond which assures a return higher than the inflation rate if held to maturity. The interest rates or which actually called coupon rates and capital appreciation of these inflation indexed bond is linked to the rates of inflation, hence the investor can be assured of safe returns. In other words the risk factor is reduced to NIL and investor can be assured of the return promised.

The government will start issuing inflation indexed bond from June’ 2013, that would ...

Read More

Home Loan Prepayment Fee Eligible For Tax Benefit

Category: InvestmentsTax Planning Comments: No comments

Home Loan

A recent decision by Income Tax Appellate Tribunal, Mumbai has brought cheer to the face of taxpayers who have taken huge home loans and have somehow managed to repay the same before the term of home loan. The banks used to charge pre-payment/foreclosure fees or penalty from the taxpayer in case they settle their home loan earlier than the time stipulated...

Read More

PF Interest Rate Increased to 8.5%

Category: InvestmentsTax Planning Comments: No comments

PF Interest Rate

There is something to cheer for salaried employees who get a regular deduction and deposit in Employee Provident Fund.PF Interest Rate for the current financial year has been enhanced with immediate effect.

The decision of payment of 8.5 per cent rate interest for 2012-13, up from 8.25 per cent provided in the previous fiscal, has been taken by the Retirement Fund BodyEPFO. It will benefit over 5 crore subscriber of PF account...

Read More