Do i need to pay Income Tax???? INDIAN members,plz REPLY!

you have to pay IT definitely. i dont see any reason for not needing to pay income tax. you mentioned you are freelancer, where the hell did you find that freelancers dont have to pay IT. friend i think you better consult income tax lawyer and pay whatever you have to pay. once IT department get after you than it is going to be tough time.
You can always deduct the money you are spending for doing your work (web designing) as you will be considered as self employed.
Dont delay man, hurry up or you will be in serious trouble.

 

What does this mean,
"You can always deduct the money you are spending for doing your work (web designing) as you will be considered as self employed."

Do you mean that,if im outsourcing my projects,then it can be counted as my expense ??
Is that so ??

 

Completely disagree with you You must have respect to your country you are living in.. for your kind information- every country has got slums and bad roads.. Indian Govt. is doing a lot for us.. just come out from your office and survey the whole India you will come to know...It's only you kind if people who don't pay Tax and then say Govt. is doing nothing.. First deserve then Desire
You are free to leave the country if you don't like it..A person who does not have respect for his mother land, I am sure he can not respect to anyone. It's only India where you are earning that much and living a luxurious life style, if you are in UK or Britain with such income you can not afford a lifestyle what you are having currently...you could be hardly able to afford a scooty,..What a Mother Land can give you no other can....I hope you understand now..

I am not fighting with you nor I have any intension to hurt anyone out there just expressing my views.

BTW - you can get your firm register as a company and then you can save tax. under certain foreign currency exchange clause..

Cheers-

 

You have to pay (not complete) Keep you money White.

Raj

 

Well, Indian govt is kind enough to give rebate. My ca told me how to reduce the amount of tax..... simply by saving money for your insured future. I did it. I took education plan for my child for good amount of money. Finally my tax for 97-98 year was just Rs.3000/- (around) I paid it happily.

I pay tax for last 2 years. I suggest everyone should pay tax.

In NCR region govt is doing a lot of development. I like to see that.

 

I dont think there is any such rules in india, Do one thing, Dont pay any tax, if you are under the Department scanner , they giv you a 3 month notice, do so in the mean time

 

Well,i have a small firm,and i have 2 guys working on it..
I pay them a good deal also..
but i havent yet registered my company..
SO shall i register it???
Whats the total cost of it????

Will that save my money???

And im ready to pay taxes upto 5000 INR,but not more...

 

If you have 2 guys then no need to register. To be more legal you cannot get registered. To get register you should have 20 guys (I guess it is 20 but not sure).

Working without getting registration is very much legal. Your firm is a proprietorship firm where you are the whole and sole owner. The tax you need to pay for your firm is what the tax you need to pay for yourself. i.e the ITR will be one for both you and your firm. In other words you and your firm is the same thing.

Amount of tax depends on following 2 main things--

(1) How much your actual income is = Total income - (your expenses i.e salary in purchasing of goods for company + depreciation of company goods like furniture, computer)

In India we need NOT to pay any tax if maximum annual income is as follow--

For a male below 65 years - >1,50,000
For a female below 65 years - >1,80,000
For people above 65 years - >2,25,000

(2) Your savings like life insurance.

If your income is above (to what is said above) then some rebate is given to you of you have some saving plans.

Insurance is best way to save income tax.

 

you have to pay income tax.

you will also have to pay professional tax.

don't give too much weight to what people are saying here....half of them have no idea about taxation.

all resident Indians are subject to Indian income tax rules - it doesn't matter where their income is coming from.

read this.

for tax slabs applicable in FY 09 see http://en.wikipedia.org/wiki/Income_tax_in_India

go and hire a good income-tax consultant.

 

Every country has its own bad roads and slums. And half the time its because of people who want to pay no tax or pay least tax possible and we run out on funds. So IMO your rant here about your paying taxes if you resided in US and your complimentary reasoning about India having bad roads is sheer BS mate. Just pay your taxes happily !!

 

Hello Mr.Kumar,your words are perfect...
I was looking for this only...

See,i have a guy from Delhi,who works for me and i pay him project wise.
It gets around 10-12k a month..

Im in Bangalore.
So can i deduct this money in my expenses also,which i pay him or which i use to buy products for my desk ??

 

theres a thread on the forums on scriptlance.com, that you should check out,(if its still there)

remember FERA/ FEMA (undeclared foriegn income/ hawala.....) calls for unbailable warrents! ... be careful there,

you have to register in an office in banglore as a foriegn income earner or something, and then get a number from there and then file income tax,.... and software exports susally get good deductions!

M.

 

You know what go fuck ur self u lil motherfucker. Indians are not shit its people like u who make them shit. If you disrespect your own people then ofcourse other people will think the same. & next time u say shit abt Indian watch it.


I am sorry Mods for cursing but when someone disrespects me & my people i can't take it. sorry about it & if you still think i did something wrong then you can give me an infraction for this.

 

You SHOULD pay taxes, if you pay or not... that`s something else, there are a lot of people who don`t pay, and also are a lot who do! What do you choose? Are you willing to take the risk?

 

yes dude you should not be in india. great people like you should be in other countries

i suggest you to leave india first

btw there is no need to beg indian member pls help ask some other country guys

 

Looks like u r living in some cheap society.

 

earning in $'s makes no difference unless you have NRI status for tax purposes which means you need to have earned the money outside India and need to have worked outside India for a minimum number of days (180 or so I think) during the financial year... which in your case doesn't apply I guess...paying or not paying income tax is not such a big deal legally, first of all for 15 lakhs I doubt the IT dept is even going to bother so much, there are multiple crores of taxes evaded by individuals every year... you get some small fine and stuff even if you are caught.... but its more of a question of be ethical and moral responsibility so, you should pay some taxes... I think in your case you will have to show your income as professional income and you can get some deductions like expenses on internet, telephone bills, employee salaries etc etc. contact your CA they don't charge much just tell him to show some expenses and get deductions... if you just show your income as personal income then you can get tax benefits upto 1 lakhs by investing in ELSS mutual funds, Kisan Vikas patra, LIC, NSC, PPF etc etc , you can also get tax benefits for the interest you pay on your home loan (which varies depending on whether the house is rented out or not), and you can get tax benefits on insurance premium you pay for your family and your parents ... again your CA can advise you on this.

 

Ok... I was just thinking about this and is it possible for someone to go to dubai or some other place where you don't need to pay income tax work from there for 180 days get your check from there and then come back and deposit it here and save on all taxes (if your taxes are high enough to justify the travel and other hassles) ?

 

For sure .... YES. See tax is always calculated on your net profit. Your net profit = Gross income - ALL kind of expenditure.

Your expense include giving out any payment and purchasing of office assets.

I guess there are some rules regarding office assets and tax. But as your office is small one...so just take rest and relax you have to pay NIL for that.