Direct taxation in India is levied on an individual or organization under the governed rule of tax authorities. The Indian government imposes the tax directly, which means the impact & incidence of tax levied on the same person. It cannot be passed on to other individuals. Some of the direct taxes are property tax, gift tax, corporation tax, and income tax.
Every resident & non-resident is eligible for direct taxation & required to fill up returns as per the prescribed rules & regulations. Direct taxes have a progressive nature, which means higher income slabs attract higher tax rates. Most taxpayers take the consultancy under the direct tax service providers. Sachin Gujar & Associates is one of the most trusted CA firms in Pune for advisory services & taxation.
Different Categories of Direct Taxation in India
Different tax authorities take charge of direct taxation in India. Let’s understand these tax implications:-
- Corporate Tax: It is one of the common forms of direct tax that are levied on profitable companies, whether foreign or domestic companies operating in India. As per the Finance Act, corporate tax rates are applicable along with deductions and exemptions applicability.
- Income Tax: The tax is imposed on individuals, partnership firms, HUFs, and AOP’s income. Direct taxation authorities governed the regulations & introduced slab rates for computation & tax collection.
- Capital Gain Tax: This tax is levied upon the transaction of sale or transfer of capital assets, including mutual funds, stocks, real estate, and other securities. It is further divided into two categories: short-term & long-term capital gains.
- Dividend Distribution Tax (DDT): It is levied on the dividend which companies distribute to their shareholders. This dividend income adds to the taxable income as per the applicable rates.
- Estate Tax: It is also known as inheritance tax imposed on any individual’s estate after their demise while transferring to legal heirs.
- Gift Tax: It is a direct tax imposed on any specified assets transferred without any consideration. However, the gift tax is diverted to income tax as per the latest Income Tax Act.
Role of Direct Taxation Services Providers
Reputed CA firms like Sachin Gujar & Associates support individuals to get comprehensive knowledge about tax laws. We have an experienced professional team of Chartered accountants, providing the services of direct tax computations, identification of tax applicability, calculation of taxable income, details on surcharges or cess, and tax credits & refunds.
Sachin Gujar & Associates: Trusted CA Firm in Pune
If you are looking for reliable CA firms for direct taxation services in Pune, Sachin Gujar & Associates is the ultimate place. We have years of experience in providing reliable consultancy services & advisory. Our CA firm exclusively provides services for accounting, auditing, and taxation. Contact our team & discuss your individual income tax implications!
