Incomes Chargeable Under Section 56 For Income from Other Sources

Income of a taxpayer can be from one or the other sources whether being exempted or taxable. Thus, the tax department states for different heads for computing taxable income from other sources. As per Section 14 of the IT Act, the sum total of the following main heads represents the total taxable income of the taxpayer:

> Income from Salary

> Income from House Property

> Income from Business and Profession

> Income from Capital Gains

> Income from other Sources.

Income from other Sources has much wider scope in taxation as it includes all other sources of income, which cannot be placed or computed in the above other heads and also includes major deductions and exemptions for the taxpayer to avail.

Hold Joint Property? Received Tax Notice?

Taxgoal provides seamless online tax return filling solutions. We have in-house professional business experts and legal advisory to keep you ahead of all your business goals managing your compliances and tax jobs. Get complete CA expert advisory services online at support@taxgoal.in

In this article, we have discussed tax-ability of different income sources under the head ‘’Income from other Sources ‘’.

Ø  With stated definition of dividend under Section 2(22), any dividend (deemed) declared by the company shall be chargeable to tax in the previous year in which it was declared, distributed or paid as the case may be. While, income distributed by a domestic company shall be exempted from tax under Section 10(34), as it is chargeable to dividend distribution tax under Section 115-O. (w.e.f from Finance Bill 2016, dividend shall be chargeable at 10% if the aggregate amount received by the shareholders exceed Rs 10 lakh. (Section 115BBDA).

Ø  Income received by the taxpayer by way of crosswords, lotteries, puzzles won, card games, horse races, and other games shall be chargeable to tax at a flat rate of 30% as per Section 115BB.

Ø  Income received by the company by issuing shares more than the fair market value (FMV). Such income shall be exempted for issue of shares by VCU (Venture Capital Undertakings and other class of companies as notified by Central Government timely.

Ø  Income received by way of interest on bank deposits, loans, company deposits or on other securities.

Ø  Income received by way of rent by letting out Machinery, Furniture, and Plant (including land which is inseparable from asset rented out).

Ø  Sums received under the Key man insurance policy including bonus if any received, not charged under the head Income from Business or Profession or Salary Income.

Ø  Sums received by an employer from his employee/employees as contributions to the provident fund or superannuation fund, under any scheme of ESI Act or under any other act secured for the welfare of employee but not deposited into the respective account before the due date of deposit.

Ø  Income received by way of compensation or interest on compensation receivable.

Ø  Sums received in excess of Rs 50,000 in cash without payment or delivery of any consideration in return.

Ø  Sum received by the transfer or as an advance in course of any transaction of a capital asset which was not finally transferred and such advance is forfeited by the transfer or due to the breach of contract on side of the transferal.

Ø  Sum received for transfer of any movable property (referred to only capital asset, not stock-in-trade or raw material, etc.) if it's market value exceeds Rs 50,000 and consideration paid for such transfer is nil or the value of the consideration paid exceeds the fair market value (being excess of FMV).

Ø  Sums received for transfer of any immovable property exceeding stamp value Rs 50,000 for which either no consideration is paid in return for the consideration amount exceeds the stamp value.

Ø  Any sum received by an Individual or HUF  from any relative ( being Spouse, brother, sister, brother or sister or spouse or siblings or parents of any other lineal ascendant or descendant other than received :

n  On Occasion of Marriage

n  In Inheritance or By Will

n  In Completion of any death

n  From any local authority including university, fund, foundation, etc referred in clause 23C (Section 10).

Ø  Any Sum received by any employee in compensation of his termination of employment or modification of terms or for either stated purpose.

Ø  Sums received by legal heirs as family pension.

Ø  Income received on subletting of house property by the tenant.

Ø  Income from agriculture land received held abroad.

Ø  Income received by way of interest received by the taxpayer from the tax department on delayed refunds.

Ø  Sums received as causal receipts or receipts of non-recurring nature.

Ø  Examining fees received by a teacher, not from the actual employer.

Ø  Incomes received by way of Bond Washing transactions and Dividend stripping (Section 94).

Having accounting issues? Tired of manual bookkeeping?

taxgoal.in helps you outsource all your accounting and bookkeeping activities. Not just limited to it, we provide all required tax solutions on a single web-based platform. Email us for consultation on tax matters at support@Taxgoal.in

Understanding Different Income Tax Filling Sections – Tax Goal

It is necessary for the taxpayer to file their online income tax return filing before the due date to avoid penalty. The Income tax department implies following of certain penal provisions for non-filling or delayed filing of returns by the taxpayer. A taxpayer is also required to file a revised return as guided under different sections due to mistakes made in the current filing. Also, in certain cases, the tax department issues a notice of further inquiry to the taxpayer for submission of response.

All above situations guides for filling of return and submission of a response to the tax department by the taxpayer based on different tax sections. This article provides a summarized view of the different return filling sections implied on the taxpayer while filling tax return to government.

Made error in filing tax return? This can charge you a big penalty!

Get your income tax return filed with our dedicated team experts. Taxgoal as a leading tax service provider in Delhi serves you with hassle-free tax filling solutions online. For new trademark application, Filling of company annual returns, incorporation of business or any related tax service required. Email us at support@taxgaol.in

Section 139

The section guides for filling of income tax return by the taxpayer before the due date and specifies for penalties in case of non –filling or delayed filling.

Section 139 (1): For mandatory (for LLP/Public, Private or Foreign or domestic company)/Income above exemption limit) or voluntary filling ( for Individual) of return by the taxpayer.

Section 139 (3): For filling of return by the taxpayer for Set off or Carry forward of losses to subsequent year incomes.

Section 139(4): For filling of return after the due date by the taxpayer along with penalty.

Section 139(4a): For filling of return by any Charitable or Religious trust.

Section 139 (4b): For filling of return by a political party.

Section 139 (4C & 4D) : For filling of return by special institutions claiming benefits under Section 10.

Section 139 (4E): For filling of return by business trusts not for specifying profit or loss but on certain exceptional situations.

Section 139(5): For filling of revised return by the taxpayer in case of mistakes made in the original return by the taxpayer.

Section 139(9): For filling of return against a defective return. Defective in case, all required documents failed to be uploaded with the return.

Section 142(1) The section guides for filing of return by the taxpayer in case of notice issued by the assessing officer in case of non-filing of return.

Section 148 For filling of return assessing and informing about some income source left to be taxed.

Section 153A For filling of return by the taxpayer against notice of the assessing tax officer in case of any search or requisition conducted.

Section 92CD For filling of return in case of advance pricing agreement signed and related terms entered as per Section 92CC.

Section 119(2)(B) For allowing taxpayers to file a return for claiming a required exemption, deduction or refund even after expiry of the specified time period.

Received HRA? Will it affect your payable tax amount? Experience seamless filling of income tax return with taxgoal.in or call to our expert team who provide best service:- 9899693838

How to Claim TDS Refund - Deducted by Employer

How to Claim TDS Refund ( Tax Deducted at Source ) is a specified amount deducted by an employer of his employee’s salary under section 192 or deducted by any other institution while making payment to a person (under section 193 to 194 LA ) which is later deposited to a specified bank account of government. The person/employee whose income TDS has been deducted has an option to claim a refund of TDS from the government if it is excessively or wrongly paid to the government or as the case may be.

What is a TDS Refund?

The taxpayer holds certain rights to claim back the excess TDS paid by the deductor to the government on behalf of the deductee on whose income TDS has been deducted. A TDS refund is an excess of the tax payable by the taxpayer and the actual tax paid to the government.

TDS Refund is permissible in cases where:

• Excess amount has been deducted from the Income of the employee in name of TDS by the employer than actually payable.
• The taxpayer has made payment of excess advance tax than the actual liability.
• TDS deducted on incomes exempted from Income tax etc.

Save your taxes the right way

Tax Goal complies all your tax worries with pre-planned tax saving goals. You get CA expert advisory services, business planning assistance, and TDS Return Online service from our in-house experts. Email: support@taxgoal.in

For instance, Mr. Raj working in an MNC has been notified by his employer for deduction of Rs 8,000 every month as TDS. Later Raj discovers that while filling his IT return his total tax payable becomes Rs 80,000 after all claims, exemptions, and deductions

Deposited by employer = 12*8000 = Rs 96,000

Actual tax payable = Rs 80,000 (incl. cess and charges )

Thus , he is eligible to claim a refund of Rs 16,000 from government.

How to claim a TDS Refund online?

One can claim a refund of TDS by just submitting an online Income tax return of himself at the official web portal of the income tax department located at www.incometaxindiaefiling.gov.in.

In case you become eligible for a TDS refund, after all, due verification, the tax department will issue the same directly to your bank account or by means of the refund cheque.

Verifying the Status of TDS Refund

It is easy to confirm the status of your TDS / Income tax refund / Refund of advance tax paid with either of the following two options:

Confirmation of Status from Income tax department website and the website of NSDL

Step 1: Login with your user credentials on the Income-tax department website as stated above.

Step 2: Go to My Account > e-filed Return/Forms

Step 3: Select Income tax Returns

Step 4: Click on the Acknowledgement Number of your IT return for which you want to confirm the status of your TDS refund.

Here, you will be shown of your current TDS refund status updated by the tax department.

From the website of NSDL :

Step 1: Go to https://tin.tin.nsdl.com/oltas/refund-status-pan.html.

Step 2: Enter PAN number and the Assessment year for which the refund status is to be confirmed.

Step 3: Enter the Captcha code and Click on ‘Proceed’.

The screen will display the current status of your TDS refund.

Knowing the TDS Refund Status

Refund Status - Not determined: This means your ITR is still not processed. Ensure that your verify your return on time for proceeding it for processing.

Refund Status - Refund paid: This means refund paid to the bank of the taxpayer.

Refund Status - No Status: This means the department has not proceeded for calculation/processing of demand of refund.

Refund Status - No demand no refund: This means as per the calculation of department no refund is subjected to be payable to the taxpayer.

Refund Status - Refund Unpaid: This means refund identified and processed but not paid or transaction was unsuccessful.

Refund Status - Sent to refund banker: This means refund is under process.

Things to Know

• Do mention your bank account details for claiming a refund of TDS, while filling your ITR online.
• If you have been granted a specific benefit by the authority to claim a no tax / lower tax deduction of TDS under Section 197 and/or 206 C (g) using Form 13, provide such information to the deductor prior to deduction.
• To claim a refund of TDS deducted on interest income when your actual Income is under the exemption criteria, you can claim a refund of your TDS by either submitting an Income tax return as normal for the same or can file Form 15 H to the bank declaring your income to be under exemption bracket.
• For delay in payment of a refund to the taxpayer, after identification as per Section 244 A of the IT Act, 1961, the taxpayer becomes eligible to claim a penal interest from the tax department on the refund amount due to be payable.

Do you need assistance in claiming your TDS / Income tax refunds?

Don’t worry, our in-house experts will make it more simplified for you. Email us at support@Taxgoal.in

Call  Us:- 9899693838

Online Apply GST Registration in India

Have you finished your GST Registration in Delhi but wondering if you have to enroll in different states? It is accurate, and you might need to get your company registered in different states too. If your operations are restricted to one state, then you want to enroll in that one specific state. However, should you have procedures in numerous towns, the story differs? If you're a service provider, supplying services in multiple states with no physical presence there, then you have to get enrolled in the condition of your bodily presence/headquarter. However, if you've existence in different states as service supplier or merchandise provider, then you'll have to attain GST registration in most of the countries you run in.

In case of any issue on GST Return File Online do consult the experts.

Step by Step Process of GST Registration Online

Step 1: Visit the GST official website https://reg.gst.gov.in/registration/

Step 2: Now, on the main menu go to "Services" tab and hover on the "Registration" tab from the drop-down menu, which will open more options - there click on "New Registration" tab. It will open the new form in the same window.

Step 3: Now enter the details as asked in the given form:

- Select whether you are a Tax Deductor, GST practitioner or Taxpayer

- The UT/state you belong

- As per the PAN card mention the name of a tax practitioner or taxpayer

- PAN Number

- Email address & Mobile Number

At the end of the form, enter the character (CAPTCHA) as mentioned in the given image and click on "PROCEED" tab.

Step 4: On given email address & mobile number an OTP will be sent. Enter the OTP received and click on the "Continue" tab.

Step 5: TRN or Temporary Reference Number will be shown on your screen and will be sent on your given email address & mobile number. This TRN can be used for future requirements.

Finding Tracking Temporary Reference Number

Ste 1: Visit the GST website >> Services tab >> Registration >> New Registration >> select Temporary Reference Number (TRN). It will open a new form page.

Step 2: Enter your Temporary Reference Number (TRN) and enter the Captcha then click on "Proceed" tab.

Step 3: You will receive the OTP, enter it in a given field and again click on "Proceed" tab.

Step 4: the Draft application will be shown on screen. Click on the edit button and complete the ARN Status Verification.

For more details on GST Registration in Delhi visit the website taxgoal.in

Tax Planning - How to save the fortune in the right way?

Tax preparation has been at the eye of this storm lately, due to the numerous government & corporate slanders which have shaken the marketplace. If you are a small company has franchises in a different country which produces tax preparation even harder. To prevent issues with taxation authorities, tax preparation ought to be made as part of business planning with the assistance of the right Income Tax Return Service Provider.

There are two facets to corporate tax preparation; legal and tax breaks. While each company owner needs tax breaks, tax preparation should be performed, maintaining the legality of it in your mind.

The way to make sure that the tax breaks you're applying for are lawful? The way to make sure your company tax planning strategies aren't crossing legal bounds? All these are significant issues in corporate taxation preparation, and below are a few techniques to deal with them.

1)    Appoint An Tax Advisor

Your tax adviser should be able to lead you in tax preparation while ensuring you do not do anything prohibited.

2)    Customization

Tax plans that match another company may not match yours. Customized tax preparation enriches your small business.

3)    Detailed Report

Create a detailed report about your earnings to the tax adviser. This will help them make an informed choice concerning tax-planning plans for your enterprise.

4)    Ensure legality

Hire a lawyer and expert tax advisor when you draw tax strategies. You don't need the government knocking on your door for executing competitive tax strategies.

5)    Records

Keep appropriate records of this tax-planning record so you can revise them and proceed through them whenever you want to.

When you've taken good care of the legal problems of taxation preparation, you want to think of a fantastic tax plan. Below are a few ways to save taxes without crossing the barrier.

Tax Preparation: How to Save Money;

1)    Capital Losses

If you still suffer capital losses, then you can recover the taxes paid when you'd capital profits on your small business.

2)    Discuss your earnings with a lesser paid spouse, so he or she can invest their earnings and earn investment profits. Your spouse will then have to cover only the investment taxation.

3)    Tax Breaks

Use all potential tax breaks. Most companies aren't conscious of the tax breaks which are offered to them. Tax breaks are specially geared towards the development of small companies.

For more details on Income Tax Return File Online get in touch with our experts for a free consultation at taxgoal.in

Simple Guide to File GST Returns Online

Taxgoal is the best chartered accountant firm in Delhi who provide simple guidance step to step for Online GST Return File, with us user can learn about how to file online GST return at affordable fee in Delhi India.

From producers and providers to merchants and shoppers, all citizens need to record their expense forms with the GST division consistently. Under the new GST routine, recording expense forms has turned out to be robotized. GST returns can be recorded internet utilizing the product or applications given by Goods and Service Tax Network (GSTN) which will auto-populate the subtleties on each GSTR frames. Recorded beneath are the means for documenting GST returns on the web:

•           Visit the GST entryway (www.gst.gov.in)

•           A 15-digit GST distinguishing proof number will be issued dependent on your state code and PAN number.

•           Upload solicitations on the GST entryway or the product. A receipt reference number will be issued against each receipt.

•           After transferring solicitations, outward return, internal return, and aggregate month to month return must be documented on the web. On the off chance that there are any mistakes, you have the alternative to address it and refile the profits.

•           File the outward supply returns in GSTR-1 frame through the data area at the GST Common Portal (GSTN) prior to a tenth of the next month.

•           Details of outward supplies outfitted by the provider will be made accessible in GSTR-2A to the beneficiary.

•           The recipient needs to confirm, approve, and alter the subtleties of outward supplies, and furthermore document subtleties of credit or charge notes.

•           The recipient needs to outfit the subtleties of internal supplies of assessable merchandise and ventures in GSTR-2 frame.

•           The provider can either acknowledge or dismiss the alterations of the subtleties of internal supplies made accessible by the beneficiary in GSTR-1A.

For more details of financial services visit our official website:- https://taxgoal.in