Tag: Tax Planning

Osmania University Hyderabad BCOM Notes

Income Tax Osmania University BCOM 4th Semester 2025-26 Notes

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Management Notes

Expenditures Allowed as Deduction: Rent, Rates, Taxes, Repairs and Insurance for Building [Sec. 28], Repairs and Insurance of Machinery, Plant and Furniture [Sec. 28]

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Section 28 of the Income-tax Act, 2025 permits deduction of specified expenses relating to premises, machinery, plant, or furniture used for business or profession. These include insurance premium, rent, local taxes, and current repairs, provided they are revenue in nature and not capital expenditure. Where an asset is only partly used for business, the deduction is proportionately restricted based on actual business usage, as determined by the Assessing Officer.

1. Rent, Rates, Taxes, Repairs and Insurance for Building [Sec. 28(1)(a)-(e)]

Under Section 28(1), deduction is allowed for expenses relating to premises used for business or profession. This covers insurance premium paid against risk of damage or destruction [clause (a)], land revenue, local rates or municipal taxes paid [clause (b)], and rent paid where the assessee occupies the premises as a tenant [clause (c)]. Further, current repairs to the premises are deductible — where the assessee is not a tenant, under clause (d); and where the assessee is a tenant who has contractually undertaken the cost of repairs, under clause (e). All such expenditure must be revenue, not capital, in nature.

2. Repairs and Insurance of Machinery, Plant and Furniture [Sec. 28(1)(f) r/w (a)]

Section 28(1)(f) allows deduction for amounts paid towards current repairs to machinery, plant, or furniture, provided such expenditure is not capital in nature — for instance, ordinary maintenance restoring the asset’s existing condition rather than creating a new advantage or asset. Additionally, insurance premium paid against risk of damage or destruction of machinery, plant, or furniture is deductible under clause (a), applied jointly with premises. Where such assets are only partly used for business purposes, Section 28(2) restricts the deduction to the fair proportionate part attributable to business use, as assessed by the Assessing Officer.

Bangalore University BBA Notes

Direct Taxation Bangalore University 5th Semester BBA Notes

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Unit 1
Taxation, Basic Reasons to Impose Taxation VIEW
Constitutional Validity of Taxes VIEW
Administration of Tax Laws VIEW
Component of Income Tax Law in India VIEW
Basic Principles for Charging Income Tax [Sec. 4] VIEW
Tax Year [Sec 3] VIEW
Assessee [Sec 2(7)] VIEW
Capital Asset 2(22) VIEW
Person [Sec 2 (77)] VIEW
Income [Section 2(24)] VIEW
Heads of Income [Sec 14] VIEW
Gross Total Income (GTI) [Sec. 122], Total Income (TI) [Sec. 2(108) read with section 122] VIEW
Distinguish between Gross Total Income and Taxable Income VIEW
Rounding-off of total income [Sec. 516] VIEW
Capital Receipts -vs.- Revenue Receipts VIEW
Rate of Tax Under Old Tax Regime / Regular Tax Regime VIEW
Rate Of Tax Under Default Tax Regime (New Regime) U/S 202 VIEW
Double Taxation Avoidance Agreement (DTAA) VIEW
Residential Status and Scope of Total Income
Determination of Residential Status VIEW
Residential Status, Individual [Sec. 6(2)] to [Sec. 6(8)] VIEW
Hindu Undivided Family (HUF) [Sec. 6(9)] VIEW
Company [Sec. 6(10)] VIEW
Firm or an Association of Persons (AOP) or Body of Individuals (BOI) or Any other Person [Sec. 6(11) VIEW
Resident and Ordinary Resident [Sec. 6(13)] VIEW
Illustrations only on Individual Incidence of Tax [Sec. 5] VIEW
Unit 2
Basic Elements of Salary VIEW
Employer-Employee Relationship VIEW
Basis of Charge [Sec. 15] VIEW
Definition of Salary [Sec. 16] VIEW
Deduction from Salary [Sec. 19] VIEW
Perquisite [Sec. 17] VIEW
Income Not be included in the Total Income [Schedule III and Sec 11] VIEW
Computation of Taxable Salary VIEW
Illustrations including deduction of Retirement Benefits VIEW
Employee Stock Option Plans (ESOPs) VIEW
Income from House Property
Chargeability [Sec. 20] VIEW
Determination of Annual Value [Sec. 21], Property -Self-occupied property Deemed to be let out Property, Property not actually occupied by the Owner, Partly let out and partly Self-occupied Property, Computation of Income VIEW
Recovery of Arrears of Rent and Unrealized Rent VIEW
Deduction’s u/s 22 – a) Standard Deduction b) Interest on Borrowed VIEW
Capital Treatment of Pre and Post Construction VIEW
Interest Computation of Income from House Property, Property owned by co-owners VIEW
Unit 3
Meaning of Business 2(20), Definition of Profession 2(86) VIEW
Income Chargeable under the Head Profits and Gains of Business or Profession [Sec. 26] VIEW
Incomes not Taxable under the Head Profits and Gains of Business or Profession [Sec. 27] VIEW
Expenditures Allowed as Deduction: Rent, Rates, Taxes, Repairs and Insurance for Building [Sec. 28], Repairs and Insurance of Machinery, Plant and Furniture [Sec. 28] VIEW
Deduction in Respect of employee Welfare [Sec 29 and 30], Depreciation [Sec. 33], Block of Assets [Sec. 2(17)], Scientific Research [Sec. 45] VIEW
Deduction in Respect of Expenditure on Specified Business [Sec. 46] VIEW
Bad Debts [Sec. 31], Provision for Bad Debts [Sec. 31] VIEW
Residual Deduction [Sec. 32] VIEW
illustrations on Business Income- Setoff and Carryforward of Business Loss and un Absorbed Depreciation VIEW
Disallowances and Presumptive Taxation
Method of the Accounting 276 VIEW
Maintenance of Books of Accounts 58, List of Notified Profession under Section 58 VIEW
Disallowed Expenditure [Sec. 35], Section 35. Inadmissible Expense in the Books of the Partnership form and LLP, Computation of Book profit under 35(e) VIEW
Section 36 Expense Disallowed if Payment is made in excess of 10,000 in cash/other than Prescribed Mode, Certain Payment can be allowed only upon Actual Payment VIEW
Presumptive Taxation [Sec. 58] VIEW
Unit 4
Basis of Charge-Capital Asset [Sec. 2(22)], Types of Capital Asset-Transfer [Sec. 2(109)] VIEW
Capital Gain [Sec. 67] VIEW
Transactions not regarded as Transfer (Sec. 70) VIEW
Meaning of “Adjusted”, “Cost of Improvement” and “Cost of Acquisition” (Sec.90) VIEW
Computation of Long-Term Capital Gain (LTCG)(Sec-72) VIEW
Deemed or Notional Cost of Acquisition [Sec. 73], Computation of Capital gain in Certain cases VIEW
Computation of Capital gain in Case of Depreciable Assets [Sec. 74] VIEW
Tax on Capital Gain- Deductions [Sec. 82, 83, 84, 85, 86] VIEW
Income from Other Sources
Basis of Chargeability [Sec.92] VIEW
Casual Income: Winning from Lotteries, Crossword Puzzles, etc. [Sec. 92(2)(b)] VIEW
Family Pension- Gift [Sec. 92(2)(m)] VIEW
Interest on Securities [Sec. 92(2)(e)] VIEW
Sum Received under a Life Insurance Policy [Sec. 92(2)(l)] VIEW
Dividend [Sec. 2(40)] VIEW
Specific Disallowance [Sec. 94] VIEW
Computation of Income from other Sources – Illustrations VIEW
Unit 5  
Income Exempted [Schedule II Read with Sec 11] VIEW
Agriculture Income, Instances of Agricultural (Agro) Income, Instances of Non-agricultural (Non-Agro) Income VIEW
Treatment of Partly Agricultural and Partly Non-Agricultural Income VIEW
Illustrations on Impact of Agricultural income on Tax Computation VIEW
Deductions: Differences between Deduction and Exemptions VIEW
General Provisions Schedule III, Rebate u/s 156 VIEW
Computation Tax Gross Total Income and Tax Liability VIEW
Setoff and Carry Forward of Losses  
Introduction Inter Source adjustment (Intra-Head adjustment) [Sec. 108], Inter head adjustment [Sec. 109] VIEW
Carry Forward of Loss VIEW
Loss under the head ‘Income from House Property’ [Sec. 110] VIEW
Carry forward and Set off of Business Loss other than Speculation Loss [Sec. 112] VIEW
Set off and Carry forward of Unabsorbed Depreciation, Carry forward and Set off of Speculation Loss [Sec. 113] VIEW
Carry Forward and Set off of Loss from Specified Business Covered u/s 35AD [Sec.114] VIEW
Carry Forward and Set off of Capital Loss [Sec. 111] VIEW
Carry Forward and Set off of Losses from Activity of owning and Maintaining Race Horses [Sec. 115] VIEW
Bangalore North University BBA Notes

Income Tax-II Bangalore North University BBA SEP 2024-25 6th Semester Notes

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Bangalore North University BBA Notes

Income Tax-I Bangalore North University BBA SEP 2024-25 5th Semester Notes

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Unit 1  
Tax: Introduction, Meaning, Definition, Objectives VIEW
Income-Tax Act, 2025: Scope and Framework VIEW
Basic Principles for Charging Income Tax [Sec. 4] VIEW
Assessment, Types of Assessment, Procedure for Assessment VIEW
Finance Bill and Finance Act VIEW
Definitions, Tax Year [Sec. 3] VIEW
Assessee [Sec. 2(11)] VIEW
Person [Sec. 2(77)], VIEW
Income [Sec. 2(49)] VIEW
Heads of Income [Sec. 13] VIEW
Gross Total Income (GTI) [Sec. 122], Total Income [Sec. 2(108)] VIEW
Tax Administration – Authorities VIEW
Unit 2  
Structure of Income Tax Department VIEW
Role and Functions of Central Board of Direct Taxes (CBDT) VIEW
Powers and Duties of Income Tax Authorities:  
Chief Commissioner of Income Tax VIEW
Commissioner of Income Tax, Assessing Officer VIEW
Income Tax Officer VIEW
Unit 3  
Residential Status: Introduction and Need VIEW
Determination of Residential Status of Individuals u/s [Sec. 6(2)] to [Sec. 6(8)] VIEW
Incidence of Tax for Individual Assessee [Sec. 5] VIEW
Unit 4  
Salary: Introduction, Basic Elements VIEW
Employer-employee relationship VIEW
Basis of Charge [Sec. 15] VIEW
Definition of Salary [Sec. 16] VIEW
Deduction from Salary [Sec. 19] VIEW
Allowances VIEW
Perquisites [Sec. 17] VIEW
Retirement Benefits: Gratuity, Leave Salary and Pension VIEW
Computation of Taxable Salary VIEW
Unit 5  
Income from House Property: Introduction, Basic Concepts VIEW
Chargeability [Sec. 20] VIEW
Determination of Annual Value [Sec. 21]: Computation of Income: Let-out Property, Self-occupied Property, Deemed to be Let-out Property, Property not Actually occupied by the owner, Partly Let-out and Partly Self-occupied Property VIEW
Recovery of Arrears of Rent and Unrealized Rent VIEW
Deductions u/s 22: Standard Deduction and Interest on Borrowed Capital VIEW
Treatment of Pre and Post Construction Interest VIEW
Computation of Income from House Property VIEW
Bangalore North University B.Com Notes

Income Tax – II Bangalore North University BCOM SEP 2024-25 6th Semester Notes

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Bangalore North University B.Com Notes

Business Taxation Bangalore North University BCOM SEP 2024-25 6th Semester Notes

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Bangalore North University B.Com Notes

Income Tax – I Bangalore North University BCOM SEP 2024-25 5th Semester Notes

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Unit 1
Tax: Introduction, Meaning, Definition, Objectives VIEW
Income-Tax Act, 2025: Scope and Framework VIEW
Basic Principles for Charging Income Tax [Sec. 4] VIEW
Assessment, Types of Assessment, Procedure for Assessment VIEW
Finance Bill and Finance Act VIEW
Definitions, Tax Year [Sec. 3] VIEW
Assessee [Sec. 2(11)] VIEW
Person [Sec. 2(77)], VIEW
Income [Sec. 2(49)] VIEW
Heads of Income [Sec. 13] VIEW
Gross Total Income (GTI) [Sec. 122], Total Income [Sec. 2(108)] VIEW
Tax Administration Authorities VIEW
Unit 2
Residential Status: Introduction and Need VIEW
Determination of Residential Status of Individuals u/s [Sec. 6(2)] to [Sec. 6(8)] VIEW
Incidence of Tax for Individual Assessee [Sec. 5] VIEW
Unit 3
Capital Receipts and Revenue Receipts VIEW
Rate of Tax Under Old Tax Regime VIEW
Rate of Tax Under Default Tax Regime (New Regime) u/s 202 VIEW
Income Not be included in the Total Income [Sec. 11] VIEW
DTAA VIEW
Unit 4
Salary: Introduction, Basic Elements VIEW
Employer-employee relationship VIEW
Basis of Charge [Sec. 15] VIEW
Definition of Salary [Sec. 16] VIEW
Deduction from Salary [Sec. 19] VIEW
Allowances VIEW
Perquisites [Sec. 17] VIEW
Retirement Benefits: Gratuity, Leave Salary and Pension VIEW
Computation of Taxable Salary VIEW
Unit 5
Income from House Property: Introduction, Basic Concepts VIEW
Chargeability [Sec. 20] VIEW
Determination of Annual Value [Sec. 21] – Computation of Income: Let-out Property, Self-occupied Property, Deemed to be Let-out Property, Property not Actually occupied by the owner, Partly Let-out and Partly Self-occupied Property VIEW
Recovery of Arrears of Rent and Unrealized Rent VIEW
Deductions u/s 22: Standard Deduction and Interest on Borrowed Capital VIEW
Treatment of Pre and Post Construction Interest VIEW
Computation of Income from House Property VIEW
Bangalore University B.com Notes

TDS and ITR Filling BU B.Com SEP 5th Sem 2024-25 Notes

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Unit 1 [Book]
Permanent Account Number (PAN), Features and Provisions VIEW
Application for PAN Online/Offline VIEW
Downloading of e-PAN VIEW
Corrections in PAN VIEW
Linking of PAN and Aadhaar Sec 139 A & 139 B VIEW
Registering PAN in E-Filing Portal VIEW
Unit 2 [Book]
Income Tax Returns (ITR) VIEW
E-Filing 139D VIEW
Requirement of Filing ITR [Section 139(1)], Due Date of Filing of ITR VIEW
Applicability of Form ITR-1 VIEW
Applicability of Form ITR-2 VIEW
Applicability of Form ITR-3 VIEW
 Applicability of Form ITR-4 VIEW
Applicability of Form ITR-5 VIEW
Applicability of Form ITR-6 VIEW
Applicability of Form ITR-7 VIEW
Types of Returns, Regular ITR, Revised ITR, Belated Return, Updated Returns 139(8a) VIEW
Provisions Relating to Updated Returns including Interest and Penalties VIEW
Unit 3 [Book]
Introduction to the Concept of TDS VIEW
Applicability of TDS Sec 392 VIEW
Applicability of TDS Sec 393 VIEW
Provisions In Brief Relating to Advance Payment of Tax VIEW
Quarterly Filing of TDS Returns VIEW
Prescribed forms for Filing of TDS Returns (From 138, 140, 141) VIEW
Acknowledgement for TDS Form 130, 131 VIEW
Exemption from TDS Form 128, 121 VIEW
Unit 4 [Book]
Income Tax Portal VIEW
Prerequisites for TDS and ITR VIEW
Preparation of Electronic Returns VIEW
ITR Filing Online VIEW
Bangalore University B.com Notes

Direct Taxation-II BU B.Com SEP 6th Sem 2024-25 Notes

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