Buying a home on loan and selling it within 5 years since purchase will reverse the tax benefits gained on home loan principal repayment under Section 80C and make it taxable. Here are the common reasons where you must cross-check before handing over your income tax return (as published in ET Wealth on Feb 13, 2012): Ignoring income from investment in the name of spouse, … [Read more...] about Tax Evasion Checklist: Selling A House Bought On Loan Within Five Years
Tax evasion checklist: Both spouses claiming tax benefit on same expenses
Be it school fees, medical insurance, etc., only the member making payment can avail the tax benefits offered. Both the spouses cannot claim the same tax benefit. If you have 2 children then each spouse that are actually making the payment can claim tax benefits for one child. Here are the common reasons where you must cross-check before handing over your income tax return (as … [Read more...] about Tax evasion checklist: Both spouses claiming tax benefit on same expenses
Are You Evading Tax? Here Are 10 Common Reasons
Income Tax laws have created many innocent criminals. Your neighbour next door may be a proud tax payer: he prepares his ITR well in advance, makes sure all his sources of income are clearly mentioned and submits it to the Income Tax department without delay. And in a few months you see him frustrated because he received intimation for not reporting his full income. Your … [Read more...] about Are You Evading Tax? Here Are 10 Common Reasons
Parliamentary Standing Committee Tabled Preferable Suggestions For Budget 2012
The Standing Committee on Finance, headed by BJP leader Yashwant Sinha, suggested the following amends for Budget 2012: Increase the exemption for personal income tax from Rs 1.8 lakh to Rs 3 lakh Linking tax slabs to consumer price indexes which would automate adjustment of tax rates. Considering exempting insurance policy dividends from dividend distribution tax. The … [Read more...] about Parliamentary Standing Committee Tabled Preferable Suggestions For Budget 2012
Tax Evasion Checklist: Withdrawing PF Within Five Years of Joining a Company
When shifting to a new company, the PF account under the previous company can be transferred to the new company. This way, the PF amount contributes to retirement planning. By withdrawing the PF amount while shifting jobs, the individual is liable for tax on the amount withdrawn. The tax laws state that if the PF amount is retrieved before delivering 5 years of continuous … [Read more...] about Tax Evasion Checklist: Withdrawing PF Within Five Years of Joining a Company
