The National Pension System (NPS) is a government-backed retirement savings scheme that helps you build a pension corpus while saving tax. Regulated by PFRDA, NPS offers market-linked returns, low costs, and tax benefits under Sections 80CCD(1B) and 80CCD(2). This guide explains NPS meaning, features, tax benefits, eligibility, Tier I and Tier II accounts, and how to open an NPS account online.NPS Scheme DetailsEligibility: Indian citizens aged 18 to 70 years can open an NPS account.Account Types: Tier I (retirement account) and Tier II (voluntary savings account).Minimum Contribution: Rs. 500 to open Tier I and Rs. 1,000 per year thereafter.Returns: Market-linked returns with no fixed interest rate.Tax Benefits: Tax deductions available under Sections 80CCD(1), 80CCD(1B), and 80CCD(2).National Pension Scheme - Interest RateAs NPS is a scheme where its returns depends on market performance of the fund irrespective of equity allocation, there is no fixed interest rate for this scheme, unlike other savings scheme.

Managing finances becomes a hassle as several people do not know how to handle money. Most individuals would not have enough money to lead a comfortable life. The Government of India has considered all these and launched various saving schemes. These schemes help individuals save a part of their income for future use. Some schemes contribute from the government to the individuals to make their lives easier.Latest Update on Interest RatesThe interest rates on small savings schemes such as PPF, Sukanya Samriddhi Yojana, Post Office Savings Account, Kisan Vikas Patra, National Savings Certificate, and Post Office Monthly Income Scheme for Q2 (July-September) of FY 2025-26 remain unchanged. What are saving schemes?Saving schemes are monetary instruments for enabling people to achieve their economic goals within a definite time interval.

Section 80C is one of the most popular tax-saving deductions, allowing both individuals and HUFs to claim up to Rs. 1.5 lakh deduction per financial year. It covers a variety of investments and payments such as PPF, ELSS, life insurance premiums, NSC, EPF, Sukanya Samriddhi Yojana, home loan principal repayment, and tuition fees; this section brings a wide range of savings and payments under one umbrella. The Income Tax Act, 2025 now folds these provisions under Section 123. This article covers how Section 80C works and how to make the most of it before your investments are locked in for the year. Key Highlights Section 80C deduction is available only under the old tax regime.Additional Rs.

The much-awaited Union Budget 2025 by Finance Minister Nirmala Sitharaman, was presented on February 1, 2025, which focused on a new landmark for India's economic trajectory to make growth all-inclusive, which is aimed at empowering the poor, the youth, the farmer, and women. In a bid to strengthen long-term sustainable growth through taxation, infrastructure, agriculture, and digitalisation, this budget comes with a strong reform measure in these key sectors. Read on to find out the major highlights and key takeaways from Budget 2025.Budget 2025: Download Budget 2025Click on the link to download Finance Bill 2025: Download here Click on the link to download the Budget 2025 speech: Download here1. Direct Tax ProposalsIntroduction of a New Tax BillA new Income Tax Bill will be introduced in this week, which aims to replace the existing Income Tax Act of 1961. This bill is designed to simplify tax compliance and reduce the complexity of current tax laws by up to 60%.Changes in Tax Structure Under the New RegimeUnder the New tax regime, the tax structure is revised as follows:Income Tax SlabsTax RateUpto Rs.

Form 16 is a declaration form for individuals )except companies or firms) and foreign companies who don't have a PAN but needs to carry out transaction which is sepcified as per Rule 114B for the Income Tax Act, 1961. PAN is mandatory for certain high value transactions which would help government crub and track black money, those without one can submit From 60 as an alternative. What is Form 60?Form 60 is a document to be filed by a person (not a company or firm) to carry out transactions specified in Rule 114B when they do not have a PAN either because:they have not applied for PAN orthey have applied for PAN, but allotment is pendingForm 60 without applying for PAN is not acceptable if your total income (other than agriculture) is more than the basic exemption limit. In that case, you can use Form 60 only if you have applied for PAN, and you must also mention the date of application and acknowledgement number in column 22 of the form.How to Download Form 60 in PDF?One can get Form 60 of Income Tax from the official website of the Income Tax Department. One must follow the steps outlined below to download Form 60 pdf:Go to the official website of the Income Tax Department.From the top navigation menu, select “Forms/Download.”Select “Income Tax Forms” from the drop-down menu. You will be led to a page listing various income tax forms. Now select  “Form No.60.”Select the document. It will then be downloaded to your machine automatically.Download Form 60 PDF from the Income Tax PortalWhen to Submit Form 60?In the following cases, it is mandatory to quote your PAN.

Section 194S of the Income Tax Act provides for TDS on sale of Virtual Digital Assets (VDAs) at 1%. Key HighlightsCrypto Exchange (or broker) should deduct 1% TDS, and must file quarterly Form 26QF.No TDS needs to be deducted if the sale value do not exceed Rs. 10,000 (Rs.50,000 for specified persons) TDS applies even in case of exchange of one crypto asset for another.What is TDS Under Section 194S?Section 194S provides for TDS on sale of cryptocurrencies and other Virtual Digital Assets. 1% TDS needs to be deducted on sale of crypto transactions. This is applicable in cases where the value of the transaction exceeds Rs 10,000 in a particular year (Rs 50,000 in the case of specified persons). The tax deducted is required to be reported to the government in Form 26Q for other persons and in Form 26QE for specified persons.For example, if you buy cryptocurrency worth Rs 1,00,000, you must deduct TDS at 1% of Rs 1,00,000 from your payment and pay the balance of Rs 99,000 to the seller.

TDS (Tax Deducted at Source) deducts tax at the point of payment or credit. A TDS journal entry differs from an ordinary one, because the amount is net of TDS, so the bank and TDS accounts are recorded separately. Depending on your role, you pass a TDS receivable journal entry or a TDS payable journal entry.What is a TDS Journal Entry? A TDS Journal entry is a transaction recorded within the books while TDS is deducted or paid. Correct TDS entries assist organizations in staying consistent with tax regulations and deliver a clear image of the tax money and the debts they owe. Types of TDS Journal EntriesTDS transactions can be broadly classified into two types:TDS Payable Journal EntryTDS Receivable Journal EntryTDS Payable Journal EntryTDS payable journal entries refers to the amount deducted from the specified payments, payable to the Income Tax Department on behalf of the service provider. TDS payable is a liability as it is owed to the Income Tax Department. Example of TDS Payable Journal EntryAssume a business makes a payment of ₹100,000 to a contractor, and TDS at 1% is deducted.Recording the Expense and TDS DeductionJournal EntryAccountDebit (₹)Credit (₹)Contractor Expense1,00,000 TDS Payable 1,000Bank/Cash 99,000In this entry, the contractor expense account is debited at ₹100,000, representing the total expense.

Income tax is integral to Indian tax law for people and companies. Thе CRN, full form in incomе tax, is Challan Rеfеrral Numbеr, and onе of thе stеps thе govеrnmеnt has takеn to makе it еasiеr for pеoplе to filе and pay thеir taxеs. This article dеtails thе idеa of CRN in incomе tax and what it mеans and how to makе it and usе it to pay taxеs.What is CRN in Income Tax?A unique 14 digit codе referred to as Challan Rеfеrral Numbеr is madе by using thе Income Tax Dеpartmеnt's е-filing portal. The CRN number will get generated automatically while making the tax paymеnts likе self assеssmеnt tax, tax collеctеd at source or tax deducted at sourcе (TDS). The CRN number helps to connect the tax payment with the taxpayer account identification, thereby confirms that thе payment is crеditеd corrеctly and matchеd too.Significance of CRN in Income TaxThе adoption of CRN has dramatically hеlpеd thе tax paymеnt procеss in India.

Section 269SS of the Income Tax Act, prohibits a person from accepting loans, deposits, or advances in relation to a transfer of an immovable property of Rs. 20,000 or more in cash. Such transfers must be received through prescribed banking modes such as account payee cheque, bank draft or electronic transfer. The Rs. 20,000 limit applies to transactions to:Per personPer daySingle transactionIn simple terms, a person cannot accept a loan, advance or deposits of Rs.

The Budget 2025 introduced major changes to the existing Tax Deduction at Source (TDS) and Tax Collected at Source (TCS) provisions of the Income Tax Act, 1961. These amendments were introduced with the objective of simplifying tax compliance for businesses and individuals. These changes focus mainly on a higher threshold limit, removal of TCS on certain transactions and introduction of new provisions to streamline compliance and smoothen taxation processes. This article will cover all the major changes in TDS and TCS that one must know and help understand in an easy way.Enhanced Threshold Limits For TDSThe applicability of TDS or TCS is only attracted when the transaction is above the threshold limit. With effect from April 1, 2025, the threshold limits for a few sections have been increased from their previous limits. The previous and enhanced limits for TDS are given in the following table: SectionBefore 1st April 2025From 1st April 2025193 - Interest on SecuritiesNIL10,000194A - Interest other thanInterest on securities(i) 50,000/- for senior citizens;(ii) 40,000/- in case of others when the  payer is the bank, cooperative society and post office(iii) 5,000/- in other cases(i) 1,00,000/- for senior citizen(ii) 50,000/- in case of others when the payer is a bank, cooperative society and post office(iii) 10,000/- in other cases194 – Dividend, for an individual shareholder5,00010,000194K - Income in respect of units of a mutual fund5,00010,000194B - Winnings from lottery, crossword puzzle Etc.194BB - Winnings from horse raceAggregate of amounts exceeding 10,000/- during the financial year10,000/- in respect of a single transaction194D - Insurance commission15,00020,000194G - Income by way of commission, prize etc. on lottery tickets15,00020,000194H - Commission or brokerage15,00020,000194-I - Rent2,40,000 (in a financial year)50,000 per month or 6,00,000 lacs in the financial year.194J - Fee for professional or technical services30,00050,000194LA - Income by way of enhanced compensation2,50,0005,00,000Enhanced Threshold Limit For TCSThe threshold limit for TCS for remittance under Liberalised Remittance Scheme (LRS) and foreign tour packages has been increased to Rs. 10 Lakhs from the previous limit of Rs.