Author: Jesna John K

Section 194C of the Income Tax Act, 1961 in India deals with tax deduction at source (TDS) on payments made to contractors and subcontractors. This section applies to both individuals and businesses who are making payments to contractors or subcontractors for carrying out any work, including: Payments for carrying out any work in pursuance of… Continue reading Section 194C of the Income Tax Act

Lease accounting standards refer to the rules and principles that dictate how leases are recognized, measured, and disclosed in financial statements. These standards are crucial for ensuring transparency and comparability in financial reporting, particularly for companies that engage in leasing arrangements. There are two primary sets of lease accounting standards: International Financial Reporting Standards (IFRS… Continue reading Lease Accounting Standards

The Composite Claim Form for Provident Fund (PF) withdrawal is a unified document introduced by the Employees’ Provident Fund Organization (EPFO) in India. It simplifies the process of withdrawing funds from your Provident Fund account. This form replaces the previous forms (Forms 19, 10C, and 31) and is used for various purposes such as final… Continue reading Composite Claim Form for Provident Fund

Royalty accounting involves the recording and reporting of transactions related to royalties, which are payments made by one party (the licensee) to another (the licensor) for the right to use an asset, such as intellectual property, natural resources, or technology. Here’s an in-depth explanation of royalty accounting: Key Concepts Royalties: Payments made for the use… Continue reading Royalty Accounting

The Annual Information Statement (AIS) and the Taxable Income Statement (TIS) are both important documents related to taxation, but they serve different purposes and contain different types of information. Here’s a breakdown of the differences between the two: Annual Information Statement (AIS): Purpose: The AIS provides comprehensive information about various financial transactions and activities undertaken… Continue reading Difference Between Annual Information Statement & Taxable Income Statement

Form 26AS is a consolidated tax credit statement issued by the Income Tax Department in India. It provides a comprehensive view of the taxes paid by a taxpayer in a particular financial year. Here’s an overview of Form 26AS: Contents: Form 26AS contains details of tax deducted at source (TDS), tax collected at source (TCS),… Continue reading Form 26AS

The Annual Information Statement (AIS) is a document provided by tax authorities to taxpayers that contains comprehensive information about various financial transactions and activities undertaken by the taxpayer during a specific financial year. This statement is typically issued by the Income Tax Department or relevant tax authority in a particular jurisdiction. Here are some key… Continue reading Annual Information Statement (AIS)

A Defective Income Tax Return Notice is issued by the Income Tax Department when they find discrepancies or inadequacies in the tax return filed by a taxpayer. This notice is typically issued under Section 139(9) of the Income Tax Act in India. This provision allows taxpayers to rectify any mistakes or omissions they might have… Continue reading Defective Income Tax Return Notice

In India, there are several payment clearing houses that facilitate the efficient transfer of funds between banks and financial institutions. These clearing houses play a crucial role in processing various types of transactions such as interbank transfers, electronic funds transfers, and check clearing. Here are some examples of payment clearing houses in India: National Payments… Continue reading Payment Clearing Houses in India

Flexible Spending Accounts (FSAs) and Health Savings Accounts (HSAs) are both types of accounts that offer tax advantages for individuals to save and pay for qualified medical expenses. While they share similarities, they also have distinct differences. Here’s an overview of each: Flexible Spending Account (FSA): An FSA is an employer-sponsored benefit account that allows… Continue reading Flexible Spending Accounts (FSAs) and Health Savings Accounts (HSAs)