30-DAY INCOME TAX SERIES

📰Old vs New Tax Regime

Confused about which Tax Regime to choose?🤔

- Old Regime with Deductions and Exemptions, or
- New Regime with Lower Slab Rates, but Fewer Exemptions

Open this🧵to find out which regime will be more beneficial for you👇 🔸Default Tax Regime

- For A.Y.2024-25, New Tax Regime is default regime.

- If you want to opt for Old Tax Regime, and you are: (i) Eligible to file return of income in ITR 1 & 2 , then select relevant option directly in ITR and file return within the applicable due date.

30-DAY INCOME TAX SERIES

Taxation on Income from Foreign Markets

Investing in foreign markets has become way easier today. As a result, many ITRs now include income from foreign markets.

A🧵on Taxation of Income from Foreign:
- Shares
- Mutual Funds
- ESOPs
- Dividends 1. Tax on Gains from Sale of Foreign Shares

🔸Long-Term Capital Gains (LTCG)

- If you hold foreign stocks for more than 24 months, the profit is considered a long-term capital gain.

- LTCG on foreign stocks is taxed at 20%, plus a surcharge and health and education cess.

- You can use the indexation benefit to adjust the cost of acquisition for inflation.

30-DAY INCOME TAX SERIES

Tax Deductions for Salaried Individuals- Part 1

Most people only consider Sec 80C for tax saving. However, you can reduce your tax liability further by claiming deductions on rent, medical expenses, etc.

key Sections to Maximize Your Tax Savings👇 🔸Deductions on Investment: Section 80C, 80CCC, 80CCD(1)

- One of the most popular and favorite sections amongst taxpayers.

- Available to Individuals and HUFs.

- Allows a maximum deduction of ₹1,50,000 for investments in PPF, EPF, NSC, ELSS, Life Insurance Premiums, principal repayment on home loans, etc.

- This overall limit of 1,50,000 also includes the contribution made towards certain pension funds and NPS under sections 80CCC and 80CCD(1).

📢ITR Filing AY 2024-25 - Form 16

Salaried Individuals can commence filing their ITR for the FY 2023-24 from June onwards, only after receiving their Form 16📄.

Here is everything you need to know about Form 16 and Tax Filing in India👇 🔹What is Form 16?

- Form 16 is a document, issued per Sec 203 of the IT Act, to salaried individuals by their employers.

- Contains all details regarding the salary given by the employer to the employee, including the TDS deducted from the salary and deposited with the govt.

Are you an Indian entrepreneur eyeing the US market ?

Join 2.5K Indian startups thriving in the US, and get access to -

🌍 Global market
📜 Lower taxes
💰 An avg $130B annual startup investment

Let's dive in!A step-by-step guide for launching a US company from India 🇺🇸🇮🇳 Can an Indian Citizen Register a Company in the USA? 🤔

Well, the answer is Yes!

You can start your own company in the U.S. even if you are a non-resident.

You don’t have to be a US resident or visa holder to register a company in the US from India.

🛡Ensuring financial security for your family is crucial, even in your absence!!

One way to achieve this is through Term Insurance!!

But how do you determine How Much Cover You Need?? 🤔

(📎 Link to Ideal Term Cover Calculator) 🔸The drawback of using Rule of Thumb 🚫

When people think of Term Insurance Cover, they think of the popular Rule of Thumb -

Term Insurance Cover = 10 × Annual Income

However, this method falls short of capturing your changing lifestyle and future expenses.

How to Save Tax on Capital Gains💰

Most of the ITRs I filed this year show a Major Tax Liability due to Capital Gains from Selling Shares or Property📈🏠.

Not a lot of people know how to save on capital gains!

Let's explore key ways to save taxes on capital gains in India👇 🔸Save Taxes on Sale of Residential Property - Section 54🏠

- Individuals can claim a Tax Exemption when they Sell a Residential Property and Reinvest the proceeds into Another Residential Property.

- Applicable if the property sold has been held for more than two years.

✳️Income Tax Deductions related to Health

🩺Deduction for Medical Insurance and Preventive Health Check-up (80D)

🩺Deduction for Medical Treatment (80DDB)

🩺Deduction for Disability (80U)

🩺Deduction for Rehabilitation of Handicapped Dependent (80DD)

🧵
Do 'Retweet' 🔹Deduction for Medical Insurance (Section 80D)

• Under Section 80D, Individuals can claim a Deduction for the Medical Insurance Premium paid for:

- Self
- Spouse
- Dependent children, and
- Parents

🛡️Buying the Right Term Insurance doesn't have to be Difficult!

You just need to answer 3 Simple Questions -

💵How much Cover should you have?
🗓️What's the Appropriate Term Length?
👨‍🦽What Riders should you take?

Let's try to answer them in this🧵 twitter.com/i/web/status/1… 💵How much Cover should you have?

Choose a Sufficient Coverage Amount to cover your -

🔸Financial Goals
🔸Any Outstanding Debts
🔸Your Family’s day-to-day Expenses, and
🔸Provide Financial Support to your Dependents

Confused about which Tax Regime to choose? 🤔

🧾Old Regime with Deductions and Exemptions, or

📉New Regime with Lower Slab Rates, but Fewer Exemptions

Don't worry, this🧵will help you Decide Which Regime will be More Beneficial to You and Help you Save the Most Taxes💰 ✳️ Why do you have to opt for a Tax Regime?

→ CBDT (via circular no 04/2023) made it COMPULSORY for Employers to seek information from their Employees on which regime they wish to opt for?

→ The Employer shall deduct TDS accordingly.

💸💼 Want to Identify TOP-PERFORMING Companies for your Portfolio?

Financial Ratios are your Secret Weapon!!

They provide Valuable Insights into a Company's Financial Health and Growth Potential📈

Use These 5⃣Key Financial Ratios to find your Next Multibagger💰

Hit Retweet 🔃 1⃣ Net Profit Margin

🔹It illustrates How Much of Each Rupee in Revenue collected by a Company Translates into Profit.

🔹The Higher the NPM → The Better the company is at Controlling its Costs and Generating Profit from its Revenue → The More Valuable the Company.

🚨Attention Tax-Payers, ONLY 3 DAYS LEFT to Plan your Taxes for the FY 2022-23.

✳️I have written extensively on Tax-Planning and Tax-saving!!

Here is a Mega Thread 🧵of all my Threads and Infographics. Use it to OPTIMISE your Taxes for the FY 2022-23💸💼 ✳️ Tax-Planning for Different Age-groups

- As we age, our Priorities and Financial-goals change. So do our Responsibilities and Appetite for Risk.

- Always opt for Tax-saving Instruments that best suit your Age and Financial Goals.

✳️Income Tax Deductions related to Health

🩺 Deduction for Medical Insurance and Preventive Health Check-up (80D)

🩺 Deduction for Medical Treatment (80DDB)

🩺 Deduction for Disability (80U)

🩺 Deduction for Rehabilitation of Handicapped Dependent (80DD)

🧵

Do 'Retweet'🔃 🔹Deduction for Medical Insurance (Section 80D)

• Under Section 80D, Individuals can claim a Deduction for the Medical Insurance Premium paid for-

- Self
- Spouse
- Dependent children, and
- Parents

🚨75% of all Indians are NOT Covered by any form of life insurance.

This leaves their family susceptible to Financial Instability and Hardships😥.

✅Investing in a Term Insurance Plan is one of the Simplest and Best ways to get Insured!! 🔸What is Term Insurance?

- Type of Life Insurance that Provides Pure Risk Cover.

- No Investment Component, unlike traditional policies -> Lower and Affordable Premium.

- Provides coverage for only a Specific Period of Time, called Term.

🔸Sovereign Gold Bonds

The Sovereign Gold Bond Scheme
2022-23 - Series IV will be open for subscription Today.

🪙 Issue Period: 6-10 Mar
🪙 Issue Price: ₹5611/gm
🪙 Online Discount: ₹50/gm

Here is Everything you should know about Investing in SGBs - 🔸What are SGBs?

- SGBs are government securities denominated in grams of gold. They are substitutes for holding physical gold.

- Issued by Reserve Bank on behalf of the Government of India.

- Denominated in multiples of gram(s) of gold with a basic unit of One gram.

Planning a series of🧵on Term Insurance.

HELP ME by taking these Polls!!

Do you have Term Insurance? If so, how much cover do you have? If you have a term policy, until what age are you covered?

🔸New (Revised) vs Old Tax Regime - Which one to chose??

Wondering which would be more beneficial for you - New or Old?? 🤔

Let's answer that in a Simple, Easy to Understand way!!

NO Jargon, NO Complex Excel sheets👇 🔹 For Income up to 7 Lakhs

- If Deductions + Exemptions > 200,000 : Old Regime

- If Deductions + Exemptions < 200,000 : New Regime

Struggling with your Finances?? 😰

Struggle NO MORE !!

Follow this SIMPLE 8-STEP STRATEGY in 2023 to lead a more Secure and Stable Financial Life 💵✨. STEP 1⃣ Set Financial Goals

- You can’t reach your goals if you don’t set them.

- List down all your Financial Goals.

- Categorize them into
👉Short Term Goals - six months to five years (plan a holiday, buy a car).
👉Mid Term Goals - five to 10 years (buy a house).

🔸 Public Provident Fund (PPF)

▪️ PPF is one of the most popular Long-Term Investment schemes,primarily because of its Low-Risk features and Major Tax Exemptions.

▪️ Only Resident Indians are eligible to open a PPF account.

NRIs and HUFs are not permitted to open a PPF account ▪️ Deposits can be made in a Lumpsum or in Instalments.

▪️ The current rate of return on PPF investments is 7.1%.

▪️ The Lock-in period is 15 years, which can be extended in a set of 5 years.

▪️ Minimum investment- Rs.500

Maximum investment- Rs.1,50,000 (each Financial Year)

Covid-19 has undoubtedly accelerated the Indian Freelance Movement.

A plethora of Work Opportunities and Favorable Tax Rules, ensure that Freelancing is now more fruitful than before.

However, very little information is available on the Taxation of Income from Freelancing.

🧵 🔸Income Tax on Freelance Income

▪️ As per the Income-tax Act, any Income earned through exhibiting your intellectual or manual capabilities is Income from a Profession.

▪️ Thus, Income from Freelancing will be taxed as ‘Profits and Gains from Business & Profession.’

Tax Harvesting can help you save up to ₹10,000💸💸 in Taxes on your Equity Investments every financial year!!

In this 🧵, let's understand what Tax Harvesting is and how you can use it to reduce your LTCG liability. ✳️First, we need to understand what LTCG is?

🔸Capital gains earned over and above ₹1 lakh on selling Equities, including shares and mutual funds, after one year are called Long-Term capital Gains (LTCGs).
🔸These LTCGs are taxed at the rate of 10%.