Connect us on:
  • twitter
  • linkedin
  • instagram
  • Youtube
  • business
Munimji

Blog

May09

2016

  • Rajya Sabha has passed Real Estate Bill on 10th March, 2016.
  • Some of the benefits to the consumers by passage of this Bill are listed below :
    1. As of now the Real Estate sector was largely unregulated in India. If a consumer had a complaint against a developer he would had to make rounds of consumer or civil courts. Also absence of standardization and lack of adequate consumer protection has constrained the healthy and orderly growth of the industry. Not anymore. Once the bill becomes an Act, in case of any grievance, the consumer can go to the real estate regulator for redressal.
    2. The bill will make it mandatory for all commercial and residential real estate projects where the land is over 500 sq. mt. or eight apartments will have to register with the regulator before launching a project. By making registration of the project compulsory with the regulatory authority, the bill aims to provide greater transparency in project marketing and execution. Failure to do so will attract a penalty which may be up to 10% of the project cost and a repeat offence could land the developer in jail.

Archive


Categories

May02

2016

Full EPF balance cannot be withdrawn (limit on early PF withdrawals)

  • Existing Rule : The EPF members (employees) can withdraw the full EPF balance after 60 days of unemployment. (The EPF balance consists of employee’s contributions + employer’s contributions + interest amounts. Every month 12% of your “salary” is contributed towards EPF account).
  • New Rule : The EPF members can not withdraw full PF amount before attaining the age of retirement. The maximum withdrawal on cessation of employment cannot exceed an amount aggregating employee’s own contribution and interest accrued thereon. You can withdraw your contributions + interest portion only. The employer’s portion can be withdrawn after attaining the retirement age (58 years).

Apr25

2016

6 changes you must know for registration of company’s name under new Rules [MCA Notification dated 22/01/2016]

  • The Govt. has notified the Companies (Incorporation) Amendment Rules, 2016 (‘Amended Incorporation Rules’). Now the process of reservation of name of companies has been simplified. Following changes have been made for ease of doing business in India:
    1. Name of company need not to be in consonance with principal object : Under extant norms, the company’s name was necessarily required to be in consonance with principal object, if such name resembled any object of company. Now as per the amended Rules the name of company will not be considered undesirable even if it is not in consonance with the principal objects of the company as set out in Memorandum of association. Let us understand this condition with the help of an example. Suppose if a company wants to opt its name as ‘ABC Builders Pvt. Ltd.’ then it is not necessary that its principal object should be related to construction and development only. Thus, now company is free to choose such name which is not in consonance with principal object.

Apr18

2016

Can women afford to be financially illiterate?

  • Obvious answer is no because most women will have to manage their finances on their own at some point in their life. As a woman you are better off in life earning and managing your own money. You neither can prevent your husband from leaving you or taking another wife nor can you prevent your kids betray you in old age. But you could have some of your dignity if you didn’t have to beg them for financial support. You may also have to finance your ageing parents.
  • That’s why it is it is very important for women to have a strong understanding about how to manage their finance, and invest for their own future. But general tendency amongst women is that they are very reluctant to discuss their finance with anyone else, including their life partner.
  • In general, it is seen that women can discuss their personal, family or even love matters with friends, medical issues with a doctor, but when it comes to talking about money and investments they are very tight lipped. Behind women’s resistance to discuss about money matter lies lack of confidence in their knowledge of financial planning and investing. This lack of confidence is really self-imposed one, completely unwarranted and mostly due to earlier habits, sometimes dating back to childhood spent watching men handle finances in families. Traditionally, women have demonstrated stronger saving rates than their male counterparts and enjoyed better long-term investment performance whenever they did take initiative in this regard. Unfortunately, too many women still hesitate to take control of their finances.”

Apr11

2016

  • Let’s start with understanding ‘Rental Income’. When you rent out your house or a commercial property or a land appurtenant and the income earned is known as rental income. This rental income which is not used for business or profession is added under the ‘Income from House Property’ is subject to Income tax.
  • Income tax act requires an assessee to disclose all house properties owned by him in his Income tax return. In case of multiple house properties, only one property can be claimed as self-occupied (if not rented out) and others are to be compulsorily considered as let out (i.e. deemed let out). The deemed let out declaration is a rule even if the said house property is vacant or self/family occupied and no rental income is earned on it.
  • Are you looking for saving tax on such a rental income generated from house property owned in India? This blog shares some insight about rental income, its components and various ways to reduce the tax with the deductions available on such rent received.
  • Let us discuss how to plan and reduce your tax burden on rental income.
    1. Higher rental income consideration : Based on Income tax act, taxpayers can declare a higher rental value property as his self-occupied property if he owns multiple ones in the same city. One can compute notional or deemed rental value on the other properties on declaration and pay the income tax.

Apr04

2016

Gujarat VAT Budget - 2016-17

  1. Bamboo materials (except furniture) is now made tax free from 5% VAT.
  2. Cycle rickshaw & paddle rickshaw is now made tax free from 5% VAT.
  3. Mosquito net is now made tax free from 5% VAT.
  4. Sanitary napkin & adult diapers is now made tax free from 5% VAT.

Financial Management