About Taxation

1. Presentation
on
Taxation

2. History
 Income tax is today an important source of
revenue for government in all the countries.
 More than 3,000 years ago, the inhabitants of
ancient Egypt and Greece used to pay income
tax, consumption taxes and custom duties.
 Income-tax was first introduced in India in 1860
by James Wilson who become Indian’s first
Finance Member.

3. Income-tax Authorities.
 Central Government :- income-tax, Excise Duty
and Customs Duty.
 State Governments :- sales tax, VAT, Excise
and tax on agricultural income.
 Municipalities :- Octroi and House property tax.

4. Defination
 Income :- Income means some monetary returns
periodically received from some definite source.
 Assesses :- A person liable to pay any tax or any
other sum of money under this Act.
 Person :- According to law an assessee is a
person by whom any tax is payable.
Person includes
- An individual - A firm
- A HUF - A local authority
- A company

5.  Assessment years :- It is a year in which the
income of the Previous year is to be assessed.
The current assessment year is 2011-’12.
 Previous years :- Previous years means financial
year immediately preceding the assessment year.
Previous years for this assessment year would be
2010-’11.
Previous Year
2010-’11
Assessment Year
2011-’12

6. Total Income of an Individual Assessee.
 Salary Income.
 House Property.
 Business or Profession.
 Capital Gains.
 Income from other source.

7. Statement showing taxable income from
Salary.
PARTICULAR
Basic Salary ....
Bonus ….
Commission ….
Allowances ….
Perquisites ….
Gross Salary XXX
Less:- Specific deduction ….
Taxable income from salary XXXX

8. Statement showing taxable income from
House Property.
PARTICULAR LOP DLOP SOP
Gross Annual Value …. …. 0
Less:- Local Tax, Mu. Tax 0
Net Annual Value XXX XXX 0
Less:- Specific deduction
1.Std. dedu. (30% of NAV) …. …. 0
2. Int. on Loan …. …. ….
Taxable Income/Loss of XXXX XXXX XXXX
House Property.

9. Statement showing taxable income from
Business or Profession.
PARTICULAR
Net Profit (P&L A/c) ….
Less: Other Heads of Income (P&L A/c) ….
Less: Other Income (Cr. P&L A/c not taxable) ….
Add: Inadmissible Exp. (Dr. to P&L A/c) ….
Less: Inadmissible Exp. (not claimed) ….
Add: Taxable Business Income Not recorded ….
Taxable Business Income XXX

10. Statement showing Taxable Income
PARTICULAR
Salary Income ….
Add: House Property ….
Add: Business or Profession ....
Add: Capital Gains ….
Add: Income from other source ….
Gross Total Income XX
Less: General Deduction ….
Taxable Income XXX

11. Value Added Tax Act, 2003
 The value addition by a producer is the
addition in its final sales value due to its
performance over the cost of raw material
plus services purchased from outside.
 The two concept VAT.
1. Trader
2. Manufacture.
VAT = Net Sales Value – Total cost of good

12. Thank you
Name :- Daxesh Kanani
Roll No. :- 09
Subject :- Communication Skills for IT Mgmt.
Class :- BBA [ITM] – IV
College :- C. P. Patel & F. H. Shah
Commerce College