• Angel Tax Exemption in India: Eligibility, Declaration & Application Process

    What is Angel Tax? Angel Tax was introduced under Section 56(2)(viib) of the Income Tax Act, 1961. It applies to unlisted companies (startups whose shares are not publicly traded) when they receive investment above the Fair Market Value (FMV) of their shares. The extra amount is treated as “income from other sources” and was taxed…

  • Angel Tax in India: Exemption, Applicable Rate & Example

    If you are an entrepreneur, you’ve likely heard of “Angel Tax.” Under Section 56(2)(viib) of the Income Tax Act, an unlisted company or startup in India was required to pay tax on funds received from investors at a premium. However, to qualify for angel tax exemption, certain conditions had to be met. As per Budget…

  • GST Refund: Process, Eligibility, Time Limit & How to Check Status

    A GST refund is an important feature under the Goods and Services Tax system that allows taxpayers to claim back extra tax they have paid or unused Input Tax Credit (ITC). Refunds may arise for several reasons, such as exports, an inverted duty structure, or excess money deposited in the electronic cash ledger. Different types…

  • What Is a Family Trust in India? Meaning, Benefits & How to Set It Up

    A family trust is a legal arrangement in which a person, known as the settlor, transfers assets such as property, investments, or money to a trustee who manages them for the benefit of specific family members called beneficiaries. This structure is commonly used for wealth management, asset protection, and succession planning, ensuring that family assets…

  • ITR-U – What Is ITR-U Form and How to File ITR-U?

    ITR-U – What Is ITR-U Form and How to File ITR-U? ITR-U, or Updated Income Tax Return, is a form that allows taxpayers to correct errors or omissions in their previously filed Income Tax Return (ITR). It can be filed within four years from the end of the relevant assessment year. Taxpayers can submit ITR-U…

  • GST Refund on Flat and Insurance Cancellations for Unregistered Buyers

    GST Refund on Flat and Insurance Cancellations for Unregistered Buyers The Goods and Services Tax (India) applies to many transactions, including the purchase of flats and insurance policies. However, complications may arise when such transactions are cancelled, particularly for unregistered buyers such as homebuyers and policyholders. Understanding how GST applies in these situations is important…

  • VAT Registration – How to Apply Online, Process & VAT Number Search

    VAT (Value Added Tax) is an indirect tax levied on the sale of goods and services. It is charged at every stage of value addition and ultimately borne by the final consumer. Businesses collect VAT from customers and remit it to the government after adjusting input tax credit. ⚠️ Note: In India, VAT has largely…

  • Taxation of Private Trust under Indian Income Tax Act

    With the introduction of e-filing, income tax return compliance for private trusts has become more structured. However, trustees often face confusion regarding: This guide explains taxation for different types of private trusts under Indian tax law. 1️⃣ Taxation When Beneficiary Shares Are Determinate (Specific Trust) When the shares of beneficiaries are clearly defined in the…

  • Section 147 of the Income-tax Act, 1961 (ITA) Demystified

    The Finance Act, 2021 significantly overhauled the reassessment framework under Section 147 of the Income-tax Act, 1961, replacing the earlier provisions relating to income escaping assessment. Before understanding Section 147, it is important to clarify two key concepts: assessment and income escaping assessment. What Is an Assessment? Every individual whose income is chargeable to tax…

  • Startup Registration India – 7 Steps to Register Your Startup

    Startups are rapidly growing across India, supported by various government initiatives aimed at encouraging innovation and entrepreneurship. A startup is typically a business that introduces innovative products or services to solve existing problems or improve current solutions. Startup India Launched by the Government of India under the leadership of Narendra Modi, the Startup India initiative…

  • Reasons to Hire a Local Chartered Accountant for Tax Filing

    Reasons to Hire a Local Chartered Accountant for Tax Filing The Income Tax Act, 1961 governs India’s taxation system and requires taxpayers to disclose detailed information about their income, deductions, investments, and financial transactions while filing returns. Tax filing involves multiple calculations, compliance requirements, and strict deadlines. In addition to understanding tax slabs and deductions,…

  • ITR Filing Last Date for FY 2025–26 (AY 2026–27)

    For the Financial Year 2025–26 (Assessment Year 2026–27), the Income Tax Department has prescribed different ITR filing due dates based on the category of taxpayer and the applicable ITR form. For individuals and taxpayers not subject to tax audit, the ITR filing due date is 31st July 2026 or 31st August 2026, depending on the…

  • India’s Union Budget FY 2026–27: Key Highlights

    Finance Minister Nirmala Sitharaman presented the Union Budget for FY 2026–27 in Parliament on February 1, 2026, against the backdrop of global economic uncertainty, shifting supply chains, and evolving investment trends. The Budget reiterates India’s commitment to sustained economic growth, fiscal discipline, and long-term resilience. Presenting the Budget, the Finance Minister stated that the government…

  • Foreign Subsidiary Company Compliances in India

    All companies incorporated in India must comply with the rules and regulations laid down by the Indian government. Foreign-owned subsidiary companies, however, have additional compliance requirements compared to domestically owned companies. What is a Foreign Subsidiary Company? A foreign subsidiary company is a company in which 50% or more of its equity shares are held…

  • What is a Net Worth Certificate?

    A Net Worth Certificate is an official financial document that provides a detailed snapshot of an individual’s or company’s financial health at a specific point in time. It lists all assets (what you own) and liabilities (what you owe) and calculates the net worth as: Net Worth = Total Assets – Total Liabilities This certificate…

  • Various Aspects of Taxation on IT Services – GST and Direct Taxation

    The earlier VAT and service tax system in India was complex due to the presence of multiple taxes, extensive compliance requirements, and the issue of tax cascading. The introduction of GST has streamlined the tax structure, making it simpler and more efficient, particularly for the IT sector. Under the previous tax regime, the sale of…

  • Tax on Consultancy Services: Applicability, Tax Rates, and Benefits

    Understanding the provisions of the Income-tax Act, 1961 is crucial for consultants to ensure proper compliance and effective tax planning. Familiarity with the applicable tax rules helps consultants manage their liabilities efficiently and make informed financial decisions. Who Is a Consultant? The Income-tax Act, 1961 does not specifically define the term consultant. However, consultancy services…

  • Tax Guide for Indian Freelancers Receiving Foreign Payments

    Being a freelancer in India means handling more than just client work and deadlines—you also need to deal with tax compliance, especially when you earn from international clients. Foreign payments can make taxation feel complicated, but understanding the applicable rules is essential to stay compliant, avoid penalties, and optimise your earnings. This guide explains how…

  • Presumptive Taxation for Business and Profession

    The presumptive taxation scheme makes income tax compliance easier for small businesses, professionals, and freelancers by allowing them to declare income at a fixed percentage of turnover, without the need to maintain detailed books of accounts. Covered under Sections 44AD and 44ADA, this scheme lowers compliance burden, removes audit requirements in most cases, simplifies record-keeping,…

  • TDS on Sale of Property by NRIs in India

    TDS on Sale of Property by NRIs in India When an NRI sells property in India, the profit earned is classified as capital gains. The type of capital gain—short-term or long-term—depends on how long the property has been held. Capital Gains Classification for NRIs Tax Rates on Property Sale for NRIs TDS on Sale of…

  • NRO to NRE Transfer: A Complete Guide for NRIs

    Managing finances across countries can be challenging for Non-Resident Indians (NRIs). With over 15.85 million NRIs worldwide, keeping track of income earned both in India and abroad is crucial. One of the important aspects of NRI banking is transferring funds between NRO and NRE accounts—a process that requires compliance with regulations and careful planning. Understanding…

  • NRI Return to India Consultancy

    NRI Return to India Consultancy In an increasingly interconnected world, many Indian citizens explore opportunities abroad for work, education, or business. Non-Resident Indians (NRIs), along with Persons of Indian Origin (PIOs) who have acquired foreign citizenship, and Overseas Citizens of India (OCIs), often maintain strong connections with India. Many choose to return to the country…

  • Family Trust & Taxation: How to Register a Private Trust in India

    Family trusts in India play a crucial role in protecting wealth, planning succession, and optimizing taxes. Many families use them to secure assets, ensure smooth transfer of wealth across generations, and maintain long-term financial stability. Setting up a family trust, however, requires a clear understanding of legal formalities, taxation rules, and compliance obligations. This guide…

  • Why Ecommerce Accounting Is Crucial for Your Online Store’s Growth

    Why Ecommerce Accounting Is Crucial for Your Online Store’s Growth With the rapid expansion of the ecommerce sector, competition is fiercer than ever. For your online store to thrive, every aspect of your operations must be efficient and precise—especially accounting. In this blog, we break down what ecommerce accounting entails, the challenges unique to online…

  • How to Download and Fill Form 26QB for TDS Payment on Purchase/Sale of Property

    Form 26QB is required to be filed at the time of purchasing an immovable property. When a property is purchased for a value of ₹50 lakh or more, the buyer must deduct TDS at 1% under Section 194-IA and deposit it with the government using a challan-cum-statement known as Form 26QB. This form must be…

  • How to Manage Income Mismatch in ITR Filing

    How to Manage Income Mismatch in ITR Filing An income mismatch in ITR filing arises when the income reported by a taxpayer differs from the information available with the Income Tax Department through records such as Form 16, Form 26AS, AIS, or TIS. These inconsistencies are commonly flagged by the system and may result in…