close
Share with your friends

India: “Specified days” deduction for employees

India: “Specified days” deduction for employees

The KPMG member firm in India has prepared reports about the following tax developments (read more at the hyperlinks provided below).

1000

Related content

  • “Specified days” deduction for employer: The Bangalore Bench of the Income-tax Appellate Tribunal held that if the employee-related deduction is not given in the first year of employment due to non-fulfillment of the “specified days” condition, the deduction is available and is to be allowed in the following two years if these same employees work for more than the specified days during those years. The case is: Texas Instruments (India) Private Ltd. Read an April 2020 report [PDF 310 KB]

  • Short withholding or collection of tax due to increase the tax surcharge rates: The Central Board of Direct Taxes (CBDT) issued a circular clarifying that a person responsible for the withholding or collection of tax under any provision of the Income-tax Act, 1961 will not be considered to be an “assessee in default” with respect to certain transactions. Read an April 2020 report [PDF 161 KB]

  • Re-assessment proceedings: The Supreme Court of India held that, for purposes of determining whether there were reasons to believe that income was not reported and assessed, facts that came to the knowledge of the Assessing Officer after completion of the assessment proceedings could be taken into consideration. Read an April 2020 report [PDF 333 KB]

  • Concessional tax rates under optional tax regime, tax withheld at source: To address questions regarding new section 115BAC—the measure providing that an individual has an option to choose between the existing tax rates and the new tax regime (concessional tax rates without considering exemptions/deductions)—the CBDT issued a circular clarifying that an employer, based on information received from the individual employee, could compute the tax withheld at source by considering the provision of section 115BAC, as applicable. Read an April 2020 report [PDF 287 KB]

The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.

Connect with us

 

Want to do business with KPMG?

 

loading image Request for proposal