Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: cpt :: due date for vat payment :: Central Excise rule to resale the machines to a new company :: empanelment :: ARTICLES ON INPUT TAX CREDIT IN VAT :: list of goods taxed at 4% :: articles on VAT and GST in India :: ACCOUNTING STANDARDS :: VAT Audit :: TAX RATES - GOODS TAXABLE @ 4% :: form 3cd :: VAT RATES :: ACCOUNTING STANDARD :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: TDS
 
 
« News Headlines »
 Is government tapping your phone?
 Income tax department to use analytics to look for discrepancies in bank accounts
 GST Council fails to break deadlock over indirect tax regime, next meet on Dec 11 and 12 to hammer out differences
 Invoking Writ Jurisdiction For Income Tax Matters
 How to file income-tax returns online
 How Income Tax Returns Are Scrutinised
 All About New Income Disclosure Scheme to make Demonetisation successful
 Your deposit may draw income tax notice
 Accepting payment under IDS 2016
 New disclosure scheme could see 50% tax and 4-year limit on cash use for unaccounted deposits
 Pay 50% tax on unaccounted deposits, or 85% if caught, says Modi government

Wealth tax floor for company housing likely to be doubled
December, 07th 2007
The urban development and power ministries have proposed raising the ceiling for calculation of wealth tax payable by employers. At present, an employer has to pay wealth tax on company houses leased to employees earning Rs 5 lakh and more per year. The ministries have proposed that with salaries growing by almost 15% in the past year, the wealth tax should kick in only for salaries of Rs 10 lakh and above.

The finance ministry is likely to consider the proposal as part of the budget package. The ceiling of gross annual salary of Rs 5 lakh was fixed in the Finance Act, 1999. Subsequent to that, the salaries of employees in public sector enterprises have gone up significantly due to implementation of pay commissions and increase in dearness allowance. This has resulted in substantial burden on companies, an official said.

Salaries in the private sector have also increased dramatically over the last few years. The average salary jump being offered today in order to attract talent ranges from 35 to 50%. In fact, higher jumps are seen in financial services, IT and ITeS sectors, ABC Consultants CEO Shiv Agrawal said.

The proposal, if it goes through, would not only offer tax relief to companies that lease out houses in townships but would also incentivise employers to provide company houses to more employees. Tax liability for companies that own huge, multiple townships are quite high.

Tax experts feel a revision in ceiling for wealth tax would positively impact revenue of companies. Over the years, increase in salaries have resulted in increased outgo for the companies in terms of wealth tax. If the move goes through, the net wealth tax liability of the companies would be reduced by a great extent, KPMG manager Pritam Choudhary said.

The government collected Rs 265 crore in wealth tax in 2006-07.
 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
E-catalogue online catalogue E-brochure online brochure online product catalogue online product catalogue e-catalogue Indi

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions