Whether Service Tax is applicable to the sale of computer software?
Dec 8, 2009 Service Tax
The Finance Act, 2008 brought some new services under the Service Tax net. One of them is Information Technology Software Service. Inclusion of a new services category — Information Technology Software Services — within the ambit of Service Tax legislation has created confusion among software firms. The levy of this new service along with other services has become effective from 16 May, 2008.Post the Notification, many feel that from 16 May, 2008, packaged software will also attract 12.36% of Service Tax. So far, packaged software attracts Value Added Tax (VAT) of 4% and 12% of excise duty.
Read the rest of this entry »
Tags: accounting software from, annual maintenance, autodesk, central government, demarcation, Excise Duty, finance act, information technology software, initial installation, maintenance charges, packaged software, purchaser, security software, software firms, software packages, software service, software services, tax legislation, warranty period
Taxability of second House under the Income Tax Act,1961
Dec 8, 2009 Income Tax
People buy a second home for many reasons, which, inter-alia, include as an investment for capital appreciation; to use it as a holiday home; to get a regular stream of income by way of rentals; or to diversify their investment portfolio. Whatever be the reason, an important aspect to be considered at the planning stage is the tax implication of owning and maintaining the second home.
Read the rest of this entry »
Tags: capital appreciation, holiday home, income tax act, income tax act 1961, maintenance charges, taxable income
Rent income from subleasing can not be taxed under the head `income from house property’
Nov 30, 2009 Income Tax Case Laws
SUMMARY OF CASE LAW
The income in respect of a portion of the building, which has been taken on lease by the assessee from the owner of the land and thereafter subleased, cannot be taxed under the head `income from house property’ but is to be taxed under the head `income from business’.
Read the rest of this entry »
Tags: business case, captive power, escalators, estate projects, income from subleasing, lease agreement, maintenance charges, prestige, toilet facilities
Taxation of Co-operative Housing Societies (CHS) & Income Tax Return to be filed
Sep 7, 2009 Income Tax
In general the perception is that income of Co–operative Societies is not chargeable to tax and therefore many societies do not bother to take PAN No. & file Income Tax returns. This is a wrong perception since though certain types of income of CHS are exempt there are other incomes which are chargeable to Tax.
Read the rest of this entry »
Tags: chs, co operative society, electricity charges, income tax on chs, income tax on Co-operative Housing Societies, income tax returns, incomes, Interest Income, investments, maintenance charges, mutuality, taxability of chs, taxability of Co-operative Housing Societies, water charges