Investing in shares of foreign companies, such as Microsoft or Apple, is as easy as investing in local firms like Infosys or HDFC. Individuals in India can invest up to $200,000 per year directly in stocks abroad, as permitted under the Liberalised Remittance Scheme for Resident Individuals. Some domestic brokerages, such as Reliance Money, ICICIDirect and Kotak Securities, have tied up with foreign partners to enable transactions in foreign equities. Besides some US-based brokerage firm, enables Indian residents to use its stock trading platform to invest directly in the US equities, for a flat fee per transaction. Through such services, one can open a trading account in the foreign country and after transferring funds to it from India via an authorised dealer, one can invest in foreign stocks and mutual funds.
Showing posts with label tax nirvana. Show all posts
Showing posts with label tax nirvana. Show all posts
Tuesday, May 8, 2012
How you can be part of Facebook IPO
Investing in shares of foreign companies, such as Microsoft or Apple, is as easy as investing in local firms like Infosys or HDFC. Individuals in India can invest up to $200,000 per year directly in stocks abroad, as permitted under the Liberalised Remittance Scheme for Resident Individuals. Some domestic brokerages, such as Reliance Money, ICICIDirect and Kotak Securities, have tied up with foreign partners to enable transactions in foreign equities. Besides some US-based brokerage firm, enables Indian residents to use its stock trading platform to invest directly in the US equities, for a flat fee per transaction. Through such services, one can open a trading account in the foreign country and after transferring funds to it from India via an authorised dealer, one can invest in foreign stocks and mutual funds.
Saturday, December 24, 2011
Heads of Income Tax - India
Heads of Income Tax - India
- Salary
- Income from House Property
- Profits and gains of business or profession
- Capital gains
- Income from other sources
Friday, December 9, 2011
Retirement planning through dividends - By TaxNirvana.com
Dividend is tax free in individual’s hands but it is not regular. If you have surplus funds, you should invest them in equity mutual funds and get tax-free income from dividends. For emergency funds requirement you can sell a part of your portfolio, money gets credited in your account within 2 days. The risk of investment in equity versus keeping in fixed deposit can be minimized by regular investments for long term only. In the long term, equity has given the best return among all the assets including real estate. In 2008, the recession that started from America was a result of default in home mortgage and prices of houses came down very sharply. Hence, keeping all your money in real estate is also risky. Diversify into other assets like equities and mutual funds.
You should start a Systematic Investment Plan or SIP in equities if you know the markets and have an appetite for higher risk otherwise mutual fund is the best option. Mutual funds reduce the risk by investing in number of companies, sector and asset class like bonds etc. Moreover, mutual funds have the professional expertise for investing in equities and offer a lot of flexibility to customize as per your required funds flow and risk profile.
How to plan retirement through dividends:
You should start a Systematic Investment Plan or SIP in equities if you know the markets and have an appetite for higher risk otherwise mutual fund is the best option. Mutual funds reduce the risk by investing in number of companies, sector and asset class like bonds etc. Moreover, mutual funds have the professional expertise for investing in equities and offer a lot of flexibility to customize as per your required funds flow and risk profile.
What is Advance Tax - By TaxNirvana.com
Taxpayers are required to pay tax during the year on the basis of their own computation of income. The advance tax is payable on total income of the year from all sources i.e. salary, business, profession etc. (including capital gain, interest, rental income or lottery/prize money).
The advance tax is payable if it exceeds Rs.10,000 for the year.
In the case of an individual, advance tax needs to be deposited as below:
In case of default in payment of advance tax, 1% p. m. interest is paid in addition to the tax payable amount, under section:
If your total tax payable is below Rs 10,000, you are not obliged to deposit advance tax as per income tax laws. Also, if your main source of income is salary and all other income (like interest) has been declared to your employer, there is no need to deposit advance tax. However, salary income needs to be included if salary details under the previous employer are not given to the new company on joining.
The advance tax is payable if it exceeds Rs.10,000 for the year.
In the case of an individual, advance tax needs to be deposited as below:
- 30% of advance tax payable on or before 15th September
- 60% of advance tax payable on or before 15th December
- 100% of advance tax payable on or before 15th March
In case of default in payment of advance tax, 1% p. m. interest is paid in addition to the tax payable amount, under section:
- 234B - If you have not paid the advance tax i.e. 90% of total tax payable before 31st March.
- 234C - If you have not paid the installment in time i.e 30% before 15th Sept, 60% before 15 Dec and balance before 15th March.
If your total tax payable is below Rs 10,000, you are not obliged to deposit advance tax as per income tax laws. Also, if your main source of income is salary and all other income (like interest) has been declared to your employer, there is no need to deposit advance tax. However, salary income needs to be included if salary details under the previous employer are not given to the new company on joining.
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