The Income Tax Department has launched a nationwide drive to crack down on large-scale manipulation, where false claims of deductions have been identified and are currently under scruty. Tax authorities are leveraging multiple databases with the help of Artificial Intelligence to detect and investigate these discrepancies. The Central Board of Direct Taxes (CBDT) states that while the primary focus is on deductions related to fake…
The Central Board of Direct Taxes (CBDT) has granted taxpayers a welcome breather by extending the income tax return filing deadline from 31st July 2025 to 15th September 2025. In the past, deadline extensions have been granted for various reasons, often following persistent representations had to be made in past by professional bodies and industry associations. While exceptional situations like the COVID-19 pandemic & natural…
Building on the government’s goal of streamlining tax collection with minimal administrative efforts, the Budget 2024 introduces new provisions for deducting TDS on partners’ income from the firm in the form of remuneration & interest. These provisions are effective for payments made on or after 1st April 2025. Section 194T can be summarized as: (1) Any person, being a firm, responsible for paying any sum…
In India, small business owners and professionals often struggle with the complexities of income tax compliance, particularly maintaining books of accounts and undergoing audits. To ease this burden, the Income Tax Act offers two powerful yet often misunderstood provisions — Section 44AD and Section 44ADA. These sections come under the Presumptive Taxation Scheme, aimed at simplifying tax filing for eligible taxpayers. With recent amendments raising…
Tax scrutiny isn’t random, it’s strategic! The Central Board of Direct Taxes (CBDT) has developed an advanced system that helps the Income Tax Department to identify the returns that. Tax scrutiny isn’t random—it’s strategic! The CBDT has developed an advanced system that helps the Income Tax Department pinpoint returns that demand a closer look. On February 27, 2025, CBDT released an Office Memorandum (OM) clarifying…
