The government has made several provisions in the Income-tax Act,1961 that allow you deductions against investments in specific avenues. One such popular option is deduction under section 80CCD. Section 80CCD provides additional benefits to employees who opt for investments in specified pension schemes. Deduction is allowed for contributions made by both employers and employees.Budget 2025 UpdateThe same tax benefits available for NPS contributions under Section 80CCD(1B) will now apply to contributions made to NPS Vatsalya accounts, allowing Rs. 50,000 deduction under the old regime if you have invested in the NPS Vatsalya schemeWhat is Section 80CCD?Section 80CCD relates to the deductions available to individuals against contributions made to the National Pension Scheme (NPS) or the Atal Pension Yojana (APY).

The current ITR-4 is to be filed by small business owners who do not maintain books of accounts but only maintain sales ledger in approximate volume. This includes online sellers, traders, wholesalers and manufacturers, etc.Then freelancers such as online content writers, bloggers, vloggers, etc. need to file the ITR-4 form. Also, professionals like chartered accountants, doctors, lawyers and engineers, etc. whose income is computed on a presumptive basis u/s 44AD, 44ADA or 44AE need to file this form. Individuals who are drawing a salary as well as earning additional income from freelancing activities or part-time business also can file ITR-4 Form. What is the ITR-4?Different ITR Forms such as ITR-1, ITR-2, ITR-3, and ITR-4 have been notified by the Income Tax Department for taxpayers to file tax returns based on the nature of their income.ITR-4 is the Income Tax Return form for taxpayers with business income who opt for a presumptive income scheme under Section 44AD, Section 44ADA and Section 44AE of the Income-tax Act,1961.   However, if the turnover of the business mentioned above exceeds Rs.2 crore, the taxpayer will have to file ITR-3.Who is Eligible to File ITR-4?ITR-4 is to be filed by the individuals/HUF/Partnership firm who fulfill the following conditions:Is a Resident of India as per Income Tax ActHaving Business or Professional IncomeIncome from business income calculated under Section 44AD or 44AEIncome from profession calculated under Section 44ADATotal income not exceeding Rs.

Investment in a immovable property, predominantly house is one of the most sought-after investments primarily because you get to own a house. While others may invest with the intention of earning a profit upon selling the property in the future. It is important to note that a house property is regarded as a capital asset for income tax purposes. Consequently, any gain or loss incurred from the sale of an immovable property may be subject to tax under the 'Capital Gains' head. Similarly, capital gains or losses may arise from sale of different types of capital assets such as stocks, mutual funds, bonds and other investments.

All employers must deduct tax at source or TDS from their employees’ salary and deposit the TDS with the income tax department through their Tax Account Number (TAN). Further, all employers should file TDS returns of the salary payments. However, there may be cases when the deductor has not deposited the taxes within the stipulated time, or not furnished TDS returns with correct PAN (Permanent Account Number) of the employees.Explore this blog to get a better understanding of the following:Situation when the deductor fails to deposit the TDSRemedies under the Income Tax lawImportant things to notePenalties for Non-deduction and not depositing the TDSProcess to check TDS deduction and deposit of TDSConsequences of Employer's Failure to Deposit TDSFor Employees: When your employer has not paid the TDS to the income tax department, the TDS would not be available against your PAN in your Form 26AS. You cannot take a tax credit of the TDS while filing your income tax return. If you take the tax credit for this amount, you will receive a notice from the income tax department for the mismatch in the TDS claimed and taxes paid.

Section 194K prescribes TDS deduction at the rate 10% on dividend paid on mutual funds to residents. This resulted in the elimination of double taxation, which happened due to previous tax laws. Under the previous laws, tax on mutual fund payout was levied when the company distributed to the AMC(Asset Management Company) and when the AMC distributed the same to the unit holders. Let’s discuss Section 194K in detail. Types of Income from Mutual Fund UnitsIn general, an individual can earn two types of income by investing in mutual fund units. They are:Sl.No.Income TypeChargeability to Tax1.DividendDDT has been abolished as per the Budget 2020. From FY 2020-21, dividend income will be taxable in the hands of the receiver/investor.However, Section 194K requires the mutual fund to deduct TDS while distributing dividends exceeding Rs 10,000 to unitholders. 2.Capital GainsCapital gains are taxable in the hands of the taxpayer. Any long-term capital gains earned from equity-oriented mutual funds will be taxed at the rate of 12.5% if the gains exceed Rs 1.25 lakh in a year. Similarly, any short-term capital gains earned from the equity-oriented mutual funds, subject to STT, will be taxed at the rate of 20%.  However, Section 194K does not require a mutual fund to deduct TDS on capital gains arising on redemption of units by unitholders.Section 194KAs per Section 194K, any person responsible for paying a resident with respect to:Units of a mutual fund as per Section 10(23D)Units from the administratorUnits from a specified companyShall deduct TDS at the time of credit of such income to the payee’s account or at the time of making payment, whichever is earlier.Purpose of Section 194KUnder the previous income tax laws, dividends were taxed twice. Initially, a tax was imposed when a company would pay a dividend to an Asset Management Company (AMC).

Toll revenue constitutes a significant part in development and maintenance of highway infrastructure of Indian economy. In the recent times, a lot of modernization has been made in promoting transparency and efficiency in toll collecting. In this article, we will understand about road usage charge collection, calculation, and other details about road charges in India.What is Toll Tax in India?Road charges, often known as “tolls, "are the taxes you pay for using interstate expressways, bridges,  tunnels, and national or state highways. In India, the entire road network, including toll taxation policies and systems, falls under the purview of the National Highway Authority of India (NHAI).NHAI has laid down various rules and regulations that determine the collection process. These rules include certain exemptions for taxes, tax validity, rules on how the road charges for a particular highway/expressway are determined, and much more. Why is Toll Tax Collected?India has one of the greatest roadway networks in the world.

As per government notification, Aadhaar number needs to be produced mandatorily if you want to open a post office account or invest in the National Savings Certificate (NSC), Public Provident Fund (PPF) and Kisan Vikas Patra (KVP) schemes.The government has extended the deadline for linking of Aadhaar to small savings schemes such as post office deposits and Kisan Vikas Patra to March 31, 2018. The linking of Aadhar with various savings schemes such as post office deposits, Public Provident Fund, National Savings Certificate and Kisan Vikas Patra can be done through online as well as offline modes.UpdateThe last date for linking Aadhaar with PAN has been extended to 31st March 2023.Linking of Aadhaar with Saving Schemes via offline modeLinking of Aadhaar to various saving schemes can be done through Indian Post Bank Account. The below-mentioned steps should be followed in this respect: Step 1: Visit your nearest Indian post office branch along with a copy of your Aadhaar card and Post office passbook. Step 2: Fill the Aadhaar linking form which will be available from the branch and attach a copy of your Aadhaar card with the form and submit it. Step 3: After submitting the application form, you will be given an acknowledgement to confirm your request for linking Aadhaar with your India Post Bank Account. Step 4: After processing of your application by the post office, notification will be received via SMS on your registered mobile number.Linking of Aadhaar Card with Indian Post Bank Account via online modeStep 1: Log on to your internet banking account using your User ID and password. Step 2: Click on the link “Registration of Aadhaar Number in Internet Banking” on the home page. Step 3: Enter your 12 digits Aadhaar number therein and click on “confirm”. Step 4: Select the Indian post bank account for which the Aadhaar number needs to be linked. Step 5: To inquire that whether your Aadhaar number update request has been processed or not, click on “Inquiry” option on the homepage of the website.Related ArticlesLink Aadhaar with Insurance PoliciesLink Aadhaar with PANLink Aadhaar with UAN, PFLink Aadhaar with Voter IDLink Aadhaar with LPG ConnectionLink Aadhaar with Ration CardAadhaar card const userAgent = navigator.userAgent || navigator.vendor || window.opera; const inlineCTAbutton = document.getElementById('inlinebtnLink'); if (/android/i.test(userAgent)) { inlineCTAbutton.href = "https://black-cleartax.app.link/filing-entryscreen" } if (/iPad|iPhone|iPod/.test(userAgent) && !window.MSStream) { inlineCTAbutton.href = "https://cleartax.in/MyAccount/start" } .

Employees’ Provident Fund (EPF) is a government-backed savings scheme wherein both the employee and the employer contribute monthly a minimum of 12% of the basic salary to the employee's EPF account. Individuals can withdraw the accumulated funds in the EPF account under specific conditions. However, monitoring the EPF claim status is important to ensure the entire process is completed efficiently. Read through this blog to gain an understanding about the EPF claim statusWhat is EPFO Claim Status?EPFO claim status refers to the current status of the application on the EPFO withdrawal. It gives a quick insight on the withdrawal process development, allowing applicants to address potential delays or errors effectively.  What are the Pre-requisites to Check EPFO Withdrawal Status? To know the status of your claim, the following information should be available to you:a. Universal Account Number (UAN)  b.

Do you know that charitable/religious deeds through donation or by conducting those activities can help you save tax? Section 80G of the Indian Income Tax Act provides provisions for the same. As per 80G, you can deduct your donations to Central and State Relief Funds, NGOs and other charitable institutions to arrive at your taxable income. In this article, we will tell you how and when to claim deductions on donations made to Charitable Trusts and NGOs and how the tax laws are applied on the trusts conducting charitable/religious activities.Budget 2025 updateIt was proposed to amend the Explanation to sub-section (4) of section 12AB to provide that the situations where the application for registration of trust or institution is not complete, shall not be treated as specified violation for the purpose of the said sub-section.Charitable Trusts – A Brief Introduction“The word ‘Charity’ connotes altruism in thought and action. It involves an idea of benefiting others rather than oneself” Supreme Court in the case Andhra Chamber of Commerce [1965] 55 ITR 722 (SC).  Charity is a selfless voluntary help either in money or kind to the needy. Hence, there are various Non-Governmental Organizations (NGOs) and non-profit entities constantly working on charitable activities by raising funds all over the world by forming either an institution or trust.  Trusts can be created for charitable purposes or religious purposes or both.Efforts of such institutions play a significant role in promoting economic development and the social welfare objectives of the Government. Their outreach and more localised approach help to identify the needy and lend a supporting hand.

Income Tax Appellate Tribunal (ITAT) is a quasi-judicial authority to file appeals against the orders of income tax authorities. A tax appeal can be filed by a taxpayer who does not agree with the assessment order or any other order, passed by an income-tax authority. An appeal before the ITAT is generally filed by the taxpayer to contest any order passed by the Commissioner of Income-tax(Appeals). Similarly, an income-tax department can also file an appeal against any order passed by the Commissioner of Income-tax(Appeals) before the ITAT.Discover more about ITAT in this blog:Nature and Structure of ITATFunctions of ITATAppealable OrdersApplicable Monetary LimitsProcedure to file an AppealAppeal Filing feesTime available to file an AppealFiling Memorandum of Cross-ObjectionsRepresentation before the ITATPresentation of EvidenceOrders by ITATNature and Structure of ITATThe ITAT is a quasi-judicial body set up by the Central Government to deal with appellate matters under the Income Tax Act, 1961. The ITAT functions under the Ministry of Law and Justice.