Introduction Foreign investments are critical to an economy’s viability, and India, as a developing economy, has become a popular destination for prospective investors from around the world. One major factor attracting foreign investors is the rapid growth of the equity markets. Section 196D of the Income Tax Act has been added by the government to …
Introduction Every business with a turnover that exceeds a certain threshold must register for GST. During the registration process, business details such as statutory information, address of the business, nature of goods and services, and so on are required. While the registration may be approved within 7-10 days, the tax officer may require clarification before …
Introduction Every payment that is subject to tax deduction at source requirements must be made following a tax deduction. The TDS provisions require that all payers withhold taxes at the rates laid out in the applicable parts of the Income Tax Act. The recipient must always provide their PAN to the person making the payment. …
Introduction The Income Tax Act of 1961 includes newly added section 206CC. The provision takes effect on July 1st, 2021. This section is a special provision that requires a higher rate of tax collection or deduction for failure to file returns during the previous two fiscal years. Similar to TDS, a lot of transactions call …
Introduction We’re sure you’ve considered purchasing a lottery ticket and hoping to win at some point in your life. Lottery tickets are an appealing way for many people in India to try their luck. However, you may be surprised to learn that the ticket seller (or agent) who sells lottery tickets is required to follow …
When Is Section 194H TDS Deduction Applicable? Section 194H allows an authorised entity to deduct TDS on brokerage in the following circumstances: The commission is credited to the resident payee’s Payment of commission in any suspense account via cash, check, or The tax deducted at source on the amount payable to the service provider …
Introduction Any person responsible for paying to any person any amount standing to the credit of such person under the National Savings Scheme (to which Section 80CCA applied), together with interest accrued thereon, shall deduct an amount equal to 10% at the time of payment of such sum. Who must deduct TDS under Section 194EE? …
Introduction Section 194E addresses the provisions for TDS deduction on payments made to a non-resident athlete or sports association. According to Section 194E of the Income Tax Act of 1961, any person making a payment of income referred to in Section 115BBA of the Income Tax Act of 1961 to the following persons is required …
Introduction When it comes to mitigating a financial crisis caused by medical emergencies, insurance can go a long way. As a result, it is best to obtain insurance not only for yourself but also for your dependents. Most people prefer to obtain insurance through agents, brokers, and other intermediaries. In these circumstances, the insurance commission …
Section 194DA Section 194DA of the Income Tax Act specifies the procedures for calculating, exempting, and collecting TDS on insurance commissions and premium payments. Furthermore, any individual or firm that pays a resident Indian any amount upon the maturity of a life insurance policy (including bonus) will be subject to a 1% tax deduction. Furthermore, …
