Paypal has PAN now, so RBI knows. So do we have to declare in TAX

As we all know that Paypal has our PAN number and I guess they will have to submit a report with the PAN numbers and the transaction details.

So my question so we have to declare all the funs in our TAX returns ?

As far as I know foreign income comes under FEMA (Foreign Exchange Management Act 2000)

Please let me know your thoughts.

 

Yes we need to pay tax honestly. Because now we all are under scanning and RBI knows our transaction. So it is advisable to pay tax.

Pay Tax Karo Relax

 

I am completely agree with the Unna.

 

Well you might not know but RBI and other body already aware your each transitions because of our bank accounts, so it's nothing change even PayPal asking PAN card, major bank holders have pan card attached with banks.

Second thing, RBI don't collect taxes.

 

@ rohit, yea its right Tax department already have our all transaction details through our bank accounts. Its always better if we pay tax on time and under their regulations to avoid any hassle from them. RBI and PayPal are just making things easy for Tax department.

Thanks

 

Well, its important to submit income tax as its good for our country only.
So, pay tax and be a proud citizen of India.

- Mr.President -

 

Of-course you need to account all your sources of income. And if your transactions are large, better get import export licence as paypal payments are all business transactions and no more personal payments.

 

You're earning money legally. So why are you hesitating to pay tax? Pay tax, Feel happy!!

 

Well I agree paying TAX is for our own country and RBI doesn't collect TAX, its IT department

 

i agree to paying tax, its important to submit income tax as its good for our country only..

 

You need to pay tax only if it exceeds the taxable income for the current financial year.

 

Do we just to declare in the personal tax form or do we have to file under some other law e.g FEMA or something ?

 

Well it really depends on how much you are selling... If it is close to 3000 $ then i dont really see any reason that you need to file returns. You are tax free till Rs.1,50,000/- per year.

Yes but if you are doing a business online say like anything above that figure, then yes it is mandatory to pay your taxes in India.

So then again, it depends on your situation alltogether.

 

Thanks sahilbr, I understand the slabs thing,. wht I was concern was do we have to file under some Law like FEMA or just the normal IT tax. ?

 

Just normal income tax.

 

Hi

I opened my account last year(June 2009). So far, I have earned approx. 1,70,000 . I saw the recent tax slabs. So, am I liable to pay tax?

Thanks

 

well anything above 160000 is taxable so logically u have to pay tax for 10000 rs only but if u show that as income of ur mom or smtn then no need

 

Nope! You earned money but in other hand you also spend money! So how 10,001 Rs as Costing in office and you are bang on, you not have to pay anything! Tax is applicable on amount after deducting spending! So just chill.

 

Thats good. I have spend a lot and hope to recover it this year. So no tax to be paid for that.

 

Emiley,
(1) I see people saying that anything above Rs 1,60,000 is taxable which is only true for males, if you are a female than the upper limit is Rs 1,90,000 and if you are above 65 years (which is very unlikely, i know, but just for information sakes) upper limit is Rs 2,40,000.
(2) The thing about expenditures is also true but only those expenditures will be deducted from your income which you incur while earning that income, like if you are a doctor than rent for clinic is the sum that will be deducted while calculating your income tax because it is the money that you are spending to earn. For people working online, I think it would be charges for internet and other things that you may need to work.
Your personal expenditure is not the expenditure that is deducted, so don't take deductable expenditure for what its not.
I hope it is of some help.

Happy tax giving day!