Savvy Taxcorp Advisors

What is Interest Income ?? Interest Income is the amount earned by an investor on his funds that he allow to utilize to another person, who will give him return on the funds. Interest can be  earned on Saving bank accounts, Fixed Deposits, Recurring Deposit & Post Office saving bank accounts.   One can also be  earned on any securities such as Debentures, Bonds, Government Securities, etc. Also, on the loan given to another person for a specified period. When to recognize the interest income in the books of accounts??    As per AS-9 (Revenue Recognition) Interest income is recognized on time proportionate basis. For Example  Mr. A lend the amount of Rs. 5,00,000 to Mr. B for his business purpose for a period of 1 year at the rate of 15% per annum. The transaction took place on 16th June and interest is payable quarterly.   Interest will be received as follows: 1. 15th September           Rs. 18,750 2. 15th December            Rs. 18,750 3  15th Mar

Yes, It's the end of March, which means we guys have the last chance to Save our Tax .  But how????   Lets figure it out together. Today, we will discuss Some Tax Deductions for Salaried Resident Individuals.   I.  SLAB BENEFITS (For Individual Salaried)  Income Tax Slab for Resident Individual for the age less than 60 years at an time for the  Previous Year 2018-19 ( A.Y. 2019-20)       Taxable Income                                              Tax Rate       Up to Rs. 2,50,000                                               Nil       Rs. 2,50,001 to Rs. 5,00,000                                5%       Rs. 5,00,001 to Rs. 10,00,000                             20%       More than Rs. 10,00,000                                     30% * Health and Education Cess is applicable @ 4% on tax (including surcharge), which is earlier known as Education Cess and charged @3%.   II.  EXEMPTION BENEFITS BASED ON INCOME There are some exemption benefits a