Latest Expert Exchange Queries

GST Demo Service software link: https://ims.go2customer.com
Username: demouser Password: demopass
Get your inventory and invoicing software GST Ready from Binarysoft info@binarysoft.com
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) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
 
 
 
 
Popular Search: empanelment :: TAX RATES - GOODS TAXABLE @ 4% :: VAT Audit :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: VAT RATES :: Central Excise rule to resale the machines to a new company :: ARTICLES ON INPUT TAX CREDIT IN VAT :: cpt :: ACCOUNTING STANDARDS :: due date for vat payment :: articles on VAT and GST in India :: TDS :: list of goods taxed at 4% :: ACCOUNTING STANDARD :: form 3cd
 
 
« News Headlines »
  How to rectify income tax returns
 Govt extends tax exemption for industry in North East, hilly states
 Should you file revised Income Tax returns; find out here
 Tax Deducted at Source (TDS) in Goods & Services Tax (GST)
 10 companies that blamed GST for soft June quarter
 How will GST impact the Indian economy
 10 days left to file your first GST return. This is how you do it
 What is property tax and how is it calculated…
 File income tax returns in time to carry forward losses
 Missed the deadline to file income tax returns? Here is what you should do
 Who has to report foreign assets in Indian income tax return and how to do it

Field levelled for deposits
August, 07th 2006
It is time ordinary individuals enjoyed a level playing field with corporate assessees in the matter of income taxation. The recent notification on tax deduction for bank deposits redeems the Budget promise of extending the shelter provided to savings made by individuals. The banking industry would have reason to feel satisfied at the turn of events. It had for long complained that its deposit schemes had to compete for a share of the tax-payers' surpluses with certain other instruments of savings that had the added attraction of offering a tax shelter. The Finance Minister had, while presenting the Budget, promised to end such discriminatory treatment, and this has now become a reality. But it is a moot point if banks will really see any dramatic rise in the level of deposits. For one, potential depositors are unlikely to make any significant changes to their portfolio of tax-deductible savings. This is because, some of the eligible investments may either be imposed by statute for instance, the provident fund contributions or are long-term financial commitments such as the repayment of housing loans and premiums paid on life-insurance policies rendering any reshuffle a distant prospect. The other major inhibiting factor is the ceiling of Rs 1 lakh on such savings for the purposes of claiming tax exemption. Salaried tax-payers in the middle- and upper-middle income groups the key targets of such deposits could reasonably be expected to have breached the ceiling and, hence, would have no incentive to divert their surpluses to avenues not covered under the tax exemption scheme. There is a good case for raising substantially the ceiling, if not abolishing it altogether, if the Government is really committed to providing a level playing field for the banking industry. The abolition or a substantial enhancement of the ceiling on approved instruments of savings would actually pave the way for the Government to usher in the EET (exempt exempt taxation) regime where contributions and incomes accruing on such contributions are exempt from taxation till such time the accumulated money is withdrawn for consumption. An EET regime that confers on an individual the flexibility to shift the timing of the burden of taxation is incompatible with any quantitative restrictions on the proportion of one's current income that can be shifted to a future date, for tax purposes. Such an approach would also be in accord with the tax regime that corporate assessees are subjected to, where special incentives for investments or accelerated depreciation on assets mitigate to a large extent the burden of taxation on current profits. It is time ordinary individuals, without the privilege of high-pressure lobbyists taking up their cause, enjoyed a level playing field with corporate assessees in the matter of income taxation.
 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Bath SEO Company Birmingham SEO Company Bradford SEO Company Brighton and Hove SEO Company Bristol SEO Company Cambridge SEO Company Canterbury SEO Company Carlisle SEO Company Chester SEO Company Chichester SEO Company Coventry SEO Compan

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