BUISENESS MANAGEMENT
TAXES
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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tax should be used for public purpose
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the rule of taxation should be uniform
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the subject or object must be within the State’s jurisdiction
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tax must not encroach upon inherent and Constitutional limitations
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tax is payable in money only
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Detailed explanation-1: -Therefore, understanding one’s taxable income is a requisite to be able to plan taxes. 3. Make use of deductions to reduce the total taxable income. This can be done by structuring salary and proper planning of investments.
Detailed explanation-2: -Any Indian person under the age of 60 who earns more than Rs 2.5 lakh is required to pay income tax.
Detailed explanation-3: -In this sense, his canons of taxation are ‘classical’ in sense, four canons of taxation are: (i) Canon of equality or equity (ii) Canon of certainty (iii) Canon of economy (iv) Canon of convenience.
Detailed explanation-4: -Who needs to pay Income Tax? Under existing rules of the IT Act, any individual/business with income irrespective of the amount earned is liable to file income tax returns. But, currently tax on income is payable only if the net taxable income for a fiscal exceeds Rs. 2.5 lakh.