Tax saving should not be the only factor that decides if an investment can be bought.
This year you have the opportunity to invest up to Rs 1.5 lakh under section 80 C to save income tax as compared to Rs 1 lakh earlier. It makes sense to start working on your investments now than waiting till March.
One of the areas that would fall outside the purview of capital assets is personal effects. The meaning of the term is what the name suggests but actually identifying which items would fall within its ambit is the difficult task.
Individuals have to take a careful look at what are the details that they are actually considering and how this impacts their entire decision making process. Here is a close look at the tax comparisons and the points that need attention.
A convertible debenture is an instrument where there is a change in the nature of the instrument after the completion of a specific period of time. Here the investment is initially a debenture usually which means that this has the nature of a debt instrument.
Investors who have long term capital gains that they have earned from equity shares need not have much to worry about due to the fact that this are subject to zero rate of tax and hence there is no liability that they would incur when such gains are made.
Once an amount is received by the individual then its remittance of transmission to any other place would not be a taxable event under the income tax law. This makes it important for the individual to see whether there is a receipt of the income that has taken place and when they transfer the money whether this is actually remittance for them.
Retirement receipts should be checked for taxability
There is a bit of work that a buyer would need to take when they buy a house property and this relates to the process of paying taxes.
There are several conditions that are applicable when it comes to the calculation of gift and the levy of the tax on the amount that has been received by the individual.
There are shares that are allotted by a company to employees as part of the Employees Stock Option Plan or scheme.
The budget has provided several benefits for individuals but there are some smaller details that every individual needs to look at.
There are constant changes that are taking place on the Income Tax front and another such change has been the introduction of a new application form for getting the Permanent Account Number (PAN).
There is a change in the manner of calculation and payment of the dividend distribution tax on mutual funds and companies.
The figure rises to Rs 60,000 if the person undergoing the treatment is a senior citizen and hence the changed figure would have to be considered. In the midst of all this there are several other points that need attention because of the fact that this is important to enable the benefit to be taken.
This is due to the fact that the income arising out of the farm house from the purpose of renting the premises would be considered as income from agriculture.
There are several conditions that are present in the Income Tax Act which clarify the exact details of when and how the taxation for the salary will be undertaken especially when received abroad and hence it is important to look at these and then come to a final decision.
A foreign exchange asset for a non resident individual would consist of a list of specified assets that have been acquired or purchased or invested in convertible foreign exchange. This requires a look at several details but before that it is important to understand who would be classified as a non resident Indian.
There are various asset classes that you can choose for your portfolio as you go about achieving your goals. An investment option that is suitable under several circumstances will be fixed income instruments.
The relief for individuals is on the expense front as excise duty cuts in the automobile space and consumer durables will ensure that several of their purchases will get cheaper in the next few months. This is good for all those who have such purchases planned as it means a cost savings but the downside is that these are large ticket purchases.
A single time benefit refers to a situation wherein the individual is able to ensure that an investment that is made would result in a tax deduction coming to the individual.
Every investment should be directed towards your specific financial goals. As an investor who has been investing for some time period you should check that you have started off well and will build on this position.
a first time investor you should be looking to start early in life and then invest continuously over a period of time so that you are able to benefit from the long time period available over your working life. You should think beyond just a few days or weeks or months as this can make your task easier.
An investment option that is suitable for a first time investor will be fixed income instruments. These are debt instruments that have a pre determined rate of interest that will be payable to the holders. The amount raised through the instrument will be repayable by the issuing entity to you after a specific time period.
The whole process of donation to political parties starts with the understanding of the manner and nature of the donations. There is also another type of donation which is made to charitable institutions whereby the entity then uses the money for some charitable purpose.