Tax questions

Carry Forward Loss

Hi, I read articles on your website which were very helpful. I have some query and it would be really great if you could please help me with your suggestions. Thank you very much in advance. Background: I am a salaried employee and I had traded in F&O in AY21-22 (only 2 Large transactions during lockdown) and incurred a huge combined loss of approx. Rs.21 lakhs total. This was reported...

Legal Opinion Needed for Tax Strategy on Property Sale with Loan Discrepancy

I hope this message finds you well. I am currently involved in a complex property sale transaction and need your expert analysis to ensure that the financial structuring aligns with legal and tax compliance. Sequence of Events and Payments: Initial Amount Transferred: A sum of ₹13 lakhs was transferred at the outset of this transaction. Loan Sanctioned: Subsequently, a loan of ₹87 lakhs ...

Questions surrounding house purchase

I am purchasing a property in Delhi in my mother's name. But since she is a housewife with no source of income, I will be her co-borrower in the home loan that we will be borrowing from a bank. 1) Now, given that I will be a home loan co-borrower for that flat that will solely be in my mother's name, will I be able to claim HRA exemption by signing a Rent Agreement with my mother for the sam...

NRI Flat Owner May Sell in Dec. 2023 which received in Feb. 2023 by Redeveloped Property

I am the original owner of a flat we purchased in .1973 Our building was redeveloped, and possession given in Feb. 2023. We may want to sell our flat now, but need to know if long-term or short-term capital gains would apply? We are not purchasing any other flat in India. We were told to wait 3 years by one CA. To avoid short-term CG, when can I sell? Also, what do I use as the cost-basi...

Penal interest by court on income tax authorities - taxable or not?

Dear Sir, 1. I was denied permission to file Revised Returns for previous seven years, to claim refund of excess Income Tax deposited by me. I approached High Court Punjab and got the relief : 2. An extract of High Court Order of Punjab and Haryana is given below :- “Writ petition is allowed and the amount of income tax paid by the petitioner for the relevant years be refunded to him alo...

Income Tax Refund On Orders of High Court along with penal interest and cost of case - Taxable?

Dear Sir, 1. I was denied permission to file Revised Returns for previous seven years, to claim refund of excess Income Tax deposited by me. I approached High Court Punjab and got the relief : 2. An extract of High Court Order of Punjab and Haryana is given below :- “Writ petition is allowed and the amount of income tax paid by the petitioner for the relevant years be refunded to him alo...

44ADA or 44AD or ITR-3 for Digital Marketing Services (Freelancing)

I am reaching out for assistance in understanding the appropriate ITR form that I should be filing, given my professional status as a freelancer. My work encompasses a range of services, including content creation, digital marketing, web development, and blogging, which I provide to various clients. The options I am considering are 44ADA, 44AD, or ITR-3. However, I am uncertain which of thes...

Is it legal to buy cryptocurrency in USA and sell in India?

Hello, As there are some arbitrage in cryptocurrency exchanges in USA and INDIA , is it legal to send USD to friend in USA and let her buy bitcoin over there and tell her to send those bitcoin to your wallet and later on sell these bitcoins in India? Scenario is , Lets say I transfer 100$ to her US bank account. She buys bitcoin in US crypto exchange and transfer those bitcoins to my wallet....

Credit Note

I filed Quarterly Return for the period for July-Sep'23 with credit note Amount CGST Rs. 17162.10 & SGST Rs. 17162.10. Out of this amount Rs.8010.00+Rs.8010.00 deducted as SGST & CGST respectively. The balance amount of CGST Rs.9152.10 & SGST Rs.9152.10 shown negative at last column - total Liability (Outward supplies other than reverse charge). From october'23 I opted for a monthly file inste...

GST Registration Query for Online Mentorship Classes and Courses

I am planning to start an Online Coaching Business on my own with no capital as such. I will be providing mentorships to students and also there will be certain skill based courses which I want to sell. I am the instructor of those courses as well. I don't want to start by incorporating a Pvt Ltd or Partnership. I am thinking of starting as an individual and get a Trade License from the local b...

TDS when buying jointly owned property (Sellers: NRI + Resident Indian)

I am planning to buy an apartment worth 1 Crore in Bangalore. The property is jointly owned by Daughter(NRI) and Father(Resident Indian). Daughter has given a 'Power of Attorney' to the Father stating all the proceeds from sale of this apartment will be collected by the Father. I have the following questions: 1. How is the TDS to be calculated in case the ownership-split between daughter (...

Transferring side business to father

Hi everyone, I am in a bit of a dilemma here. Background: I am working as a manager in a tech company and come in 30% tax bracket. I started a side business a few months back by publishing apps on App Store and Play Store and earning around 30k/month and I am positive that this will increase more in coming months. My company allows side projects if its non conflicting and as long as its n...

TDS default notice on purchase of property generated in 2018

Respected Sir/Madam I have a TDS default notice on purchase of property generated in Aug18 for amount 42K. I haven't paid it yet. I was trying to cancel it as it was generated due to TDS filling mistake and subsequent correction mistake.( only one correction allowed). I followed up matter with TDS CPC,Vaishali, but in vein. Alredy this unnecessary notice is huge burden to me. Now when I ...

TDS demand from 2012

The demands stems from non payment of tds on Professional fees despite deduction thereof from my Fees An amount of Rs 203625 worth of tds has been deducted and not paid by the deductor As you are aware Section 205 precludes recovery of tax from taxpayer if the tax has been deducted from her income by the deductor A tax payer cannot be forced to pay tax if the tax has been deducted from her inco...

It tds on capital goods

Recently our company has purchased Computer Firewalls ( Hard Ware) from a vendor for Rs.5,90,000/- (inl.of GST) 1) In Agreement it was clearly mentioned that the value of Computer Firewalls ( Hard Ware) is Rs. 5,90,000 /- inclusive of value of supply of Firewalls and installation, transport,insurance and applicable taxes if any.. 2) Tax Invoice shows value of Fire walls 2 Q Rs.5,00,000/- GST @ ...

Demand notice-143 (1)-Fully disagreed-No response from cpc

ITR Filed for the AY 2022-2023 with the help of CA. The original ITR-2 was filed & e-verified on July 19, 2022. Received defective notice and responded under section 143 (1) (a) on November 24, 2022. Received defective notice and responded under section 139 (9) on January 09, 2023. Received defective notice and responded under section 139 (9) on February 06, 2023 Received demand notice o...

Form 26QB to be filed by each joint owner of a property even if not contributing financially?

I have understood that one must file Form 26QB for every combination of buyers and sellers. If there are two sellers and two buyers, four 26QB forms should be filed in all. My query is that my son bought a flat in Feb 2021 (in joint name with both parents) and he is making all the installment payments and is also paying 1% TDS by filing Form 26QB. Parents don't make any contributions and hen...

Legally Reducing Income Tax

Dear All, My Wife and I have worked as salaried employees for the last 18 years and after paying around 1.5 Crore+ in taxes have managed to create a corpus of around 4 Crore. In 2024, we plan to leave our jobs and start a small company hoping to add value to education sector in our country. My Goal is to distribute our 4 Crore corpus in 3 Blocks in a way where we reduce our Taxable inc...

Property Booked in 2013 Agreement done in March 10 2015

Hi i gave an advance amount of 10 lakhs in Nov 2013 and got allotment of the villa with villa number from the builder I paid another 30 lakhs in may 2014 and some installments every few months however the Agreement for sale and construction agreement was franked on 10 Mar 2015 . i got Possession of the villa in November 2018 and moved into the villa after the interior was done in may 2019., i s...

Repayment of unsecured loan

Hi , i am a partner in a firm In which we have UNSECURED LOANs Taken from our family members , but last year my uncle died suddenly by heart failure , the firm had 26 laks rs as an unsecured loan taken from him , now I wanted to know that how can I repay that loan beacuse he is no more and can't accept and transfer money via his bank account , but as per his last will the loan on his na...