TAX TIPS & RETURNS

FAST TRACK: Mergers & Acquisitions Companies who may enter into the scheme of merger or amalgamation:  A merger or amalgamation scheme may be entered into between two or more small companies, or between a holding company and its wholly-owned subsidiary company, or between two or more start-up companies, or between one or more start-up companies and one or more small companies. Filing of copy of scheme with the  Central Government,  Registrar, and the Official Liquidator : The transferee company must file a copy of the approved scheme with the Central Government, Registrar, and Official Liquidator in the jurisdiction where the company's registered office is situated. Approval or Rejection of scheme:  If the Registrar or the Official Liquidator has no objections or suggestions to the scheme upon receipt, the Central Government shall register it and issue a confirmation to the companies. If the...

  Empanelment Process and Exemptions for Independent Directors on the Databank Heading Content 1. Who is an Independent Director? An independent director in relation to a company, ·          means a director other than managing director or a whole-time director or a nominee director, who, in the opinion of the Board, is a person of integrity and possesses relevant expertise and experience; ·          Who is or was not a promoter of the company or its holding, subsidiary or associate company. ·          Who is not related to promoters or directors in the company, its holding, subsidiary or associate company; - Who has or had no pecuniary relationship , other than remuneration as such director or having a transaction not exceeding ten percent. of his total income or s...

  Summary of the assessees required to file a return of income compulsorily: Category of Assessee Criteria Companies and firms All companies and firms (whether having profit or loss or nil income) Resident individuals Being a resident other than not ordinarily resident, having any asset (including any financial interest in any entity) located outside India held as a beneficial owner or beneficiary or having a signing authority in any account located outside India, whether or not having income chargeable to tax Individuals, HUFs, AOPs, BOIs, and artificial juridical persons Whose total income before giving effect to the provisions of Chapter VI-A and sections 54, 54B, 54D, 54EC, or 54F exceeds the basic exemption limit Any person who during the previous year - Has deposited more than ₹1 crore in one or more current accounts maintained with a bankin...

National Pension Scheme (NPS) benefits: Employee Tax Benefits for Self-Contribution Tax deduction up to 10% of pay (Basic + DA) Maximum limit of Rs. 1.50 lakh Additional Tax deduction up to Rs. 50,000 Section 80 CCD(1) Section 80CCE Section 80 CCD(1B) Employee Tax Benefits on Employer Contributions Tax deduction up to 10% of salary (Basic + DA) 14% if contribution by Central Government Beyond Rs. 1.50 lakh limit provided by Section 80CCE Section 80 CCD(2) Tax Benefits for Self-Employed Individuals Tax deduction up to 20% of gross income Total limit of Rs. 1.50 lakh Tax deduction up to Rs. 50,000 Section 80 CCD (1) Section 80CCE Section 80 CCD(1B) Tax Advantages of Partial Withdrawal Tax exemption on amounts withdrawn up to 25% of se...

           The Impact of GST on Online Gaming Industry in India   Introduction The online gaming industry in India has experienced significant growth in recent years, becoming a thriving economic powerhouse. However, the sector has faced various challenges related to the regulatory framework, including the implementation of the Goods and Services Tax (GST). The recent decision by the GST Council to impose a 28% tax on the total entry amount, including prize money, has sparked concerns among industry stakeholders. Understanding Online Gaming in India In India, the taxation and legality of online games largely depend on whether they are classified as games of chance or games of skill. Games of chance typically attract higher indirect taxes or GST, while games of skill are subject to lower GST rates. However, the GST Council has argued against making a distinction between the two types of gaming. Prior to the decision to levy a 28% GST, the pri...

  Welcome to TAX TIPS & RETURNS , your go-to resource for valuable insights and expert advice on tax tips and achieving favorable financial returns. In this inaugural post, we are excited to share some tax tips that can help you optimize your tax situation and maximize your returns. Explore Section 80G Deductions : Make sure to claim deductions under Section 80G for donations made to eligible charitable organizations. This can help reduce your taxable income while contributing to a noble cause. Utilize Section 80D Deductions : Take advantage of deductions available under Section 80D for health insurance premiums paid for yourself, your family, or your parents. Be aware of the different limits based on age and family composition. Maximize House Rent Allowance (HRA) Exemption : If you are a salaried individual and receive HRA as part of your salary, ensure you claim the maximum exemption by submitting proper rent receip...