Fire your tax related queries and i would get it solved!!!
What are the Tax liabilty percentages for a PARTNERHIP FIRM for the following
1. LONG TERM CAPITAL GAINS (Shares)
2. SHORT TERM CAPITAL GAINS (Shares)
3. DAY TRADING (Shares)
4. F&O
1. LONG TERM CAPITAL GAINS (Shares)
2. SHORT TERM CAPITAL GAINS (Shares)
3. DAY TRADING (Shares)
4. F&O
there are no defined tax slabs for the said types of income.....
According to me
1.) LTCG - 0%
2.) STCG - 10%
3.) Day - 30%
4.) F&O - 30%
Dear Diosys
Thank you so much in making matters more clear. I sometimes think when people in today's world charge rupees even for water pouches, what inspires you to help others for such expert and professional advice other than money. I am not talking only about my help but also to others. [ I read all the posts for this particular topic yesterday and it took me 3 hours, so that is tons of queries and advices].
Ok, I have come to a correct Gross Income after some precise calculation and I am now going forward in the following manner after your advice.
420200.00 = Gross Income for year 2007-08
100000.00 = Less [ Investment in PPF, LIC & ELSS]
60000.00 = Less.[Colleague 1 salary @ 5K/month]
48000.00 = Less [Colleague 2 salary @ 4K/month]
14400.00 = Less [Total Internet + Telephone Bill]
4200.00 = Less [15% of vehicle cost]
6000.00 = Less [Petrol expenses @ 500rs/month]
8400.00 = Less [Total Electricity Bill]
1000.00 = Less [Misc expenses like stationery]
----------
178200.00 = Net Taxable Income
-----------
Tax Slabs Rate Appl amt Balance Tax
0-110000 0% 110000 68200 0
110001- 150000 10% 40000 28200 4000
150001- 250000 20% 28200 - 5640
Total Tax = 4000 + 5640 = Rs. 9640.00
Am I on the right track please ?
1) I got your point regarding salary instead of professionals part in order to avoid TDS. I hardly have about 30 entries in excel sheet to show proof of income and have not maintained any books of accounts or other things. The transcations are so simple and transparent for anyone to understand. So I am not clear how to show their salary on rolls as mentioned by you. Moreover, I havent paid fix salary each month. Sometimes, there was hardly any work so I could give them 2K, some months they earned 8-9K. Do I have take any invoice and signed receipt from them. I mean on scrutiny, at this moment, I do not have any proof of this amount paid to them as it was done by cash. Which line should I follow in this case please?
2) I have bought my new vehicle only on March 2008. 15% is still applicable for deduction right ?
3) I checked the date of purchase of computer and printer. Unfortunately, it was not done last year. Just missed! Moroever, it is an assembled piece bought through my friend. So, I could not include the same in deductions. Am I understanding right please.
I have included only the actual expenses. What is your personal view on the above statastics please.
I might have to go back to regular work now as the
'once in a blue moon' big project has just ended. Next year, I dont think I will have to worry about all this because of low income.
Thanks you so much for your valuable advice.
Regards
Hi
Thank you for all the appraisal. Knowledge is increased when i share it with people....I am telling one fact to you about professionals though this fact the professionals hate to accept...We professionals learn from our clients....Actually this is true....see there are numerous problems in this world which we professionals cannot think of. It is only because of the client that we are forced to read and read again hence increasing our knowledge....So basically it is the client which teaches us !!!...
Turning to your query....
The way of your calculation is absolutely correct...
Any person having taxable income in excess of Rs. 1,20,000 is mandatorily required to maintain books of accounts. Excel would not do. You need to hire a small time accountant (Rs. 2000 or so), get the books generated from him...Secondly you would be needing to take some receipts from them for the amounts.
For any asset, if you have purchased post 2nd October any year then the depreciation rate is taken at half....hence for car it should be 7.5%.
Include the computer in this year only....See, under Income tax the date of purchase of an asset is not important...what is important is the date when such asset is put to use. Since you can always say that i had bought this in the previous year but have used it in this year only hence i am eligible for depri.
Rest seems ok....only that do not round off the petrol expenses to zero's. that does raise a suspicion about the claim.
One more thing is that i am putting this conversation on my thread for the others to also read (without your name). Hope you don't mind...
Cheers
Doisys
Thank you so much in making matters more clear. I sometimes think when people in today's world charge rupees even for water pouches, what inspires you to help others for such expert and professional advice other than money. I am not talking only about my help but also to others. [ I read all the posts for this particular topic yesterday and it took me 3 hours, so that is tons of queries and advices].
Ok, I have come to a correct Gross Income after some precise calculation and I am now going forward in the following manner after your advice.
420200.00 = Gross Income for year 2007-08
100000.00 = Less [ Investment in PPF, LIC & ELSS]
60000.00 = Less.[Colleague 1 salary @ 5K/month]
48000.00 = Less [Colleague 2 salary @ 4K/month]
14400.00 = Less [Total Internet + Telephone Bill]
4200.00 = Less [15% of vehicle cost]
6000.00 = Less [Petrol expenses @ 500rs/month]
8400.00 = Less [Total Electricity Bill]
1000.00 = Less [Misc expenses like stationery]
----------
178200.00 = Net Taxable Income
-----------
Tax Slabs Rate Appl amt Balance Tax
0-110000 0% 110000 68200 0
110001- 150000 10% 40000 28200 4000
150001- 250000 20% 28200 - 5640
Total Tax = 4000 + 5640 = Rs. 9640.00
Am I on the right track please ?
1) I got your point regarding salary instead of professionals part in order to avoid TDS. I hardly have about 30 entries in excel sheet to show proof of income and have not maintained any books of accounts or other things. The transcations are so simple and transparent for anyone to understand. So I am not clear how to show their salary on rolls as mentioned by you. Moreover, I havent paid fix salary each month. Sometimes, there was hardly any work so I could give them 2K, some months they earned 8-9K. Do I have take any invoice and signed receipt from them. I mean on scrutiny, at this moment, I do not have any proof of this amount paid to them as it was done by cash. Which line should I follow in this case please?
2) I have bought my new vehicle only on March 2008. 15% is still applicable for deduction right ?
3) I checked the date of purchase of computer and printer. Unfortunately, it was not done last year. Just missed! Moroever, it is an assembled piece bought through my friend. So, I could not include the same in deductions. Am I understanding right please.
I have included only the actual expenses. What is your personal view on the above statastics please.
I might have to go back to regular work now as the
'once in a blue moon' big project has just ended. Next year, I dont think I will have to worry about all this because of low income.
Thanks you so much for your valuable advice.
Regards
Hi
Thank you for all the appraisal. Knowledge is increased when i share it with people....I am telling one fact to you about professionals though this fact the professionals hate to accept...We professionals learn from our clients....Actually this is true....see there are numerous problems in this world which we professionals cannot think of. It is only because of the client that we are forced to read and read again hence increasing our knowledge....So basically it is the client which teaches us !!!...
Turning to your query....
The way of your calculation is absolutely correct...
Any person having taxable income in excess of Rs. 1,20,000 is mandatorily required to maintain books of accounts. Excel would not do. You need to hire a small time accountant (Rs. 2000 or so), get the books generated from him...Secondly you would be needing to take some receipts from them for the amounts.
For any asset, if you have purchased post 2nd October any year then the depreciation rate is taken at half....hence for car it should be 7.5%.
Include the computer in this year only....See, under Income tax the date of purchase of an asset is not important...what is important is the date when such asset is put to use. Since you can always say that i had bought this in the previous year but have used it in this year only hence i am eligible for depri.
Rest seems ok....only that do not round off the petrol expenses to zero's. that does raise a suspicion about the claim.
One more thing is that i am putting this conversation on my thread for the others to also read (without your name). Hope you don't mind...
Cheers
Doisys
Dear Sir,
Thanks a lot for your very Informative Thread. Kindly clarify my queries
if possible
1) For Day Trading let us say I Turnover Rs 1 lakh per day and
make a profit of Rs 40000/- (in a year over a turnover of 2.00 crores)
What would be the tax payable ? Whethe
2) Whether any Audit should be conducted on the total transactions ?
3) Should all contract notes ( for Day Trading only ) be produced
at the time of filing tax ?
4) How to avoid hassles by paying tax without hiding any income ?
Thanking you in Anticipation
S.Venkatesh
Thanks a lot for your very Informative Thread. Kindly clarify my queries
if possible
1) For Day Trading let us say I Turnover Rs 1 lakh per day and
make a profit of Rs 40000/- (in a year over a turnover of 2.00 crores)
What would be the tax payable ? Whethe
2) Whether any Audit should be conducted on the total transactions ?
3) Should all contract notes ( for Day Trading only ) be produced
at the time of filing tax ?
4) How to avoid hassles by paying tax without hiding any income ?
Thanking you in Anticipation
S.Venkatesh
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