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Tax
icon Tax on sale of inherited rural agricultural land

Hello, I have sold recently an agricultural land which i inherited from my parents. Sale was 30 laks INR. My question is that do I need to pay income tax on this sale or is it tax exempted? If it us t


A. Dear Client,
The sale of agricultural land may be exempt from income tax under certain conditions specified in the Income Tax Act, 1961. If the agricultural land is situated in a rural area, it is exempt from capital gains tax under Section 10(37) of the Income Tax Act. Rural agricultural land is defined as land that is not situated within specified limits of a municipality or cantonment board having a population of 10,000 or more, or within specified distance from such municipal limits.

If you ...ReadMore

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Tax
icon Capital Gains Tax on Property sale

I have sold a plot at net loss. Details are as below - Total expense of plot acquisition - INR 46,21,191 in the year 2019, City - Chennai (I had taken loan of INR 29,60,000 from Bank) Sold the proper


A. Dear Client,

In your situation, since you sold your plot at a net loss, you indeed have a long-term capital loss rather than a gain. According to Indian tax laws under the Income Tax Act, 1961, particularly Section 48 which deals with the computation of capital gains, you can set off the capital loss against any other capital gains you may have in the current year or carry it forward for up to eight assessment years to set off against future capital gains.

To reflect this in your Income Tax Re ...ReadMore

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Tax
icon TDS Deduction for Freelancer Working With NRI Clients

As a freelancer, is TDS applicable for NRI clients who use an Indian bank account to make payments via UPI?


A. Dear Client,
Under Section 195 of the Income Tax Act, 1961, NRIs are required to pay TDS in the range of 10% to 30%. For income generated in India, non-resident Indians (NRIs) are required to file income tax returns. UPI transactions in India are taxed in a similar manner to that of Income from Mutual Funds and fixed deposits. UPI transactions are considered income from other sources and are taxed under Section 56(2) of the Income Tax Act. TDS applies to such NRIs for any amount generated from b ...ReadMore

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Tax
icon Dual Employment

I have worked in organization A for few months while working in organization B. But i have left organization A in 6 months and later continued working in only one organization i,e B. Can i withdraw my


A. Dear Client,
It is important to serve the required notice period and adhere to the exit procedure to avoid the issues of PF overlapping. In case of overlapping, you have to rectify the discrepancy between the joining date and exit date of the company to avoid future disputes and overlapping. If there is an overlap in the PF records it might show dual employment during the background verification. So, in this case, you need to approach the office of the Regional P F Commissioner and seek to resol ...ReadMore

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Tax
icon TDS deduction for one time expert advisory

I had a telephone interaction as a marketing expert with a client. The platform has charged TDS of 10% on the fees payable to me, which is in excess of 30,000. Is this applicable to me? What is the ac


A. Dear Client,

Under Section 194J of the Income Tax Act, any entity except individuals or Hindu Undivided Families, paying a resident for professional or technical services, must deduct TDS at a rate of 10% from the payment. The threshold for TDS under this section is Rs. 30,000 per financial year, calculated separately for various categories like professional fees, service fees, non-competence fees, and royalties.

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Tax
icon Captain gain tax

I sold a plot of land and within one year I will buy a house so that capital gain tax would be exempt. But until I buy a house can I invest the money in fixed deposit


A. Dear Client,

The Capital Gains Account Scheme, introduced in 1988 by the Central Government, is a fixed deposit account with select banks, used solely for exemption under Section 54 of the Income Tax Act. Participating banks include Syndicate Bank, Central Bank of India, IDBI Bank, Bank of Baroda, State Bank of India, and Corporation Bank. To open an account, visit authorized branches with necessary documents. The account can't be held for more than 2-3 years from the asset transfer date. Inte ...ReadMore

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Tax
icon Income Tax Refund

Hello Team, My employer deducted approximately ₹10000 each month from my Jan, Feb and March 2024 salary. I'm waiting for my Apr 2024 salary and not sure if this month also tax will be deducted. My


A. Dear Client,
A financial year ends on 31st March of the year and the assessment year of that FY ends on 31st March of the next year, In between an income tax assessee has to file an ITR within the due date of filing through the respective form online to get back the TDS if on the computation of his gross income from all sources and after deduction of the standard rebate available to an assessee under I T Act, the taxable income qualify for the refund of TDS deducted by your employer. It is alway ...ReadMore

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Tax
icon Joint buyers in under construction property, help with 26QB

Me and my wife are buying a property jointly. Since the property is under construction, we need to make payment in installments and deduct TDS on every installment. Do we split The Total Consideration

1 Response(s)

3 months ago


A. Dear Client,
TDS is applicable on the purchase of immovable property wherein the sale consideration of the property exceeds or is equal to ₹ 50,00,000 (Rupees Fifty Lakhs). TDS @ 1% should be deducted by the purchaser of the property on the Date of Payment or Credit to the Seller whichever is earlier. The tax so deducted should be deposited to the Government through challan-cum-statement in Form No. 26QB electronically within 30 days from the end of the month in which the deduction is made. In ...ReadMore

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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

2 Response(s)

3 months ago


A. Dear Client,

A Current account, commonly known as a business account, is a type of bank account designed for businesses, corporations, and trusts with a high volume of transactions. It is not intended for direct personal transactions. To manage personal expenses, one should initiate a funds transfer from the current account to a savings account, often referred to as drawings. This allows the use of the transferred funds for personal purposes. In a proprietorship, distinguishing between persona ...ReadMore

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Tax
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

2 Response(s)

4 months ago


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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