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Which of the following are required to be studied for a deep understanding of Income Tax procedures? A. The Income Tax Act, 1961 B. The Income Tax Rules, 1962 C. Notifications, circulars and classification issued from time to time by the CBDT. D. Judicial decisions E. Companies Act, 2013 Choose the correct answer from the options given below:

Which of the following are required to be studied for a deep understanding of Income Tax procedures? A. The Income Tax Act, 1961 B. The Income Tax Rules, 1962 C. Notifications, circulars and classification issued from time to time by the CBDT. D. Judicial decisions E. Companies Act, 2013 Choose the correct answer from the options given below: Correct Answer A, B, C and D only

The correct answer is A, B, C and D only

Important Points The Income Tax Act, 1961:

  • The Income-tax Act, 1961 is the charging statute of Income Tax in India.
  • It provides for levy, administration, collection and recovery of Income Tax.
  • The Income Tax Act provides separate provisions for the taxation of income that has been received in advance as well as income for which the money has not yet been received.
  • Thus, this is required to be studied for a deep understanding of Income Tax procedures

The Income Tax Rules, 1962:

  • This contains all rules and regulations related to imposition of income tax.
  • Hence, this is needed for understanding of Income tax procedures.

Notifications, circulars and classification issued from time to time by the CBDT:

  • From time to time CBTD released circulars and notifications regarding amendments, changes or for any information to be passed in relation to income tax.
  • Hence, this is needed for understanding of Income tax procedures.

Judicial decisions:

  • From time to time there are many judicial decisions passed regarding any issue regarding income tax.
  • For example: "Applicability of interest under sections 234A, 234B and 234C to Settlement Commission proceedings and Rectification under section 154"
    This has been the outcome of judgement of the supreme court in Brij Lal v. Commissioner of Income Tax case.

Related Questions

Consider the following statements about Central Board of Direct Taxes (CBDT). (a) The Central Board of Direct Taxes is a statutory authority functioning under the Central Board of Revenue Act, 1963. (b) It provides essential inputs for policy and planning of direct & Indirect taxes in India. (c) The CBDT is headed by CBDT Chairman and it comprises of seven members. (d) It is India’s official Financial Action Task Force unit. Which of the following statements are correct about CBDT? Select the correct answer using the code given below:
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Given below are two statements: Statement I : Deferred Tax Liabilities (Net) is the amount of tax on the temporary difference between the accounting income and taxable income. It arises when the accounting income is more than the taxable income. Statement II : Deferred Tax Liabilities (Net) and Deferred Tax Assets (Net) are only book entries i.e. they are neither actual liability nor actual asset. In the light of the above statements, choose the correct answer from the options given below:
Which of the following components are true about tax planning?
1. Tax planning is the process of analyzing a financial plan or a situation from a tax perspective.
2. The objective of tax planning is to make sure there is tax efficiency. With the help of tax planning, one can ensure that all elements of a financial plan can function together with maximum tax-efficiency.
3. Reducing tax liability and increasing the ability to make contributions towards retirement plans are critical for success.
4. Tax planning comprises various considerations such as size, the timing of income, timing of purchases, and planning are concerned with other kinds of expenditures.
5. The chosen investments and the various retirement plans should go hand-in-hand with the tax filing status as well as the deductions in order to create the best possible outcome.
Study of given bar graph and answer the question that follows. The given bar graph represents the Sales Turnover (in Rs. crore) of five automobile companies A, B, C, D and E during 2014-2015 and 2015-2016. The X-axis represents the Companies, and the Y-axis shows the Sales Turnover (in Rs. crore). (The data shown here is only for mathematical exercise. They do not represent the actual figure of the company.)  If there was an increase of 25% in the average of the sales turnover of all the companies together in 2014-2015 from that in 2013-2014, then what was the average (in Rs.crore, up two decimal places) of the sales turnover of all the companies together in 2013-2014?
Consider the following statements : A. Corporation tax is levied on the income of both registered, unregistered companies and corporations. B. Corporation tax is levied on incomes of individuals and Hindu Undivided Family. C. Corporation tax is levied only on the incomes of registered companies and corporations. Which of the above statements is/are true? Choose the correct answer from the options given below :
Given below are two statement, one is labelled as Assertion A and other is labelled as Reason R Assertion A: Systems of education which are place-specific, time-specific and person-specific are said to be formal and are created by laid down law and procedures Reason R: Open universities and open schools are the example of a formal system of education because they are created by laid down procedures In light of the above statements, choose the correct answer from the options given below
Given below are two statements. One is labelled as Assertion (A) and the other is labelled as Reason (R).  Assertion (A): Tax should not be charged on dividend income from the shareholders  Reason (R): Some economists are of the opinion that when tax has already been paid on the profit of the company and balance is distributed as dividend to the owners, tax need not be levied on them  In the light of the above two statements, choose the correct answer from the options given below  1. Both A) and R) true and R) is the correct explanation of A) 2. Both A) and R) true but R) is NOT the correct explanation of A) 3. A) is true but R) is false  4. A) is false but R) is true
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In the question below, are given a statement followed by three courses of actions numbered I, II and III. On the basis of the information given, you have to assume everything in the statement to be true, and then decide which of the following suggested courses of actions logically follow(s) for pursuing. Statement: Soon VAT 69 whiskey and Smirnoff Vodka will not be found on the shelves of Delhi Liquor stores owing to the duplication of barcode by manufacturer United Limited. The Delhi government financial commissioner blacklisted the manufacturer. Financial commissioner Anindo Majumdar had said in an order dated September 14, that USL had violated provisions of the Delhi Excise Act, 2009 and Delhi Excise Rules, 2010 by using unauthorized and loose barcodes, which could be easily misused. Courses of action: I. The ban will force United Spirits Limited not to sell its liquor in the national capital for two years. II. the appellant violated provisions of the Delhi Excise Act, 2009, Delhi Excise Rules, 2010, the terms and conditions of the license issued to it and the standard operating procedure framed by the Delhi Excise Department and that consequently the department has rightly imposed the penalty of blacklisting under Rule 70 of the Delhi Excise Rules, 2010 upon United Spirits LTD (USL), Aurangabad. III. United Limited has been blacklisted by the Delhi government financial commissioner.