If you wish to load yourself with the knowledge regarding Taxation System in India, then you are at the right place. Here, I am going to elaborate the above mentioned topic in a discreet manner. Have a look.
In India, most of the taxes are collected by The Department of Revenue of Finance Ministry of the Government of India. Our tax structure is hold by The union Government, The State Government and The Rural and Urban Local Bodies or Municipal Jurisdictions.
Though, India is wide in structure, but the fact cannot be denied the taxation system in the Republic of India is quite good since some of taxes are levied by the Government and some are Local State Bodies. Indirect and direct both types of Taxes like Banking Cash Transaction Tax, Capital Gains Tax, Corporate Income Tax, Fringe Benefit Tax, Personal Income Tax, Securities Transaction Tax, Indirect Taxes, Customs Duty, Excise Duty, income, central excise, service tax and customs duties are levied by central government.
Since a number of taxes are levied by the Government but the value of state government cannot be underestimated since Dividend Tax, Endowment Tax, Estate Tax, Gift Tax, Flat Rate Tax or Flat Tax, Fuel Tax, Inheritance Tax, Transfer Tax, Payroll Tax, Poll Tax, S. E. T. or Self Employment Tax, Social Security Tax, Usage Tax, Value Added Tax or Sales Tax and Wealth Tax levied by it. But If it’s looked over a period of 10 to 15 years in the back, it’s found many tremendous as well as significant changes have been introduced in the tax system.
Though the word TAX is hateed by everyone, but it’s quite important to make any country developed. And being a responsible citizen, you must pay your tax on the time. As per Income Tax Act of 1961, a common man has to pay tax which depends on your Income and the sort of business. Check out carefully the following heads, which are responsible to make taxed under.
- Income from house or property
- Income from Capital Gain
- Income from Salary
- Income from business or profession
- Income from other sources