Background

salary definition under income tax act - search results

Introduction and Basic Concept of Income Tax - Law Times ...

An assessee is a taxpayer means a person who under the income tax act is subject to pay taxes or any other sum of money, as defined under section 2 (7) of the Act. The expression 'any other sum of money' includes other such obligations payable, for instance fine, interest, penalty and other tax …

Section 2(24) Income Tax: Income - Meaning - CA Club

Income tax is a charge on 'Income', so its important to understand the meaning of the term 'Income' under S. 2(24) of the Income Tax Act. There are various important case-laws on interpretation of the term 'Income', which also needs to be reviewed.

Chargeability of Income from Salary

Surrender of Salary to Central Government: If an employee surrenders his salary to the Central Government under section 2 of the Voluntary Surrender of Salaries (Exemption from Taxation) Act, 1961, the salary so surrendered would be exempt while computing his taxable income. Tax free salary: This, in other words, means that the employer bears ...

Income Tax Act, 2058 Eng - Nepal Law Commission

Income Tax Act, 2058 (2002) Date of Authentication and the Publication -2 (18 April, 2002) An Act Made to Amend and Consolidate the Law relating to Income Tax Preamble: Whereas, it is expedient to make timely the law relating to income tax by amending and consolidating it in order to enhance revenue mobilization

THE INCOME TAX ACT. CHAPTER 340 - #DoingMore

income under this Act, including a deemed assessment under section 96; (ii) the ascertainment of the rental income of, and the amount of tax payable on it by, an individual for a year of income under this Act; (iii) the ascertainment of the amount of penal tax payable by a person under this Act; or (iv) any decision of the commissioner which ...

Salary - Income Tax Department

B.—Deduction at source. Salary. 4 192. 5 (1) Any person responsible for paying any income chargeable under the head "Salaries" shall, at the time of payment, deduct income-tax 6 [***] on the amount payable at the average rate of income-tax 7 [***] computed on the basis of the 8 [rates in force] for the financial year in which the payment is made, on the estimated income of the assessee under ...

Multiple Choice Questions

29. A person by whom a tax is payable under the act is called _____. Match the Following Column 1 Column 2 1. Constitution of India 2. Central government 3. Income Tax Act 4. Net tax liability 5. Rate of tax 6. Finance minister 7. Parliament 8. Determination of total income (a) Income tax act (b) 1st April 1961 (c) Approves finance bill

Salary Income- Perquisite Valuation, Exempt Allowances ...

4. EXEMPTIONS FROM SALARY INCOME. 4.1 Section 10 of the I.T. Act provides for certain categories of payments to be exempt from taxation, either wholly or partly. Such payments are not to be included under the head 'salary' for computing the tax deductible. Some of these are listed below and are discussed in detail in Chapter-5 of this booklet.

Computation of Income under the Head Salary | HostBooks

a) Salary income is chargeable to tax on "due basis" or "receipt basis" whichever is earlier. b) Existence of relationship of employer and employee is must between the payer and payee to tax the income under this head. c) Income from salary taxable during the year shall consists of following: i.

Income Tax Act - Justice Laws Website

PART I Income Tax DIVISION A Liability for Tax. Marginal note: Tax payable by persons resident in Canada 2 (1) An income tax shall be paid, as required by this Act, on the taxable income for each taxation year of every person resident in Canada at any time in the year.. Marginal note: Taxable income (2) The taxable income of a taxpayer for a taxation year is the taxpayer's income for the ...

NRI Taxation in India under Income Tax Act, 1961

The Income Tax Act & Rules allowed to Non-Resident Individual is different from those applicable to Resident Individuals. NRI Taxation in India is a matter of concern for a large number of persons living abroad. In this article, I have talked about the definition of NRI, the income on which the tax liability arises and the due date of filing ITR.

"Salary", "Perquisite" and "Profits in lieu of salary" defined

(iv) any fees, commissions, perquisites or profits in lieu of or in addition to any salary or wages ; (v) any advance of salary; (vi) the annual accretion to the balance at the credit of an employee participating in a recognised provident fund, to the extent to which it is chargeable to tax under Rule 6 of Part `A' of the Fourth Schedule; and

Treatment of Performance Bonus – Section 10(13A)- Income Tax

The revised 10% of the Basic salary plus performance bonus comes to Rs. 18,00,000/- thus no exemption can be allowed as the 10% of salary is more than the actual rent paid (i.e. Rs. 8,20,000 less Rs. 18,00,00). The assessing officer was of the view that performance bonus is nothing but part of salary as under section 10 (13A) of income tax act ...

income tax act 1961 - basics that you need to know

Important Terms and Definitions under The Income Tax Act, 1961 Assessment year and previous year As per Section 2(9) of the Income Tax Act, 1961, states that assessment year means the 12 month period beginning on the 1st day of April every year. The assessee is required to file the income tax return of the previous year in the assessment year.

Section 17 of Income Tax Act Amended by IT (1st Amendment ...

Amended and updated notes on section 17 of Income Tax Act 1961 as amended by the Finance Act 2020 and Income-tax (first amendment) Rules, 2021. Detail discussion on provisions and rules related to "Salary", "perquisite" and "profits in lieu of salary" defined.

Income Tax Guide 2021 (FY 20-21) for Indian Seafarer ...

An amendment has been made by Financial Act 2020 which is applicable beginning from the financial year 2020-21 (01st April 2020 to 31st March 2021). The amendment has been made in Explanation 1 (b) of Section 6 of the Income Tax Act. As per this amendment, an Indian origin seafarer, who has Indian income exceeding fifteen lakh during the ...

Valuation of 'Perquisites' under the head 'income from Salary'

'Assessments' Under Income Tax Act. 1961. 'Appeals' Under Income Tax Act. 1961; Payment of Advance Tax and Refund of Tax; Return of Income and Procedure of Assessment (Section 139 to 154) Penalties Under Income Tax Act. 1961 (PAN) [Section 139A] and Aadhaar Number (Section 139AA)

What Is Gross Salary? Know How to Calculate Gross Salary ...

Deductions from Gross Salary. To calculate Income Tax, gross salary minus the eligible deductions are considered. For instance: you will have to subtract HRA exemption, any home loan EMI, investments under section 80C and 80D and similar such things for calculation of taxable income. Please note: The taxation process is different for self ...

Income from salary - CAclubindia

INCOME FROM SALARIES. Any remuneration paid by an employer to his employee in consideration of his service is called Salary. It includes monetary value of those benefits and facilities provided by the employer which are taxable. Section 15, 16 and 17 of the Income tax act, 1961 deal with the computation of income under the head Salaries.

THE DEFINITION OF 'SALARY' Income

THE DEFINITION OF "SALARY". (d) Value of perquisites specified in sub-section (2) of Section 17 of the Income Tax Act. (iii) of clause (2) or proviso to clause (2) of Section 17. As per the Finance (No. 2) Act, 2004, the contribution made by the Central Government in the previous year to the account of an employee under the pension scheme in ...

Salary Income, Perquisites, and Allowances under the ...

Deductions under the head salaries as provided under Section 16 of the Income Tax Act,1961 Professional Tax which is levied by State Government Entertainment Allowance: This allowance is available to all government employees to the extent of Rs.5000 or 20% of his salary or the actual amount received whichever is less.

Definitions - Income Tax Department

Definitions. 2. In this Act, unless the context otherwise requires,— (1) "accounting year" means— (i) in relation to a corporation, the year ending on the day on which the books and accounts of the corporation are to be closed and balanced;(ii) in relation to a company, the period in respect of which any profit and loss account of the company laid before it in annual general meeting is ...

Agricultural income / non-agricultural income: Overview ...

Agricultural income: Definition and meaning. Section 2(1A) of the Income Tax (IT) Act, 1961, defines agricultural income and broadly demarcates it into three categories. 1. Rent or revenue generated from agricultural land. Farmers can use their agricultural land to …

Income from salary - CAclubindia

INCOME FROM SALARIES. Any remuneration paid by an employer to his employee in consideration of his service is called Salary. It includes monetary value of those benefits and facilities provided by the employer which are taxable. Section 15, 16 and 17 of the Income tax act, 1961 deal with the computation of income under …

Deduction from Salary Income (Section 16)

If the professional tax is paid by the employer on behalf of an employee, it is first included in the salary of the employee as a "perquisite" and then the same amount is allowed as deduction on account of "professional tax" from gross salary. There is no monetary ceiling under the Income-tax Act. Under article 276 of the Constitution ...

Income Tax Department

a) Salary income is chargeable to tax on "due basis" or "receipt basis" whichever is earlier. b) Existence of relationship of employer and employee is must between the payer and payee to tax the income under this head. c) Income from salary taxable during the year shall consists of following: i.

All Act - Income Tax Department

The Income Tax Department NEVER asks for your PIN numbers, passwords or similar access information for credit cards, banks or other financial accounts through e-mail.. The Income Tax Department appeals to taxpayers NOT to respond to such e-mails and NOT to share information relating to their credit card, bank and other financial accounts.

Income Tax basics - Federal Board Of Revenue Government Of ...

Pakistan source Income. Is defined in section 101 of the Income Tax Ordinance, 2001, which caters for Incomes under different heads and situations. Some of the common Pakistan source Incomes are as under: -. Salary received or receivable from any employment exercised in Pakistan wherever paid; Salary paid by, or on behalf of, the Federal ...

Gross Total Income-Total Income meaning under Income Tax ...

Income Tax is payable on the total income at the rates of income tax prescribed. The term GTI has been defined in sub-section 45 of section 2 (Chapter II) of Income Tax Act, 1961 as under: "total income" means the total amount of income referred to in section 5, computed in the manner laid down in this act.

Income Tax Act 1959 - PacLII

"income tax" means income tax imposed as such by this Act as assessed under this Act, but does not include dividend (withholding) tax or salary or wages tax and includes specific gains tax; [13] "joint venture" means an enterprise carried on by two or more persons in …

Salary Income – Answer to Common issues

Here we have Considered Some of the Frequently asked Question on Taxability of Salary Income under the Income tax Act,1961. Q.1 What is considered as salary income? Ans. section 17 of the Income-tax Act defines the term 'salary'. However, not going into the technical definition, generally whatever is received by an employee from an employer ...

Income under the head Salary -Definition and Meaning ...

1. Computation of " Salary " Income [Section 15-17] Salary income of an employee is to be computed in accordance with the provisions laid down in sections 15, 16 and 17. Section 15, as discussed earlier gives the scope of this head and tells us that which incomes shall form part of this head.Section 16 gives deductions to be allowed out of incomes taxable under this head.

No. 11 Income Tax 2004 THE INCOME TAX ACT, 2004

No. 11 Income Tax 2004 7 100. Interest for Failure to Pay Tax. 101. Penalty for Making False or Misleading Statements. 102. Penalty for Aiding and Abetting. 103. Assessment of Interest and Penalties. Division II: Offences 104. Offence of Failure to Comply with Act. 105. Offence of Failure to Pay Tax. 106. Offence of Making False or Misleading ...