MSME Payment Disallowance: The Finance Act 2023 Time Bomb Every Taxpayer Must Defuse
Section 43B(h) MSME Payment Disallowance — Complete Guide with Emerging Case Laws, Practical Strategy & AY 2024-25 Litigation Alert Relevant Sections & Provisions Section 43B(h) — Deduction only on actual payment to Micro or Small Enterprises within prescribed time limits (inserted by Finance Act 2023, w.e.f. AY 2024-25) Section 15 of MSMED Act, 2006 — […]
Business Income Tax Planning: A Practical Guide for Tax Year 2026-27
At a Glance Parameter Details for Tax Year 2026-27 Presumptive tax — business (Section 44AD / Section 58) 8% of turnover (6% for digital receipts) — if turnover ≤ ₹3 crore Presumptive tax — profession (Section 44ADA / Section 59) 50% of gross receipts — if gross receipts ≤ ₹75 lakh Tax audit threshold — […]
Salary Tax Planning for Tax Year 2026-27: Maximise Take-Home Pay
At a Glance Parameter New Regime (Default) Old Regime (Opt-in) Basic exemption ₹4 lakh ₹2.5 lakh (below 60) Standard deduction ₹75,000 ₹50,000 Effective zero-tax limit (salaried) ₹12.75 lakh gross ₹5 lakh net (with full 87A rebate) Section 87A rebate ₹60,000 — income up to ₹12 lakh ₹12,500 — income up to ₹5 lakh Section 80C […]
Capital Gains Tax Planning: Every Exemption Explained
At a Glance Asset Type LTCG Threshold LTCG Tax Rate STCG Rate Listed equity / equity mutual funds 12 months 12.5% on gains > ₹1.25 lakh 20% Immovable property 24 months 12.5% (no indexation — post 23.07.2024 sales) Slab rate Gold / jewellery / physical assets 24 months 12.5% Slab rate Unlisted shares 24 months […]
NRI Tax Planning in India: A Complete Guide for Tax Year 2026-27
At a Glance Parameter Position for Tax Year 2026-27 Definition of NRI Person who is not a Resident of India for tax purposes Resident test — primary Stay in India for 182 or more days in the Tax Year Resident test — secondary Stay 60 days in Tax Year AND 365 days in preceding 4 […]
HUF Tax Planning: A Complete Guide for Tax Year 2026-27
At a Glance Parameter Position for Tax Year 2026-27 Legal status Separate taxable entity — “person” under Section 2(31) Governed by IT Act 2025 for Tax Year 2026-27; IT Act 1961 for AY 2026-27 and earlier Separate PAN Mandatory — distinct from Karta’s individual PAN Basic exemption — old regime ₹2.5 lakh Basic exemption — […]
Section 56(2)(x): The Complete Professional Commentary
Section at a Glance Parameter Details Applicable to Buyer of immovable property — land, building, or both Trigger Stamp duty value exceeds actual consideration by more than ₹50,000 or 10% Tax rate Normal slab rates — taxable under “Income from Other Sources” Safe harbour 10% of consideration (from AY 2021-22; retrospective application accepted by courts) […]
Section 43B(h): The Complete Professional Commentary
Section at a Glance Parameter Details Inserted by Finance Act 2023 Effective from AY 2024-25 (FY 2023-24) Applies to Buyers making payments to Micro and Small Enterprises Does NOT apply to Medium enterprises Payment deadline — with written agreement Agreed period, subject to maximum 45 days Payment deadline — without written agreement 15 days from […]
Section 263: The Complete Professional Commentary
Section at a Glance Parameter Position Under IT Act 1961 Power PCIT/CIT may revise orders prejudicial to Revenue Twin conditions Order must be (i) erroneous AND (ii) prejudicial to interests of Revenue Both conditions Must co-exist — satisfying one alone is insufficient Limitation period 2 years from end of FY in which order was passed […]
Section 270A: The Complete Professional Commentary
Section at a Glance Parameter Position Under IT Act 1961 Applicable from AY 2017-18 onwards Replaces Section 271(1)(c) — which continues for AYs up to 2016-17 IT Act 2025 equivalent Section 439 (penalty) + Section 440 (immunity) Penalty — under-reporting 50% of tax payable on under-reported income Penalty — misreporting 200% of tax payable on […]