Definition of capital gains for companies Capital gains arise when a company sells a capital asset and earns a profit. These gains are classified and taxed separately from regular business income. Capital assets include shares, property, bonds, and machinery Gains are...
Employee salary and benefits Expenses related to employee compensation are allowable if incurred wholly for business. This includes fixed salaries, bonuses, and statutory contributions. Basic salary and wages paid to staff on payroll are deductible Bonuses and...
Accessing the income tax e filing portal The official income tax portal allows companies to check their filing status by logging in with valid credentials. This portal serves as the central hub for return and tax compliance. Visit the income tax e filing website and...
Definition of revised return timeline The time limit for filing a revised return is prescribed under section one thirty nine five of the Income Tax Act. It allows correction of mistakes made in the original return. The timeline is applicable only if the original...
Eligibility for filing revised return A company can file a revised return if the original return was filed within the prescribed due date. This option is allowed to correct any errors or omissions in the initial filing. Only returns filed under section one thirty nine...
Levy of late filing fee under income tax act A fee is charged under section two thirty four F for filing the income tax return after the due date. The amount depends on the date of filing and total income. If income exceeds five lakh rupees, fee may go up to five...
Businesses exceeding turnover limits A tax audit is mandatory for businesses that cross a specified annual turnover threshold. This provision ensures proper reporting of large business operations. Applicable when business turnover exceeds ten crore rupees Includes...
Statutory audit under company law All companies registered under the Companies Act are required to undergo a statutory audit. This audit is mandatory regardless of profit, turnover, or operational activity. Conducted under the Companies Act by a qualified Chartered...
Filing deadline for companies not under audit Companies that are not subject to a tax audit must file their income tax return within the standard deadline. This ensures timely compliance and prevents penalties. The last date is generally thirty first July of the...
General due date for return filing Companies in India are required to file their income tax returns by a specific deadline each year. The due date depends on whether the company is subject to audit. Companies not requiring audit must file by thirty first July...