This is the archive of all our articles related to income tax and filing of tax returns
Do you remember the interesting rule while setting off losses from previous years? While setting off long-term capital loss brought forward from previous years against capital gains from equity under Section 112A, the loss is first set off against the gains, and only then is the exemption of âč1 lakh (âč1.25 lakhs from FY 2024â25…
Continue reading →A reader says, “This is about your article ‘Is 87 A Rebate Applicable for Capital Gains after Budget 2025‘ dated 3 February 2025 on your site. Can I avail of the Rs 12,500 rebate for FY 2024-25 on equity LTCG if my taxable income is within Rs 5 Lakhs?” Tax expert Manmohan Sethumadhavan responds. …
Continue reading →Budget 2024 has further reduced the tax burden in the new tax regime. Use this free calculator to compare the old and new tax regimes (calculations for past new tax regime slabs are also available). This comparison table was originally prepared by Vinay Vittal, modified by Balasubrahmanyan and then by me post budget 2024. This…
Continue reading →If you have capital gains and dividends to report to the taxman, correct this auto-fill while filing ITR! About the author: Manmohan Sethumadhavan is a freelancer, investor, and personal finance enthusiast âin search of the absolute truth.â You can follow Manu on Twitter @ManuTsr. Also, read his article: How to calculate LTCG with Grandfathering for equity shares…
Continue reading →In this article, we discuss How to calculate LTCG with a Grandfathering clause for equity shares that underwent split and how to fill Schedule 112A. About the author: Manmohan Sethumadhavan is a freelancer, investor, and personal finance enthusiast âin search of the absolute truth.â You can follow Manu on Twitter @ManuTsr. I purchased 1000 Nos….
Continue reading →Readers often ask, “How much capital gains tax should I pay if I have no other income source?” The answer is quite simple. Up to the tax-free limit (using the then prevailing tax slabs), the capital gains are tax-free if there are no other sources of income (this is quite rare, if not impossible). We…
Continue reading →In this article, Manmohan Sethumadhavan, answers the question, “Should Professionals or Business Owners File Form-10IEA for continuing in Old Tax Regime for AY 2024-2025 (FY 2023-2024)” and considers several other scenarios. Note that this is only for people with business/ professional income, since others can choose any regime any year without any limits. About the…
Continue reading →A reader says, “I understand that the new tax regime is better than the old one because it does away with tax-deductible investments or purchases (80C, 80D, home loan interest, etc). However, I am used to investing in such instruments, and since I will continue to use them, is there any way to find out…
Continue reading →A reader says, “Thank you for the fantastic new tax regime vs old tax regime calculator for FY 2023-2024 (AY 2024-2025). It is really easy and useful. Currently, the new regime is beneficial for me. Can I switch back to the old tax regime if I wish to buy a house in future?” The old tax…
Continue reading →If you are wondering whether you should choose the new or old tax regime for FY 2023-2024 (AY 2024-2025), this free calculator will help you decide. The tax slabs were unchanged in the interim budget presented on 1st Feb 2024. Announcement: Â Let’s Get Rich With Pattu! has been selected as one of the Top 15…
Continue reading →This is an example of how indexation benefits help reduce long term capital gains on property sales. The sold property should be over two years old for applying for indexation benefits. There are several exemptions like sections 54 (reinvest in a new property), 54ec (buy specific bonds) and 54B (sell agricultural land in non-rural areas…
Continue reading →Income tax filing might look like a tedious process. However, it brings a smile to your face when you see there is a refund due from the income tax department. So, after you file ITR, the wait starts, especially if the refund amount is a little more significant. In this article, we will learn how…
Continue reading →In this article, we shall discuss how REITs (Real Estate Investment Trusts) and InvITs (Infrastructure Investment Trusts) will be taxed from 1st April 2023 (FY 2023-2024 or AY 2024-2025). REITs and InvITs invest in commercial real estate properties and infrastructure assets via special purpose vehicles (SPV) through equity or debt instruments. This allows investors to…
Continue reading →Everyone desires to save tax, and Indian investors are particularly motivated by tax savings. Salaried individuals can reduce their tax liability by utilizing Section 80C, Section 80D, and Section 24 (for tax savings on home loan interest). Investing 50,000 annually in the NPS (National Pension Scheme) can also provide further tax benefits. These are the…
Continue reading →A frustrated reader asks, “Sir, I finally managed to file my ITR this time after several attempts. Why do we have to go through this exercise each year? Is it possible to get rid of it?” It may be possible to eliminate many (certainly not all) return filing compliance requirements, but how many of us…
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