Old Tax Regime vs New Ta Regime: Taxpayers often find themselves in a quandary when it comes to selecting the most suitable income tax regime. The Income Tax Department allows individuals to choose their preferred income tax regime for a particular financial year, with the frequency of switches permitted based on one’s profession or specific criteria … Read more
DA hike: The Centre is anticipated to make an announcement regarding the second hike in Dearness Allowance (DA) and Dearness Relief (DR) for employees and pensioners from July 2024 in September. It is estimated that the government led by Prime Minister Narendra Modi might sanction a 3% increase in DA and DR during this phase. … Read more
As tax costs are eating into the earnings of every household, there is always a search to reduce the tax incidence within the four corners of the law. The Income-tax Act (‘the Act’) provides certain deductions from taxable income, the policies for which are based upon larger socio-economic parameters. With the new tax regime seeking … Read more
Income Tax: Salaried employees can benefit from many financial benefits offered to them in the form of allowances to reduce their tax burden. Allowances are offered on a monthly basis and must be claimed when filing an income tax return (ITR). The Centre offers many such allowances, which are part of the salary structure. These … Read more
ITR: Filing tax returns is an annual affair. One should know every detail about the components in Form 16 and how one can get the maximum deductions and exemptions before filing the returns. Tax deductions refer to expenses that you can subtract from your total income, thus lowering the amount of income that is subject … Read more
The Department of Personnel and Training (DoPT) has recently notified the revised allowances available to central government employees. In March 2024, the dearness allowance (DA) for central government employees has recently been increased by 4 per cent to 50 per cent. Besides this, the Union Cabinet also cleared additional dearness relief (DR) of 4 per … Read more
The common perception is that individuals earning up to Rs 15 lakh annually cannot completely save on taxes. However, if planned wisely, one can pay zero tax even with a yearly income of Rs 15 lakh. In this article, we look at how to achieve that. Firstly, by utilising the basic exemption limit offered by … Read more
In India, taxpayers have the flexibility to choose between two tax regimes based on what suits them best. The old regime provides for exemptions and deductions under sections like 80C, 80D, HRA (House Rent Allowance), LTA (Leave Travel Allowance), etc, helping individuals reduce their taxable income. However, this regime entails higher slab rates. In contrast, … Read more