Income tax Return

Income Tax faceless Assessment Recently, the Central Board of Direct Taxes, India as part of policy decision making of government of India, to make Income Tax Assessment in India transparent, fair and for reducing the human interface between the tax payer and the tax department, has introduced the Income Tax Faceless Assessment Scheme and made necessary changes in the Income Tax Act in this regard.   Salient features of the Income Tax Faceless Assessment   Some of the salient features of the Income Tax Faceless Assessment in India are as under:   a)        A central nodal agency in the form of National Faceless Assessment Centre (NFAC) has been introduced for the smooth conducting of faceless Income Tax assessment which will be the central coordinating agency between the tax payers as well as the tax officers. It will be the single point of contact between the tax payers and the Income Tax Department.   b)     Now, the notice shall be issued by the NFAC to the as

  NRI Tax Return Filing   Whether obligation of Income Tax Return Filing is only on the Residents or whether Nonresidents are also required to their tax return in India? This is a question which comes in the mind of many individuals.   As per the provisions of the Income Tax Act, 1961 ( the Act) every person having taxable income in excess of prescribed amount is required to prepare and file his or her income tax return on or before the due dates prescribed under the act.   Therefore, the obligation of tax return filing is on both the residents as well as non residents. In this write up, we would be discussing about NRI Tax Return filing in India.   Following points shall be kept in mind before filing income tax returns in case of NRIs:   a)      Determination of Residential status   Unlike residents, whose income earned in India as well as outside India is taxable in India, in case of nonresidents, only income earned in India is taxable and income earned out

  Income Tax Return filing in India Every assessee in India are required to prepare and file their Income Tax return for the income earned in the financial year on or before the due date prescribed under the Act. Income tax return filing is an annual affair and is major source of revenue for the government as all the assessee has to make final computation of their tax liability and pay the same to the government before or at the time of their Income Tax Return filing if already they have not made full payment of tax by way of advance tax or TDS. Normally, for an individual and HUF assessee, the due date for filing the tax return is 31 st July every year. Also, the due dates for company assesses are 30 th October. However, for those company’s on which transfer pricing provisions are applicable, the due date is 30 th November. However, at the time of COVID pandemic or some other unforeseen circumstances, CBDT may also extend the due date of tax return filing. For instance, dur

  Private Limited Company Registration There are many forms of company registration in India like sole proprietorship firms, partnership firms, public limited companies, private limited companies, One Person companies and limited liability partnership firm. However, private limited company registration is one of the most popular forms of entity registration in India. Some characteristics of private limited company in India are as under: a)       It has minimum 2 members and can have maximum 200 members   b)       It shall have minimum 2 directors and shareholders, out of which at least  one director must be an Indian Resident and Citizen.   c)       It has limited liability i.e the liability of the shareholders are limited to maximum number of shares held by them   d)      It has separate legal identity from its members and shareholders; therefore, it can sue and can also be sued by outside parties.   e)       It restricts the right to transfer the shares; it m

  FORM 15CA AND 15CB At the time of remittance of money or payment of money by a Resident to Non Resident or to a foreign company, banker requires copies of form 15CA and 15CB besides other documents, for making such remittance in a hassle free manner.   In this write-up, we have provided 10 things which everybody should know about such form 15CA and 15CB:   1)       Form 15CA is a declaration which remitter of money makes declaring that TDS has been deducted at the time of payment made to Non Resident or to a foreign company. Form 15CB is a certificate issued by the practicing chartered accountant.   2)       Purpose of form 15CA is that it must be ensured that before remittance of money abroad, proper TDS has been deducted on such amount and deposited with the revenue authorities. The purpose of form 15CB is to ensure that the provisions of domestic tax laws and international treaty has been taken into consideration while computing withholding tax before remittance o