New versus old tax regime: At the beginning of each financial year, salaried individuals must select an income tax regime for TDS (tax deducted at source) on their salary. They need to tell their employers whether they prefer the old or new tax regime, as their employer will deduct taxes from their salary according to…
New versus old income tax regime – understanding TDS on salary: The new financial year, 2024-25 has begun starting from April 1. However, the income tax laws from the previous year, FY 2023-24, remain in effect for FY 2024-25 because the government has not made any changes. Potential changes may be announced in the upcoming…
HRA tax exemption rules: House Rent Allowance (HRA) is a common component of many employees’ salary packages. Unlike basic salary, HRA isn’t entirely taxable, subject to specific conditions outlined in Section 10(13A) of the Income-tax Act, 1961.The exemption on HRA reduces the taxable portion of an employee’s income, thus offering a means to save on…
NEW DELHI: German and some other multinational companies are concerned at Govt’s new incentive scheme to push investments into electric vehicle manufacturing, fearing that they may not get a “level-playing field” as special import duty rates would be given only to new entrants but may not be extended to existing players.German makers such as BMW,…
Penalties for not depositing in PPF, SSY, NPS: Investors in Public Provident Fund (PPF), Sukanya Samriddhi Yojana (SSY), and National Pension System (NPS) must deposit a minimum amount in their accounts each year to keep them active. If they miss this deposit, their accounts can be frozen, and they may face penalties. The deadline for…
Senior citizen tax-saving FDs: As you age, it’s best to pick safer investments, experts say. That’s why many senior citizens like putting their money in stable options like bank fixed deposits (FDs). Plus, investing in five-year tax-saving bank FDs gives you tax perks. However, it is important to note only those who stick with the…
