practical tax & investment planning online
international tax expert / colunmist / author / speaker

Tax planning through family settlement!

Distribution of assets under a family arrangement is not treated as a ‘transfer’ and can help save tax, stamp duty! ‘The Halsbury’s Laws of England’ has defined a Family Settlement or Family Arrangement as an agreement between the members of the same family intended to be generally or reasonably for the benefit of the family, either by compromising doubtful or disputed rights or by preserving the family property or...

PLANNING RECIPES FOR TAX SAVING

Head of the household must do some smart thinking for maximizing the family’s tax benefits u/s.80C! A significant relaxation announced at the time of the passing of the Finance Bill, 2005, related to the abolition of the proposed condition for deduction of upto Rs.1,00,000 under Section 80C requiring that “the eligible investments must be made out of a taxpayer’s income chargeable to tax.”  With this restriction...

WILL PPF INVESTMENT BE REVISED TO RS.1 LAKH?

With exemption of interest & deduction for investment PPF can effectively yield a return of upto 16.75% !         Section 80C of the Income-tax Act was amended by the Finance Act of 2005 with effect from Financial Year 2005-06, permitting an individual and HUF to avail of higher deduction for specified investments and allocations of upto Rs.1,00,000, revising it upwards from the earlier limit of...

MERE DECLARATION CAN ENTITLE EXEMPTION!

SC holds that for TDS purposes Employer can grant exemption to Employee without supporting evidence Section 10 of the Income-tax Act grants tax exemption in the case of salaried employees, in respect of various allowances such as leave travel concession (LTC) under Section 10(5), conveyance allowance under Section 10(14) and the like, within the scope of prescribed conditions and monetary limits. Similarly, Section...

Powered by HADNow.com