Tax
icon Amount paid to a friend as drawings from a Propritory Business Concern

Can a Proprietor give money to his friend from his business's Bank Account as his drawings


A. Dear Client,
A business account in a Bank typically known as a Current account is a kind of bank account maintained by businessmen, corporations and trusts who have a large number of transactions. A current account should not be used for personal transactions directly. First, you have to transfer some funds from the current a/c to a savings account, which we generally call drawings. Now you can use the transfered funds for personal purposes. In a proprietary business, the distinction between pe ...ReadMore

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icon IT returns

By mistake for financial year 2024-2025 i declared my IT investment with proofs which was old tax regime for salary 6,28,000 rupees, IT deduced in TDS for January, But now I changed to New tax regime


A. Dear client,

The amount of tax you owe will be displayed on the I-T department website when you file your income tax return (ITR). However, the first question you are asked when filing income tax online, or when filing an ITR offline, is which tax regime to use: the old or the new one. Under the new regime, there will be a tax rebate if the taxable income is up to 7 lakhs under Section 87 of the new tax regime. The rebate limit remains at ₹ 5 lakh for individuals who choose to pay tax under t ...ReadMore

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icon Regarding claim of TCS on Foreign Tour Package

I have a trip planned for next FY 2024-25 in August 2024. My travel agent is charging me 5% TCS. I intend to pay the total amount of my tour in March 2024 i.e. in the current FY 2023-24. Will I be abl


A. Dear client,

The TCS charge would increase the amount you are paying for the total trip. Under the new regulations, a 5% TCS is applicable to foreign travel.

Please ensure that while filing your ITR, fill out form 26AS and maintain bank transactions with regard to the foreign transaction. The timeline for paying on between 1st April to June, the TCS return should be filed by 15th July. It is advisable to pay during the financial year of the trip as you may be required to prove foreign transac ...ReadMore

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icon Will income tax department will ask for tax

I took a home loan from pnb housing finance ltd and they have given me a account cheque of rs 18 lakh and i want this amout to be transferred to my father account will income tax department will charg


A. Dear client,

As per the income tax benefit for financial year 2023-2024, you will not be charged for transfer for housing loan. However, you may be entitled to tax benefits. You may be exempted from tax for up to 2 lakhs as per Section 2 of the Income Tax Act.

Thank you

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icon Is the capital gain calculated based on the actual purchase price

Is the capital gain calculated based on the actual purchase price mentioned in the sale agreement? Or will the purchase price mentioned in the sale deed be considered? I purchased a property in 2014.


A. Dear Client,
Capital gain is broadly calculated as Capital gain = ( full value of the consideration received on transfer) - ( cost of acquisition of capital asset + cost of improvement of capital asset + expenditure incurred in connection with transfer of capital asset). In the case of long-term capital gain, capital gain = final sale price - (transfer cost + indexed acquisition cost + indexed house improvement cost). LTCG is calculated based on the market value(MV) or the set forth value whiche ...ReadMore

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icon Tax Exemption

Are Scheduled Tribes exempted from paying tax irrespective of their place of posting?


A. Dear Client,
Section 10(26) of the Income Tax Act, 1961 provides for tax exemption to members of Scheduled Tribes in India. This section exempts the income of a person who belongs to a Scheduled Tribe from tax if the income is earned from any source located in a tribal area. The tribal areas are notified by the central government and include areas where tribal communities are predominant. To be eligible for tax exemption under section 10(26), the person should belong to a Scheduled Tribe. The te ...ReadMore

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icon Commercial residential property loan

I wanted to buy commercial residential property loan for a semi commercial property.. do I have tax benefits of I do so unlike we have it for residential property loan? Anything claim wise also?


A. Dear Client,
Commercial properties are classified as capital assets. Profits from selling them after 24 months qualify as long-term capital gains (LTCG) and are taxed at 20%. If the property is sold within 24 months, it falls under short-term capital gains (STCG) and is taxed based on the individual's tax slab. You have to buy only residential property to save tax on capital gains arising out of the sale of any other property. This means you cannot buy land or commercial property to save capital ...ReadMore

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icon Business Tax

I am an individual, my current income is around 5lac (rental+investments). I'm opening a digital marketing company (service based). My target is to earn less than 10 lac yearly from that business. Onl

2 Response(s)

2 months ago


A. Dear Sir,
It being tax related matter. You are advise to contact any auditor or chartered accountant for effective advise.

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icon We buy online crypto currency India

we buy online crypto currency India now time to withdrawal the unable to do the same asking 30% tax pay is it correct or fake

2 Response(s)

2 months ago


A. Dear Client,
Crypto trading is subject to taxation in India. The profits or gains generated from cryptocurrency trading are taxed at a flat rate of 30 %, with an additional 4% cess under Section 115BBH of the Income Tax Act, 1961. Section 194S levies 1% Tax Deducted at Source (TDS) on the transfer of crypto assets from July 01, 2022, if the transactions exceed ₹50,000 (or even ₹10,000 in some cases) in the same financial year. Capital Gains from Crytpo trading should be reported under Sche ...ReadMore

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icon HRA claim related query

I am purchasing a property in Delhi in my mother's name. But since she is a housewife with no source of income, I will be her co-borrower in the home loan that we will be borrowing from a bank. 1) No

1 Response(s)

2 months ago


A. Dear Client
Since both of you are going to be the co-borrowers hence the property will be in the name of both the persons and
1. You cannot have rental agreement arrangement with your own property
2. Both of you will be able to claim tax benefits

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