When you get your paycheck at the end of the first pay period at a new job, it's always interesting to see your net pay. Most of us expect more than we get. By the time you get your check, it has been cut up like a pizza, with several entities taking a piece of the pie. The entities that take money differ from person to person, company to company and state to state.
Income tax is a tax paid to the central government on personal income. According to Income Tax Act 1961 (External website that opens in a new window), every person who is an assessee [an Assessee is a person by whom any tax or any other sum of money (eg. interest, penalty, fine, etc) is payable under the Income Tax Act] and whose total income exceeds the maximum exemption limit shall be chargeable to the income tax at the rate prescribed in the Finance Act (External website that opens in a new window).
Section 139(1) of the Income Tax Act has been revised w.e.f 1/8/1998 with the view to make it obligatory upon any person to file return if he/she satisfies any one of the six conditions:
* Is the owner or the lessee (the user of equipment or property being leased/rented out for a time period) of a Motor vehicle
* Occupies specified floor area of an immovable property
* Incurs expenditure for himself or any other person on foreign-travel
* Subscribes to a telephone
* Is a holder of the credit card, not being an 'add-on' card, issued by any bank or institution
* Is a member of a club where the entrance fee charged is Rs.25,000/- or more then he is required to file a return.
Income tax is a tax paid to the central government on personal income. According to Income Tax Act 1961 (External website that opens in a new window), every person who is an assessee [an Assessee is a person by whom any tax or any other sum of money (eg. interest, penalty, fine, etc) is payable under the Income Tax Act] and whose total income exceeds the maximum exemption limit shall be chargeable to the income tax at the rate prescribed in the Finance Act (External website that opens in a new window).
Section 139(1) of the Income Tax Act has been revised w.e.f 1/8/1998 with the view to make it obligatory upon any person to file return if he/she satisfies any one of the six conditions:
* Is the owner or the lessee (the user of equipment or property being leased/rented out for a time period) of a Motor vehicle
* Occupies specified floor area of an immovable property
* Incurs expenditure for himself or any other person on foreign-travel
* Subscribes to a telephone
* Is a holder of the credit card, not being an 'add-on' card, issued by any bank or institution
* Is a member of a club where the entrance fee charged is Rs.25,000/- or more then he is required to file a return.