Tax Blogs

As per the Income Tax Act, your income gets categorised into different heads, no matter the amount you earn. But ‘how many heads of income are there?’ is the question here.The IT Act clearly outlines five heads of income, which classify earnings based on their sources.  All citizens liable to pay tax must abide by …

The taxable income slabs divide the taxpayers into different categories and assign them different tax rates. These categories depend on the age of the taxpayers, as mentioned below: These slabs also vary depending on the regime you opt for. By knowing these slabs and the applicable rates, you can plan your finances and taxes accordingly.  …

All tax-paying individuals are liable to pay tax as per the law if they fall under the tax bracket. This process starts with calculating the total amount you need to pay every year. The thing to note is that the Income Tax Department gives you different options to assess this amount.  Read on to know …

Understanding the rules for gratuity tax exemption is crucial for employees who may receive it. Any person who works in an establishment with more than 10 workers for 5 continuous years is liable to receive this sum on termination of employment or as a post-retirement benefit.  In case of an employee’s disability due to a …

As a taxpayer, it is important to know the deadline for income tax filing to avoid penalties and interest that you need to pay on the fine. These dates can help you create and stick to a timeline and sort out your finances.   Generally, the last date for filing your tax for the financial year …

Understanding what is self-assessment tax is essential to comply with the country’s taxation rules and avoid any consequences of non-payment or delayed payment. The government collects income tax in 3 ways:  Read on to learn more about the SAT, how to calculate it and how to make the payment.  Meaning of Self-Assessment Tax This is …

If you are looking to reduce your tax liabilities, you must be aware of what is the standard deduction in salary. Remember, the deductions are proposed based on the way how taxpayers utilise their income. Here’s what you need to know: Section 16 of the Income Tax Act of 1961 provides certain tax-saving measures for …

The income tax e-payment facility has migrated from OLTAS to the ‘e-pay taxes’ portal on the Income Tax Department website. With this, online tax payment is easier and faster. However, there are some prerequisites you should know to make payments and file returns without hassles. For instance, you have to check your eligibility and the …

When opting out of the old tax regime, you may have many doubts, like ‘Is standard deduction applicable in the new tax regime?’ While the Interim Budget of 2024 did not propose any changes to taxation, the 2023 Union Budget eliminated multiple exemptions under the new tax regime.  However, there are certain deductions and exemptions …

To understand taxation in India, you need to know what is a direct tax and an indirect tax. Here are a few essential points: You need to pay direct tax to the government based on the income or profits you earn Contrary to this, you’ll pay indirect tax only if you purchase any good or …