The provisions of finance bill, 2017 relating to direct taxes seek to amend the incometax act, 1961 the act and the finance act, 2016 a. Text of remaining provisions of allied acts referred to in income tax act 1. Chhaparia, fca as we know, penal provisions in any statute are intended to have deterrent effect for non compliances. This incometax ready reckoner is based on the directtax laws as amended by the finance no. Mar 12, 2012 section 54ec of income tax act, 1961 provides an option to save tax on capital gain arising from transfer of long term capital asset subject to fulfillment of certain conditions.
Definition of remuneration under the companies act, 20. All air prevention and control of pollution act, 1981 apprentices act, 1961 arbitration and conciliation act, 1996 banking cash transaction tax black money undisclosed foreign income and assets and imposition of tax act, 2015 central boards of revenue act, 1963 charitable and religious trusts act, 1920 charitable endowments act, 1890. Section 44ad of income tax act, 1961 after budget 2016. Section 2 of income tax act 19612017 provides for various definitions. Any profits and gains arising from transfer of a capital asset effected in the previous year,shall be chargeable to incometax under the head capital gains and shall be deemed to be the income of the previous year in which transfer took place. Section 54ec of income tax act, 1961 provides an option to save tax on capital gain arising from transfer of long term capital asset subject to fulfillment of certain conditions.
Article explains all about section 54, section 54b, section 54d, section 54g 54ga in case of shifting to sez, section 54ec, section 54f and section 54gb. Income tax of india, 1961 is the governing legal act in respect of levy, collection, administration and recovery of direct taxes in india. Cbdt has extended the due date for filing income tax returns and audit reports from 30th september 2017 to 31st october 2017 0409 2017 constitution of group to consider the entire structure to study circles, exploring ways and means to obtain independent pan, tan, service tax registration 2102 2017. While computing capital gains, cost of acquistion shall be reduced by the. Section 2 of incometax act 19612017 definitions aubsp. Provisions of section 54ec are being discussed herein below for the benefit of all concerned. Mar 12, 2016 secttion 194g commission on sale of lottery tickets 10% 5% 1,000 15,000 8. Penalty provisions under income tax act finance bill 2016. Deduction of income tax from salaries for the financial year 20162017 assessment year 2017 18 under section 192 of the income tax act 1961 members of staff whose gross salarypension income during the financial year 20162017 would exceed are requested to furnish a statement. Profits and gains of business or professiona, has, out of such income,a a deposited any amount in an account hereafter in this section referred to as deposit account maintained by him with.
A 1 subject to the other provisions of this section, where an assessee, whose total income includes income chargeable to tax under the head a. Tax audit under section 44ab of income tax act,1961. Cbdt has extended the due date for filing income tax returns and audit reports from 30th september 2017 to 31st october 2017 04092017 constitution of group to consider the entire structure to study circles, exploring ways and means to obtain independent pan, tan, service tax registration. Tax audit is conducted in sec 44ab of the income tax act, 1961 by a chartered accountant. Finance bill, 2016 summary income tax linkedin slideshare. Tax audit is conducted in sec 44ab of the income tax act,1961 by a chartered accountant. Chapter i sections of income tax act, 1961 deals with preliminary provisions. White paper rsm global audit tax and consulting services. It is in short the ultimate document when it comes to understanding income tax in india. Additionally, any perquisite paid to a person as defined under the income tax act, 1961 it act, 1961 will also be taken to be a part of remuneration. Section 194h payment of commission 10% 5% 5,000 15,000 9. Allowance is a fixed monetary amount paid by the employer to the employee for meeting some particular expenses, whether personal or for the performance of his duties. Aug 21, 2010 tax on distributed income to unit holders. Mar 03, 2015 a person will be remuneration under act, 20.
Section 54h of income tax act 1961 2017 provides for extension of time for acquiring new asset or depositing or investing amount of capital gain. Apr 12, 2016 section 44ad of the income tax act, 1961. As per the income tax simplification committee headed by justice r. Section 194c, incometax act, 1961 2015 98payments to contractors. Income tax act 1961 complete act citation 530 bare act. Suppose an eligible assessee declared income us 44ad for a. Simply tax audit means, an audit of matters related to tax. Residential house long term capital asset 3 years or more new residential house only 1 residential house now allowed and that too in india due to amendment. Additionally, any perquisite paid to a person as defined under the income tax act, 1961 it act, 1961 will also be. Interpretation 1 in this act, unless the context otherwise requires. Penalty provisions under income tax act unlearning and relearning consequent to finance bill 2016 by k. This act may be cited as the income tax act, 1973 and shall, subject to the sixth schedule, come into operation on 1st january, 1974, and apply to assessments for the year of income 1974 and subsequent years of income. Return of income and procedure of assessment section 9 to 154 penalties under income tax act. The penal provisions in the incometax act, 1961the act are no exception to this rule.
Section 44ad presumptive scheme to be opted for atleast 5 years. Easwar which issued its report in january 2016, it noted that around 15% of the tax litigation is attributed to determination of expenditure relating to exempt income. Apportionment of income between spouses governed by portuguese civil code. Amendment of section 44ae of income tax act 1961 ay 201718. Section 2 of income tax act 1961 2017 provides for various definitions.
Tax audit means an official examination and verification of financial accounts and records. It is required to be performed only by a chartered accountant us 44ab of the income tax act,1961. Circumstances under which deduction us 54ec is available. Capital gains exemption us 54ec of income tax act, 1961. The provisions of finance bill, 2017 relating to direct taxes seek to amend the income tax act, 1961 the act and the finance act, 2016 a. Allowances meaning and types under the head salary income. With effect from assessment year 202021, the finance act, 2019 has amended section 54 to extend the benefit of exemption in respect of investment made in two residential house properties.
Further you can also file tds returns, generate form16, use our tax calculator software, claim hra, check refund status and generate rent receipts for income tax filing. Section 197a of the income tax act, 1961 has been amended in order to provide that the assessee can file 15g and 15h in case of rental income as envisaged in section 194i of the income tax act, 1961. Jul 21, 2017 amendment of section 44ae of income tax act 1961 ay 2017 18 existing provisions of section 44ad the existing provisions of section 44ad of the act, interalia, provides for a presumptive income scheme in case of eligible assesses individuals, hufs and firms excepting llps carrying out eligible businesses. Chapter iv sections 1459 of income tax act, 1961 deals with provisions related to computation of total income. Unit trust of india or mutual fund to be assessee in default. Section 194a of income tax act, tds under section 194a. However, the information contained in the declaration made under the scheme will not be shared with any other tax or law enforcement agency. Tax act 1961 it act read with rule 8d of the it rules. Section110 determination of tax where total income includes income on which no tax is payable section111 tax on accumulated balance of recognised provident fund section111a tax on short term capital gains in certain cases.
Section page contents division one 111 income tax act, 1961 page u arrangement of sections i3 u text of the income tax act, 1961 as amended by the finance act, 2011 1. Section 80c of incometax act, 1961amended by finance act, 2016 deduction in respect of life insurance premia, deferred annuity, contributions to provident fund, subscription to certain equity shares or debentures, etc. Tax audit meaning a tax audit is an audit, made compulsory by the income tax act, if the annual gross turnoverreceipts of the assesse exceed the specified limit. Amendment of section 44ae of income tax act 1961 ay 2017 18 existing provisions of section 44ad the existing provisions of section 44ad of the act, interalia, provides for a presumptive income scheme in case of eligible assesses individuals, hufs and firms excepting llps carrying out eligible businesses. Secttion 194g commission on sale of lottery tickets 10% 5% 1,000 15,000 8. Section 80c of incometax act, 1961 taxindiaupdates in. It lays down all the rules and regulations in respect of direct taxes in india. The central board of direct taxes cbdt had launched all the seven itrs for ay 2017 18 on march 31 including the one page simplified itr1 sahaj for salaried class and people having income.
Rates of incometax, surcharge and additional surcharge. No exemption can be claimed in respect of house purchased outside india. Section 9, incometax act, 1961 2015 income deemed to accrue or arise in india. Section 32 of income tax act 19612017 provides special provision for depreciation. Icai the institute of chartered accountants of india. It is required to be performed only by a chartered accountant us 44ab of the income tax act, 1961. Section 54 income tax act capital gains exemption chart. Section 32 of incometax act 19612017 depreciation aubsp. Measures for promoting affordable housing and real estate sector d.