TDS on immovable property Section 194-1A (Joint Buyers)
TDS on immovable property Section 194-1A (Joint Buyers)
The property value is 90 Lakhs but individual share of a buyer is 45 lakhs each (as it is a jointly owned property by husband and wife with 50-50% share on EMI deduction) in this case is TDS applicabl
5 months ago
A. Dear Client
Section 194-IA should be interpreted from the perspective of Transferee (Purchaser) thus this limit of Rs. 50 Lakhs is for purchase consideration paid by each transferee and not on total consideration. In your case as consideration paid by each transferee does not exceed Rs. 50 Lakhs thus this section should not apply. But due to lack of clarity, Assessing Officer may demand compliance of this section.
Ltcg tax
My dad is going to purchase a second house (36 lakhs) in kerala with his savings. After that he is going to sell our first house in Maharashtra (asking price 40 lakhs), which he built in 2003. At that
6 months ago
A. Dear Client,
In India, when you sell a property, you may be subject to capital gains tax. The tax liability depends on several factors, including the holding period of the property, its sale price, and the cost of acquisition. If your father has owned the Maharashtra property for more than two years, the gains from the sale will be classified as long-term capital gains (LTCG). If the property is sold within two years of acquisition, it will be considered short-term capital gains (STCG). For LTCG ...ReadMore
Tax on sale of property that is purchased via loan
I purchased a residential plot on loan and the total net price excluding registration charges and loan interest was 22.5 lac, If i add the interest i paid on loan then total becomes 27 lac, i recently
7 months ago
A. Dear Client,
The sale of a residential plot can have tax implications in terms of capital gains tax in India. Capital gains are categorized as either short-term or long-term based on the holding period of the asset. In your case, you mentioned that you held the plot for more than 2 years after the loan was settled. This implies that the gains will be treated as long-term capital gains (LTCG).
Here's how the taxation would work:
Long-Term Capital Gains (LTCG): If you held the residential plot f ...ReadMore
Capital Gains and EWS
For EWS certification, are Capital Gains from Mutual Fund sales considered as income against the 8 Lacs limit? I read somewhere that only income from Intraday trading is considered as regular income,
7 months ago
A. Dear client,
Capital gains from mutual fund sales are considered as income for ews certification. However, only the gains are considered, not the whole sum withdrawn.
Section 54 and 54 f of income tax
I sold shares and invested in flat A and claimed LTCG exemption u/s 54 F I sold my flat ( Not flat A) and invested the proceeds in another flat B and claimed exemption u/s 54. Can I do both these tra
7 months ago
A. Dear Client,
Section 54 and Section 54F of the Income Tax Act provide exemptions on capital gains tax arising from the sale of residential properties. However, there are specific conditions and limitations associated with each section. Let's break down your scenario:
Section 54: This section provides an exemption for long-term capital gains arising from the sale of a residential property if the taxpayer purchases another residential property. The conditions for Section 54 include:
The new res ...ReadMore
Tax Section 54 and 54 F
I sold shares and invested in flat A and claimed LTCG exemption u/s 54 F I sold my flat and invested the proceeds in another flat B and claimed exemption u/s 54. Can I do both these transactions in s
7 months ago
A. Dear Client,
Under Section 54F of the Income Tax Act, individuals can claim an exemption on long-term capital gains (LTCG) if they sell a residential property (other than a new residential property) and invest the sale proceeds in buying or constructing a new residential property.
Similarly, under Section 54 of the Income Tax Act, individuals can claim an exemption on LTCG if they sell a residential property and invest the sale proceeds in purchasing another residential property.
To answer yo ...ReadMore
resident status
in the tax year 2022-2023 I was out of india for more than 180 days. this year i started the year outside of india, and came back to visit india and have stayed here for more than 60 days but will lea
7 months ago
A. Dear Client,
I would like to inform you that determining your residency status for tax purposes in India is governed by the Income Tax Act, 1961. As per the Act, an individual's residency status is determined based on the number of days spent in India during a financial year (not the calendar year) and certain additional criteria.
To determine your residency status, you need to consider the following criteria as per Section 6 of the Income Tax Act:
1. Resident Indian: If an individual is pre ...ReadMore
Internet alliwance
I get internet allowance in my salary slip is it taxable or not? Amt is rs 1000 per month
8 months ago
A. Dear client,
As per Rule 3(7)(ix) of the Income Tax Act, all telephone/internet reimbursements which employees get for conducting their official duties are not taxable. Thus, individuals can claim a 100% tax exemption on the billed amount.
These reimbursements include the following:
Landline bills
Mobile phone bills
Mobile internet bills
Home Wi-Fi connection bills
According to government rules, there is no prescribed limit on the amount of reimbursement the employer can provide. However, it ...ReadMore
income tax rebate on home loan taken in 2013-14
Can I get an income tax rebate against home loan interest ?? I have taken a loan in 2013-14 and got possession by the supreme court receiver in 2022-23, till this financial year interest amount is mor
8 months ago
A. Dear Client,
As per Sec.24(b) of the Income Tax Act, 1961, in respect of self-occupied residential house property, you can claim a tax deduction of up to Rs. 2 lakhs on the interest incurred on capital borrowed from the Bank/FI for the purpose of acquisition or construction of house property. The deduction shall be allowed if capital is borrowed on or after 01-04-1999 and acquisition or construction of house property is completed within 5 years. With effect from Assessment Year 2020-21, the ded ...ReadMore
ITR filing
I filed ITR-2 in previous years . This financial year i have no transactions in stock , f&o or any capital gain( P&L statement has no transactions record). Only dividend and interest on savings accou
8 months ago
A. Dear client,
ITR 2 is required to be filed only when you have income from the sale of shares and securities or mutual funds. It is not mandatory if you have no income from those sources.
