Indianprofits.com

Indian Stock Market News and Views.

National Savings Certificate

| Filed under Economy

National Savings Certificate

National savings certificate is a special scheme designed to target the Government employees, Businessmen and other employees drawing a fixed monthly salary. National savings certificate can be bought by any individual or by two or more people jointly, or even by an adult of behalf of a minor.  National savings certificate can be bought from authorized post offices or the Head post offices by applying for the same in a form prescribed for the purpose. This application can be submitted either in person or through an authorized agent. There is no maximum limited set for the purchase of National savings certificate.

National Savings Certificate 300x155 National Savings Certificate

(more…)

A guide to the Direct Tax Code Bill- Part 1

| Filed under Economy

The Direct Tax Code (DTC) is here and will take effect from April 1, 2012. The DTC brings with it a host of new changes to the tax code and it is time you get to know how it could impact your investments, savings and taxes. In this first part of the series we will see the basic changes to the tax slabs and changes to the deductions.

tax code 300x210 A guide to the Direct Tax Code Bill  Part 1

(more…)

Impact of Direct Tax Code on Salaried Individuals

| Filed under Economy

So, it is finally here! After months of deliberations and tweaks, the much-awaited Direct Taxes Code (DTC) will replace the age-old Income Tax Act from April 1, 2012. So how will the new DTC impact you and me and the millions of salaried individuals in this country? Let us see!

salary survey 199x300 Impact of Direct Tax Code on Salaried Individuals

Personal taxation slabs: A disappointment!

While there was widespread cheer about the proposed personal taxation slabs in the original form of the DTC when it was proposed last year, the current DTC act wears an insipid look. It has nothing major to offer on personal taxation slabs except that men, women and Hindu Undivided Family (HUF) will now face Rs. 2 lakhs of tax free exemption.

This is how the new tax slabs in DTC will look. There will be no tax up to Rs 2 lakh. There will be 10% tax on income between Rs 2,00,001 and Rs 5 lakh; 20% tax on income between Rs 5,00,001 and Rs 10 lakh; and finally 30% tax for income above Rs 10 lakh.

(more…)

How much tax can you save in real estate investments?

| Filed under Economy

The first preference of investment for a majority of us is real estate. Right from buying properties for residential and commercial uses or for renting it out or for buying a farm house or lands in urban and rural areas investing in real estate has always been an exciting proportion.

However real estate investments can attack income tax and tax on capital gains when sold and hence it calls for a thorough planning to save such taxes.

Residential property

When buying a house for self-occupation

If you have only one residential property and occupy it too then you are not liable to pay tax on its notional value of the rent. However, the tax implications could be different if you own more than one residential property and occupy it too. In such a case you will be required to pay taxes on your other residential properties which are calculated on the basis of reasonable rent.

(more…)

PAN – Permanent Account Number

| Filed under Economy

Is your total income exceeding the maximum limit not chargeable to income tax? Then it is time that you get yourself a Permanent Account Number or PAN! Even if your answer is a no to the above question you will still require a PAN number if you are someone coming under the class or group as specified by the central government!

pan card 197230312 285x300 PAN   Permanent Account Number


So the next time you file your income tax you are legally obliged to quote your PAN number on all papers including the tax payment challans. Moreover, you should quote your PAN if you:

  1. Buy or sell an immovable property; or
  2. Have deposits in banks that exceeds the allowable limits; or
  3. Buy mutual funds more than the specified limits.

(more…)

Tax Saving Tools

| Filed under News and Views

Do you think tax is a burden? Most of the tax payers believe so. If you are a wealthier man, you have to submit a huge amount as tax for the government. To down your tax payment it is necessary to establish a well tax planning criteria which limits the tax pay. For good tax saving, knowledge about the available deductions and exemptions granted by the income tax act is an essential element. So try to gain all the details about those allowed deductions to feel a fare tax system.

save tax1 Tax Saving Tools

Tax deductions allowed by the IT act will help you to reduce the tax incurred on you. Allowances, educational expenses, home & vehicle repair expenses, medical expenses, Insurance premiums, telephone re imbursement, home loan payments etc are eligible deductions one can possess. The tax exemptions are also come under the tax saving options. So also concentrate on the exemptions you have. Some mode of investments also eligible for deductions. Some of the are investments on stock, bond, real estate, post office schemes, fixed deposit schemes of certain financial institutions, fixed income security schemes like provident fund scheme etc are also come under deduction category.

(more…)

Tax Breaks How to avail them

| Filed under Economy

Tax related rules should evolve with time. There is no pre defined principles related to the tax rules. As we are going to the end of the current financial year it is necessary to set the formalities for tax saving. Tax break simply means tax saving. ie; anything that reduces the total cost of tax payment. It includes

tax 239x300 Tax Breaks How to avail them

Tax deduction

Tax exemption

Tax credit

(more…)