SY.MCOM : TAXATION - INTRODUCTION

(A) DIRECT TAX - INCOME TAX

(1) IT IS A TAX ON PERSON

(2) EXAMPLE : INCOME TAX & WEALTH TAX

(3) BURDEN OF TAX CANNOT BE SHIFTED
     

(B) INDIRECT TAX - SERVICE TAX & MAHARASHTRA VALUE ADDED TAX (MVAT)
     
(1) IT IS A TAX ON GOODS & SERVICES

(2) E.G : SALES TAX (ST & VAT), EXCISE DUTY, CUSTOM DUTY, OCTROI, SERVICE TAX

(3) BURDEN OF TAX CAN BE SHIFTED 


INCOME TAX (BASIC)

EVERY PERSON HAS TO PAY TAX ON HIS TAXABLE INCOME EARNED DURING PREVIOUS YEAR

PERSON SEC 2(31)
INCLUDES INDIVIDUAL, HUF, COMPANY, FIRM, AOP, BOI, AJP & LOCAL AUTHORITY

INCOME : 2(24)

(1) INCOME MAYBE EARNED ON A DAILY BASIS, WEEKLY, MONTHLY, YEARLY OR EVEN ONE IN A LIFE TIME

(2) INCOME MAYBE EARNED REVENUE OR CAPITAL IN NATURE

(3) INCOME MAY BE RECEIVED IN CASH OR IN KIND

(4) INCOME MAY BE RECEIVED OR RECEIVABLE 

(5) INCOME MAY BE LEGAL OR ILLEGAL

YEAR

CALENDER YEAR (JAN - DEC)

FINANCIAL YEAR (APRIL - MARCH)

ASSESSES : SEC 2(7)

A PERSON WHO IS LIABLE TO PAY TAX OR ANY SUM OF MONEY UNDER THE ACT IS CALLED AS ASSESSEE. 

TYPES OF INCOMES

INCOME FROM OTHER SOURCES (DW RAMU FAKIR G)

INCOME FROM SALARY (EMPLOYER - EMPLOYEE) 

INCOME FROM HOUSE PROPERTY (HP + OWNER)

INCOME FROM BUSINESS & PROFESSION (GOODS & SERVICES)

CAPITAL GAINS (CAP. ASSETS + TRANSFER)