Tata Consumer Products Ltd has received an income tax demand of Rs 171.83 crore for the assessment year 2019-20. The company claims the demand is not maintainable and plans to appeal the order. The demand has no immediate impact on the company’s financials or operations.
House Rent Allowance (HRA) is a crucial element of your salary that can significantly reduce your tax liability. This guide delves into the intricacies of HRA, explaining its eligibility criteria, calculation methods, and the potential consequences of fraudulent claims. Learn how to claim HRA correctly and maximize your tax benefits.
The Indian government introduces annual changes to tax regulations, impacting how you file your ITR. This year, significant updates include revised tax slabs, enhanced deductions for pensioners and medical insurance, expanded TDS and TCS provisions, and streamlined processes for faceless assessments and appeals. Stay informed about these changes to ensure accurate tax calculations and maximize benefits.
Former US President Donald Trump has proposed abolishing federal income tax if he wins the upcoming presidential election. While Trump has long advocated for tax cuts, he is now proposing a more radical plan to eliminate the tax altogether. Trump claimed that by imposing higher tariffs on imports, he could recoup the revenue lost from the tax abolition. However, experts have warned that this would likely lead to increased costs for businesses and consumers, offsetting the benefits of the tax cut. The proposal has received mixed reactions, with some economists expressing skepticism about its feasibility and potential consequences.
Filing income tax returns (ITRs) can be a daunting task, but it doesn’t have to be. Here’s a step-by-step guide to help salaried individuals navigate the process smoothly:
During a private meeting with Republican lawmakers, former US President Donald Trump proposed implementing a comprehensive tariff policy that would eliminate the need for income tax in the United States. This proposal, if implemented, would represent a significant shift in the country’s trade and fiscal policies and has drawn mixed reactions from experts. Critics argue that the policy could disproportionately impact lower- and middle-income Americans, while supporters view it as a potential solution to the perceived flaws of the current income tax system.
Former Shark Tank India judge Ashneer Grover sparked controversy with his comments on the marginal role of taxpayers in Indian politics, claiming that politicians make tax-related promises that resonate with the majority of voters who do not pay meaningful income tax. Grover highlighted the meager 0.5% of voters who contribute significantly to income tax revenue while emphasizing that politicians can make bold statements on tax matters without facing repercussions during election rallies.
Kansas Democratic Governor Laura Kelly has vetoed a broad tax cut package for the second time in three months, citing concerns about its long-term financial impact on the state. The vetoed bill, which enjoyed bipartisan support in the Republican-controlled Legislature, included income, sales, and property tax cuts worth $1.5 billion over the next three years. Kelly said that the bill was “too expensive” and would jeopardize the state’s future fiscal stability. She also expressed concerns that the plan’s move to two personal income tax rates would benefit the wealthy at the expense of the middle class. Republicans criticized Kelly’s veto, arguing that Kansas needs and deserves tax relief, and that the state has sufficient surplus funds to cover the cost of the cuts. Kelly proposed a new tax cut plan worth roughly $1.3 billion over the next three years, but the Kansas House’s top Republican dismissed it as “not serious” about tax relief.
Over two million married couples and civil partners may face scrutiny from HMRC after claiming the marriage tax allowance. This allowance allows one partner to transfer £1,260 of their personal allowance to their spouse, saving up to £252 per tax year. However, pensions campaigner Ros Altmann cautions that many pensioners who have taken advantage of this could now face unexpected income tax bills. This is due to the combination of frozen tax thresholds and the increase in state pension value, resulting in a lower personal allowance for these individuals. Altmann highlights the risk of fines and penalties for those unaware of their tax liability, particularly among poorer pensioners who rely solely on their state pension.
London and the South-East have contributed over £100 billion in income tax, with London alone accounting for £59.3 billion. The Chancellor’s stealth tax freeze on income tax thresholds is driving up the bill, resulting in an estimated one million additional people in London and the South-East paying the higher rate by 2027/28. The top 25 constituencies with the highest income tax contributions are predominantly in London, with Kensington leading the list at £3.37 billion. Despite cuts in National Insurance, the Chancellor’s stealth taxes will impact disposable income in London, leading to a projected decrease of £230 in 2027/28.
