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

ESCAPE THE TAX AXE & RELAX!

Income from gift to your spouse is liable to be clubbed with your income but you can surely plan lawful circumvention!     Section 64(1) of the Income-tax Act provides that in computing the total income of an individual, the income arising to the spouse from assets gifted by an individual would be clubbed with the total income of the individual. Similarly Section 4 of the Wealth-tax Act also provides for inclusion...

ENJOY A DOUBLE DECKER RIDE!

Can interest on housing loan allowed as a deduction u/s. 24 be treated as part of cost of acquisition on sale of the house       The Income-tax Appellate Tribunal (ITAT), Chennai was recently called upon to decide a tricky issue as to whether interest on housing loan, already claimed by the taxpayer as deduction under Section 24(b) in computing his income from house property, could again be deducted by him under...

HINDUISM NO RELIGION, ONLY A WAY OF LIFE!

ITAT holds expenses for worshipping Shiva & Hanuman or organizing Ganesh festival is not for any religious purposes!               “Expenses incurred for worshipping of Lord Shiva, Hanuman, and Goddess Durga and for celebration of festivals like Shivratri, Hanuman Jayanti, Ganesh Utsav and Makar Sankranti cannot be regarded to be for ‘religious purpose.’ Upholding this contention in a landmark decision, which...

TAX EXEMPT REIMBURSEMENTS!

Salaried employees should plan to enjoy conveyance, telephone, entertainment & medical reimbursements! Under Section 17(2) of the Income-tax Act read with Rule 3 of the Income-tax Rules, any reimbursement granted by an employer to his employee for telephone expenses (including a mobile phone), actually incurred by an employee is treated as an exempt perquisite (perk). It is pertinent to note that there is no...

Powered by HADNow.com