One stop for everything related to taxes,
Our Blogs

Employment is a concept that is highly valued in India since it affects a person's financial security as well as their legal and tax status. Emoluments are a critical aspect of employment. Your total emoluments comprise your base pay and also any allowances, bonuses, incentives, and other benefits that you receive from your company. Consequently, it is critical to comprehend the nuances of emoluments. It helps you to make certain that you are paid fairly and informed of your

In the past, many transactions required obtaining an Income-Tax Clearance Certificate, such as registering real estate, bidding on government projects, and renewing import/export, postal, and shipping licenses. Following liberalisation, all of these had dropped. Now, taxpayers only need to include their Permanent Account Number (PAN) in their tender or other relevant documents. However, according to the Income Tax Act of 1961, only a small number of transactions necessitate t

The 8th Pay Commission was agreed by the Union Cabinet on Thursday, January 16, 2025, and it will go into effect on January 1, 2026. It is anticipated that the 8th Pay Commission will significantly alter India's central government employees' compensation structure. This commission's goal is to modernise pensions, benefits, and pay scales to reflect inflation, the state of the economy, and the evolving needs of public employees. The long-awaited announcement of the 8th Pay Com

The Indian government created the Pay Commission in order to provide recommendations for central government employees' pay. Since India's independence, seven pay commissions have been set up to review and recommend adjustments to the pay scales for all Indian government employees, including civil and military. The 7th Pay Commission was accepted by then-Prime Minister Manmohan Singh and was to be implemented by January 2016, according to former Finance Minister P. Chidambaram

The introduction of the new tax regime (Section 115BAC) was aimed at simplifying tax calculations and offering lower tax rates. However, this shift also meant the removal of various deductions and exemptions, including House Rent Allowance (HRA), which was one of the most widely claimed benefits by salaried employees living in rented accommodation. For employees receiving HRA as part of their salary, this change raises critical questions: Should you opt for the new tax regime

TaxBuddy DIY filing simplifies income tax return filing for individuals with salary-only income under India’s Income Tax Act, 1961. Designed for FY 2024–25 (AY 2025–26), the platform enables salaried taxpayers to file returns accurately without navigating complex tax rules or government portals. By auto-selecting the correct ITR form, pre-filling salary details from Form 16, and guiding users through deductions and verification, the process becomes structured and efficient. F

For FY 2025–26, the new tax regime offers lower slab rates, a higher standard deduction, and tax-free income up to ₹12 lakh through enhanced rebate. Despite these changes, the old tax regime continues to provide better outcomes for salaried individuals whose pay structure includes significant deductions such as HRA, home loan interest, and Chapter VI-A investments. The real advantage now depends less on income level and more on how salary components and deductions are structu

The default new tax regime under Section 115BAC promises simplicity through lower tax slabs, but it removes most exemptions and deductions that salaried employees commonly use. From HRA and LTA to Section 80C and home loan interest, these exclusions significantly alter tax outcomes. Since FY 2024–25, this regime applies automatically unless actively changed, impacting take-home pay for many professionals. Despite revised slabs and enhanced rebates announced in Budget 2025, sa

Certain salary structures continue to deliver lower tax liability under the old tax regime in FY 2025–26 despite the higher rebate threshold and simplified slabs under the new regime. Salaried individuals with significant House Rent Allowance, home loan interest, and eligible investments often see greater tax savings when deductions are fully utilised. For income levels above ₹15 lakh, the benefit of exemptions and Chapter VI-A deductions can outweigh the rate advantage of th

HRA, LTA, and perquisite mismatches in salary deductions often trigger income tax notices when the claimed exemptions do not align with Form 16, salary slips, or transaction records reported to the Income Tax Department. Most errors stem from incorrect calculations, missing documents, inflated claims, or discrepancies between rent receipts, travel proofs, employer valuations, and bank statements. These are flagged through Section 143(1) intimation or scrutiny notices, requiri