A
Accrued Income

Accrued Income, Generated From Regular Activities, Represented as an Asset, Such as Rent From Tenant

Accrued Income
Advance Tax

Advance Tax is a Tax Paid in Advance, in Installments, During the Same Financial Year.

Advance Tax
Agricultural Income

Agricultural Income, Arises From Activities on Agricultural Land, Tax Exemptions Are Applied.

Agricultural Income
Allowances

Income Tax Allowances, Provided to Employees, Offer Many Benefits and Deductions to Claim.

Allowances
Amalgamation

Amalgamation, the Combining of the Two Companies, Helps in Increasing Their Reach and Profits.

Amalgamation
Annual Information Statement

Annual Information Statement Includes Taxpayers' Information, Including Securities, Interests, Divid

Annual Information Statement
Assessment Year (AY)

The Assessment Year is When Taxes on the Previous Year's Income Are Evaluated, Calculated, and File

Assessment Year (AY)
B
Balance Sheet

A Balance Sheet is a Financial Statement Containing Assets, Liabilities, and Equity of Shareholders.

Balance Sheet
Banking Cash Transaction Tax

Banking Cash Transaction Tax, Imposed on the Larger Cash Withdrawals, Abolished in 2009.

Banking Cash Transaction Tax
Basic Exemption Limit

Basic Exemption Limit, Minimum Income Threshold to File the Income Tax Return.

Basic Exemption Limit
Basic Salary

Basic Salary, Fixed Part of Salary, Excluding the Bonuses, Allowances, Benefits, Etc.

Basic Salary
Bearer Cheque

Bearer Cheque, Enables Easy Transfers and Quick Payments, No Need for Endorsements or Identity Proof

Bearer Cheque
Best Judgment Assessment

The Best Assessment Judgement Performed by an Assessing Officer on the Financial Conditions of the A

Best Judgment Assessment
C
Capital

Capital, a Financial Term Used for Business Operations, Like Bank Accounts, Stocks, Assets, Etc.

Capital
Capital Asset

Capital Assets, Owned by Individuals or Businesses, Long-term Assets, Profitable for Business.

Capital Asset
Capital Expenses

Capital Expenses, Spent to Buy Capital Assets, Expenses Made for the Functioning of the Company.

Capital Expenses
Capital Gain

Capital Gains, Profits on the Financial Assets at the Time of Selling.

Capital Gain
Capital Gain Bonds

Capital Gain Bonds, Also Section 54EC Bonds, Reduce the LTCG Tax on the Assets.

Capital Gain Bonds
Capital Gains Exemption

Capital Gains Exemption, Deductions in Tax Relief, Provides Benefits to Taxpayers.

Capital Gains Exemption
D
Dearness Allowance

Dearness Allowance, Provided to Employees, Gives Protection From Inflation, Taxable Under the It Act

Dearness Allowance
Digital Signature Certificate

Digital Signature Certificate, an Online Version of a Signature, Used as Identity Proof and to Verif

Digital Signature Certificate
Direct Tax

Direct Tax, a Type of Tax Imposed on Income, Sales, or Property, Based on the Ability to Pay.

Direct Tax
Document Identification Number

DIN, a Unique Code Assigned to the Documents by Itd, Enhances Security and Efficiency in the Departm

Document Identification Number
E
E-Assessment

E-assessment, an Online Process for Conducting Faceless Assessments, No Physical Contact Needed.

E-Assessment
E-Nivaran

E-Nivaran, a Digital Platform for Registering Grievances, Provides a Quick and Simplified Solution.

E-Nivaran
E-Proceedings

E-Proceeding, a Digital Platform Made by ITD, Increases Efficiency and Saves Time.

E-Proceedings
e-Verification of ITR

E-verification of ITR is the Filing and Verification of Income Taxes Electronically.

e-Verification of ITR
Exempt Income

Exempt Income, Non-taxable as Per the Income Tax Department, Like Agricultural Income, Etc.

Exempt Income
F
Face Value

Face Value, Mentioned on the Financial Instrument, the Original Amount Given by the Issuer.

Face Value
Faceless Assessment

Faceless Assessment, a Random Allotment of Cases by Ai, Prevents Corruption and Fraud.

Faceless Assessment
Family Pension

Family Pension, Part of the Employee Benefits, Given to the Family of Pensioners.

Family Pension
Fiscal Year / Financial Year

Financial Year, 12 Consecutive Months, Used for Business, Accounting, Budgeting, Etc.

Fiscal Year / Financial Year
Foreign Account Tax Compliance Act

FATCA Prevents Tax Evasion and Requires FFIs to Report Information About U.S. Foreign Account Holder

Foreign Account Tax Compliance Act
Foreign Exchange Management Act

FEMA, an Act to Manage and Simplify the Foreign Transactions, Remittances, Investments, Etc.

Foreign Exchange Management Act
Foreign Tax Credit

Foreign Tax Credit Prevents Double Taxation and Applies to Foreign Income.

Foreign Tax Credit
Fringe Benefit Tax

Fringe Benefits Tax, a Tax Levied on the Benefits Given to Employees, Insurance, Paid Leaves, Member

Fringe Benefit Tax
G
General Anti-Avoidance Rule

General Anti-Avoidance Rule, a Regulatory Measure to Prevent Aggressive Tax Planning, Prevents Taxpa

General Anti-Avoidance Rule
Gift Tax

Gift Tax, Imposed on Gifts, Like Cash, Bonds, Jewellery, Buildings, Lands, Checks, Etc.

Gift Tax
Global Depository Receipt

Global Depository Receipts, a Negotiable Financial Instrument, Allow the Underlying Shares to Be Rep

Global Depository Receipt
Gratuity

Gratuity, Payment From Employer to Employee, for Services of Five Years or More.

Gratuity
Gross Annual Value

Gross Annual Value, Total Income Earned From Immovable Property, such as Commercial or Residential.

Gross Annual Value
Gross Total Income

Gross Total Income, Final Income Earned Before the Deductions Are Implied.

Gross Total Income
H
Heads of Income

Heads of Income, Category for Income Earned, Based on the Sources.

Heads of Income
Heir’s Liability

Legal Heir certificate, gives access to the deceased's tax information to the heir, used to file ITR

Heir’s Liability
House Property Income Tax

House Property Income Tax, Imposed on Housing Properties, on Income Earned From Renting Them.

House Property Income Tax
HRA

HRA, Allowance for the Cost of Living, Given to the Employees in a Rented Housing System.

HRA
HUF

HUF, a Legal Unit of Family Members, Formed for Tax Purposes, and Claims Benefits.

HUF
Hybrid Method of Accounting

Hybrid Method of Accounting, a strategy used to manage cash flow, helps in tax deductions.

Hybrid Method of Accounting
I
Income Escaping Assessment

Income Escaping Assessment, income not disclosed in assessment, reason for reassessment.

Income Escaping Assessment
Income from Other Sources (IFOS)

Income from other sources, income other than salary, house property, capital gain, business or profe

Income from Other Sources (IFOS)
Income Tax

Income Tax, a Type of Direct Tax, is Imposed by the Government on the Income of Individuals or Organ

Income Tax
Income Tax Act

Income Tax Act, an Act to Manage and Govern the Direct Taxes, by Levying, Collecting, and Administer

Income Tax Act
Income Tax Appellate Tribunal

ITAT, A Quasi-judicial Body Set by the Central Government, Deals With Appellate Matters.

Income Tax Appellate Tribunal
Income Tax Deduction

Income Tax Deductions, which are applied to the total taxable income, help decrease tax liabilities.

Income Tax Deduction
Income Tax Department

Income Tax Department, a Part of the Indian Government, Handles the Levying and Collection of the Ta

Income Tax Department
Income Tax Return

Income Tax Return, Filed by Taxpayers, Contains a Formal Record of the Collected Tax by the Governme

Income Tax Return
Indexation

Indexation, adjusting the current value of a transaction or property by Inflation, helps in reducing

Indexation
Indirect Tax

Indirect Tax, Applied on Goods and Services, Consists of Service Tax, Entertainment Tax, Excise Duty

Indirect Tax
ITR Form

Income Tax Return form, a form to report annual income and taxes, used by taxpayers.

ITR Form
J
Joint Development Agreement

A Joint Development Agreement, an Arrangement Between the Developers and the Landowners, Refers to T

Joint Development Agreement
Joint Venture (JV)

Joint Venture, a Partnership Between the Entities to Achieve a Common Business Objective, Contributi

Joint Venture (JV)
K
Karta

Karta, the leader of a HUF, makes all the decisions, represents its members in business matters.

Karta
Keyman Insurance Policy

Keyman Insurance Policy, a Life Insurance Policy, the Employer is the Proposer and the Payer, Used t

Keyman Insurance Policy
L
Leave Travel Allowance

Leave Travel Allowance, concession of travel expenses, given to the employee on a vacation.

Leave Travel Allowance
Long Term Asset

Long-Term Asset, benefits the company for more than a year, including the fixed assets.

Long Term Asset
Long-term Capital Gain

Long-term capital gain, profit on selling the fixed assets, provides tax benefits.

Long-term Capital Gain
M
Marginal Relief

Marginal Relief, Reduce Tax Burden, Encourage Fairness and Equal Taxation.

Marginal Relief
MAT Credit

MAT credit, the difference between MAT and normal tax liability, carried up to 15 years.

MAT Credit
Maximum Marginal Rate

Maximum Marginal Tax Rate, Applied to the Last Part of Income, Helps in Tax Planning.

Maximum Marginal Rate
Minimum Alternate Tax

Minimum Alternate Tax, applicable to all companies, 15% of book profit plus extra charges.

Minimum Alternate Tax
N
National Pension Scheme

National Pension Scheme: Contribute to Get a Regular Income Post-retirement, Provide Many Investment

National Pension Scheme
P
Permanent Account Number

Understand PAN, its full form, meaning, and benefits. Learn why a PAN card is essential for tax fili

Permanent Account Number
Perquisites

Perquisites, free benefits for the employee, can be taxable or non-taxable.

Perquisites
Persons in Income Tax

Person in Income Tax, includes HUFs, Companies, Individuals, Local Authorities, Partnership firms, e

Persons in Income Tax
Presumptive Taxation

Presumptive Taxation Decreases the Tax Burden, is Helpful for Small Taxpayers, and Offers Tax Benefi

Presumptive Taxation
R
Remittance

Remittance, Send or Receive Money, Banks Operate in Two Different Countries.

Remittance
Return of Loss

Return of Loss, ITR being filed to manage the loss against the future profits, no ITR for individual

Return of Loss
Revenue

Revenue, Income Comes From a Company, Collected by the Government, Income From Investments, Etc.

Revenue
Revised Return

Revised Return, a Way to Correct the Taxation Errors, Filed Electronically on the Website.

Revised Return
Royalty

Royalty, income on intellectual assets, eligible for tax deductions.

Royalty
S
Salary Arrears

Arrears of Salary, Tax Relief U/s 89, Claim by Filing Form 10E, Reduce the Tax Burden.

Salary Arrears
Scrutiny Assessment

Scrunity Assessment, examining the ITR of a taxpayer, making some corrected adjustments.

Scrutiny Assessment
Self-Assessment Tax

Self-Assessment Tax, filed at the end of FY, paid after deducting the advance tax and TDS

Self-Assessment Tax
Short-Term Capital Assets

Short-term Capital Asset, Held for a Short Period of Time, Generally for 36 Months.

Short-Term Capital Assets
Short-Term Capital Gain

Short-term Capital Gains, Profits Earned by Selling Assets, Held for 12 Months or Less.

Short-Term Capital Gain
Special Audit

Special audit, conducted for a specific reason, such as compliance audit, construction audit, and ma

Special Audit
Speculative Income

Speculative Income, Non-predictable Income, Based on Future Events.

Speculative Income
Surcharge

Surcharge, an additional charge on income tax, added if you cross the thresholds.

Surcharge
Survey

Survey on Income tax, conducted to evaluate the total taxable income of a taxpayer, ensures the prop

Survey
T
TAN

Tan, Allotted to Those Who Are Liable for TDS/TCS, Claim Tax Benefits.

TAN
Tax Advisor

Tax Advisors, Boon for the Taxpayers, Help in Reducing Tax Liabilities, and Claim Maximum Tax Deduct

Tax Advisor
Tax Planning

Tax Planning, Minimizes the Tax Liabilities, Maximizes the Claimed Benefits.

Tax Planning
Taxation

Taxation, the Process of Collecting Revenue From People, Used to Fund the Public Services by the Gov

Taxation
U
Unabsorbed Depreciation

Unabsorbed Depreciation, a part of the tax depreciation left unabsorbed, can be carried forward for

Unabsorbed Depreciation
Unexplained Cash Credits

Unexplained Cash Credits, Funds With No Proper Source, and Higher Tax Rates Forced

Unexplained Cash Credits
Unexplained Investments

Unexplained Investment, Taxed Under Section 69, Investments With an Unknown Source.

Unexplained Investments
Unilateral Relief

Unilateral Relief Provides Protection Against Double Taxation a Lesser Tax Applies.

Unilateral Relief
V
Value-Added Tax

Value Added Tax, Imposed on Goods and Services, Differs for Every State, Benefits the Government.

Value-Added Tax
Voluntary Retirement Compensation

Voluntary Retirement Compensation Provides an Early Retirement Opportunity, Benefits Both the Employ

Voluntary Retirement Compensation
W
Wealth Tax

Wealth Tax, Charged on the Value of Assets, Imposed on Individuals, Companies, or HUFs, Abolished in

Wealth Tax
Withholding Tax

Withholding Tax, Imposed u/s 195, Levied on Payments Made to Non-residents.

Withholding Tax
Z
Zero Coupon Bond

Zero Coupon Bond, Less Risk Investment, Fixed Profits, Good for Long-term Investors.

Zero Coupon Bond
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