Business Taxation

Unit No.

Unit Title

Contents

I

Introduction to Income Tax Act, 1961

·    Income Tax Act -1961 (Meaning, Concepts and Definitions)

·    History of Income Tax in India, Fundamental Concepts and Definitions under Income Tax Act 1961,

·    Canons of Taxation,

·    Objectives of Income Tax,

·    Taxation Structure in India,

·    Concept and Definitions-Income, Person, Assessee, Assessment Year, Previous Year, Residential Status of an Assessee. Permanent Account Number (PAN)- Uses & Benefits.

II

Heads of Income and Computation of Total Income as per Income Tax 1961

Different Heads of Income:

a)  Income from Salary: Salient Features, Meaning of Salary, Allowances and Tax Liability- Perquisites and their Valuation Deduction from Salary. (Theory and Basic Practical Cases)

b)  Income from House Property: Basis of Chargeability-Annual Value- Self Occupied and Let Out Property-Deductions Allowed. (Theory and Basic Practical Cases).

c)   Profits and Gains of Business and Profession: Definitions, Deductions Expressly Allowed and Disallowed.

d)  Capital Gains: Chargeability- Meaning and Concept of Short Term and Long Term Capital Gains-Permissible Deductions (Only Theory).

e)   Income from Other Sources Chargeability- Meaning and Concept–Inclusion and Deduction. (Only Theory).

III

Computation of Total Taxable Income & Filing of

Online ITR.

·    Meaning and Concept, Gross Total Income -Deduction U/S-80 and Tax Liability for Respective Assessment Year.

·    Form 26 AS- Uses

·    Various Types of ITR,

·    Procedure to File Various Online ITRs.

·    Refund of Tax

IV

Other Important Aspects of Income Tax Act, 1961

·    Tax Deducted at Source (TDS), (TDS Section 192-194)

·    Tax Collection at Sources (TCS)

·    Advance Payment of Tax,

·    Methods of Payment of Tax, (Theory Only).