Dubai earnings sent through banking channels, yet tax notice issued: ITAT Ahmedabad rules property purchase can’t be treated as unexplained investment

An NRI working in Dubai since 1993 successfully challenged a tax notice for unexplained property investment in India. The ITAT Ahmedabad ruled that funds remitted through proper banking channels from his Dubai earnings, even for property purchase, cannot be deemed unexplained. This decision offers significant relief to NRIs facing similar tax scrutiny.

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NRIs with big foreign tax payment need to get CA certificate to claim tax credit in their ITRs in India under draft tax rules 2026; Know more

Indians working abroad can claim Foreign Tax Credit (FTC) by filing Form 67. Draft rules propose renumbering it to Form 44, requiring CA certificates for companies and individuals with foreign tax payments over Rs 1 lakh. These changes aim to enhance scrutiny and ensure bona fide claims, potentially increasing compliance costs.

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I am 44 with salary, FD interest and mutual fund gains. How do I decide between the old and new tax regime each year?

ET Wealth Reader's Query: I am 44, earning income from salary, interest on deposits, and occasional capital gains from mutual funds. How should a middle-aged taxpayer evaluate which income tax regime works better each year?

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Claiming HRA? Salaried taxpayers need to disclose their relationship with the landlord in draft income tax rules 2026; know what precautions to take

New draft tax rules for 2026 will require salaried individuals claiming House Rent Allowance to disclose their relationship with their landlord. This applies especially when paying rent to relatives. Taxpayers must ensure genuine rental agreements and proper documentation. Payments should be made through banking channels. Landlords must declare rental income. These measures aim to enhance transparency in rental arrangements.

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Denied Rs 91.45 lakh capital gains deduction after selling a plot, taxpayer challenges Income Tax Department’s order in ITAT and wins case

The Income Tax Appellate Tribunal (ITAT) Pune ruled that investing full capital gains into a new property qualifies for Section 54F exemption, even if the entire sale consideration wasn't deposited in the Capital Gains Account Scheme (CGAS) before filing the ITR. This decision favored a taxpayer from Pune who had sold a plot of land, bought a new property and claimed full tax exemption of the capital gains from the sale of land.

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16 large financial transactions you can’t hide from Income Tax Department: Deposit, withdrawal, cash payments and more

Large financial transactions like cash withdrawals, property sales, and investments are automatically reported to the Income Tax Department via the Statement of Financial Transaction (SFT) mechanism. This reporting occurs even if these details aren't explicitly declared in your income tax return. Specified entities are mandated to submit this information.

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Lady with Rs 3.4 lakh annual income gets a Rs 33 lakh property via gift deed; tax dept sends notice; she wins in ITAT Delhi

The Income Tax Appellate Tribunal (ITAT) Delhi ruled that property received through a Hindu family settlement is not a taxable gift. The tribunal found that the transfer, executed as a formality following a family arrangement, did not constitute a taxable 'transfer' under the Income Tax Act, thereby dismissing the tax department's appeal.

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₹80 lakh cash loan row: Madras HC refuses to force PAN disclosure, sends papers to I-T dept

The Madras High Court has sent case files concerning an Rs 80 lakh cash loan to the Income Tax Department for scrutiny. The court ruled that the lender does not need to disclose his PAN number. This action follows a borrower's request for tax investigation into the large cash transaction. The court's decision aims to curb black money transactions.

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I have taken foreign citizenship. Can I send my mother Rs 5–10 lakh a year in India without FEMA or tax scrutiny?

ET Wealth Reader's Query: I have taken foreign citizenship. I would like to send to my mother living in Delhi amounts of Rs.5-10 lakh annually. Will that invite FEMA/tax scrutiny?

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Salary earned overseas, deposited in Indian NRE a/c: Why ITAT Ahmedabad quashed tax department’s notice

An NRI man earned Rs 44 lakh salary abroad and deposited it in his NRE account. The Income Tax Department issued a notice, but the Income Tax Appellate Tribunal (ITAT) Ahmedabad ruled in his favor. The tribunal stated that salary earned overseas and credited to an NRE account is not taxable in India. This decision provides significant relief to non-residents.

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Rs 27K income tax liability became Rs 9.44 lakh: Pune taxpayer claims fake deductions of Rs 10.65 lakh; taxman imposes 200% penalty; ITAT upholds fine

A Pune taxpayer faces a hefty Rs 9.44 lakh penalty for misreporting Rs 10.65 lakh in deductions, including fake claims for political donations and medical expenses. The Income Tax Appellate Tribunal upheld the penalty, deeming the misreporting a conscious act rather than a bonafide mistake. This resulted in a 200% penalty on the additional tax liability.

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Made profits in gold or silver? Here’s how to lock in gains and reset cost without raising your tax outgo

Gold and silver funds experienced strong rallies and sharp corrections, creating opportunities for tax harvesting. Investors can strategically use capital losses to offset gains or leverage the LTCG exemption to retain more profits. Careful timing and adherence to tax rules can significantly improve post-tax returns without altering long-term allocations. Tax harvesting can help investors lock in gains, adjust losses, and step up acquisition costs— without changing their long-term precious metals bet.

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Made profits in gold or silver? Here’s how to lock in gains and reset cost without raising your tax outgo

Gold and silver funds experienced strong rallies and sharp corrections, creating opportunities for tax harvesting. Investors can strategically use capital losses to offset gains or leverage the LTCG exemption to retain more profits. Careful timing and adherence to tax rules can significantly improve post-tax returns without altering long-term allocations. Tax harvesting can help investors lock in gains, adjust losses, and step up acquisition costs— without changing their long-term precious metals bet.

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Higher HRA, bigger tax-free perks: How draft Income-Tax Rules 2026 could boost your take-home pay

Budget 2026 introduces significant perquisite rule changes, lowering taxable housing valuations and increasing tax-free limits for education, meals, and gifts. While motor car perquisite values rise for employer-owned vehicles, employee-owned cars see a decrease in taxable value. These adjustments aim to boost employee take-home pay by reducing taxable income components.

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Old regime revival? Do the math first

Meaningful gains under the old regime hinge largely on HRA -- and not everyone may qualify.

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Old regime revival? Do the math first

Meaningful gains under the old regime hinge largely on HRA -- and not everyone may qualify.

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Income tax refund delay scam: As fraudsters target taxpayers with fake tax delay messages, I-T Department issues alert

.The Income Tax Department has revealed that these fraudulent messages often contain minor spelling errors and fake links designed to appear genuine. The I-T Department has asked citizens to verify all tax-related information only through its official website.

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10 tax-free incomes in India: EPF, PPF, gratuity, tax-free bonds & more

Unlock tax savings with these 10 income sources exempt from income tax in India. From agricultural earnings and PPF/EPF returns to life insurance maturity and scholarships, understand how to legally reduce your tax burden.

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High salary earners getting ‘nudge’ notices from Income Tax Dept? Here’s why you received it and what action to take now

High salary earners are receiving 'nudge' notices from the Income Tax Department. These notices prompt employees to correct errors like undeclared property income, crypto gains, and ESOPs. The department is offering a final chance to voluntarily fix mistakes before taking stricter action. This initiative aims to ensure accurate tax declarations and compliance among affluent taxpayers.

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Earning Rs 15–25 lakh? Draft Income Tax Rules 2026 could make the old tax regime more rewarding—here’s how to cut your income tax bill

Draft Income-tax Rules 2026 propose increased allowance limits, potentially allowing taxpayers under the old regime to pay significantly less tax. Calculations suggest substantial savings for salaries of Rs 15 lakh, Rs 20 lakh, and Rs 25 lakh compared to the new tax regime, if these changes are approved.

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Lady wins Rs 83 lakh capital gains tax exemption case: ITAT Mumbai flags officer’s jurisdiction error

A taxpayer successfully challenged an Rs 83 lakh capital gains tax exemption denial in ITAT Mumbai. The Income Tax officer erred by reopening the assessment without specifying the Section 54F exemption as a reason. ITAT Mumbai ruled the officer lacked jurisdiction for this addition, quashing the disallowance based on a Bombay High Court precedent.

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Saving of Rs 1.2 lakh instantly when sending this amount abroad, but should you wait till April 1 for this?

Good news for Indian families! The Union Budget 2026 significantly reduces Tax Collected at Source (TCS) on overseas education and medical remittances from 5% to 2% for amounts exceeding Rs 10 lakh annually. This change, effective April 1, 2026, offers substantial upfront cash flow relief, allowing families to save up to Rs 1.

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From property deals to foreign assets: how the Income-Tax Department tracks your money

In December, the Income-tax Department sent SMS and email alerts flagging mismatches in reported income and non-disclosure of foreign assets. This article explains how such information reaches the tax system—through SFT filings, TDS/TCS data and global information-sharing frameworks—and what taxpayers should do to stay compliant in a data-driven tax regime.

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Can I use the sale proceeds from my house to pay 50% share to my sister and claim capital gains exemption?

ET Wealth Reader's Query: Can I use the sale proceeds from my own house to pay my sister her 50% share in our father’s property so that the entire property can be transferred to my name?

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Company car perk gets costlier: Draft Income Tax Rules 2026 could add Rs 4,352 to your tax bill over car perks on Rs 15 lakh salary

Salaried employees face increased income tax under draft Income Tax Rules, 2026, due to changes in company car perk valuation. Those using company cars partly for personal use will see higher taxable perquisites, leading to an additional tax outgo. The new rules significantly revise the monetary value assigned to this benefit.

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Form 16 to become Form 130, 26AS to become 168; Know the new names of important income tax forms after 31 March, 2026?

Starting April 1, 2026, familiar tax forms will get new numbers. Form 16 becomes Form 130, and Form 26AS will be known as Form 168. This change is part of the new Income Tax Act, 2025. While initial adjustments may occur, the transition aims for a simplified tax framework. Proceedings for earlier tax years will continue under old rules.

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Gold taxation explained: Physical vs ETF vs SGB vs inherited gold

If you are confused by personal finance terms, jargon and calculations, here’s a series to simplify and deconstruct these for you. In the 90th part of this series, Riju Mehta talks about the tax incurred on the purchase and sale of different types of gold.

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Lady sells listed equity shares for Rs 26 crore and constructs house, pays no capital gains tax; ITAT Kolkata rules in her favour

A woman successfully claimed capital gains tax exemption on Rs 26 crore from selling shares. The Income Tax Appellate Tribunal in Kolkata ruled in her favour, allowing her claim under Section 54F. She invested the proceeds in constructing a residential property. The tribunal clarified rules regarding joint ownership, property usage, and construction timelines.

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Not all post office schemes save tax: Check these 7 schemes to know which one gives maximum tax saving and higher returns

Indian small savings schemes provide safe, government-backed returns. However, their tax implications vary greatly. Understanding how your money is taxed at investment, growth, and withdrawal stages is crucial. Choosing the right scheme depends on your tax situation and financial goals.

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Get up to Rs 1.05 lakh income tax exemption on meal cards: Draft tax rules 2026 boost salaried savings

Salaried employees stand to gain significantly from proposed tax rule changes. Under draft Income Tax Rules, 2026, the annual tax exemption for meal vouchers like Pluxee or Sodexo could rise to Rs 1,05,600. This is a substantial increase from the current Rs 26,400 limit. The new rules propose a Rs 200 per meal cap, potentially boosting employee savings.

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Self-reporting of unexplained income in ITR to save 50%: A permanent Voluntary Disclosure of Income Scheme (VDIS) in Budget 2026?

Budget 2026 reshapes taxation of unexplained income. Self-reporting undisclosed income now attracts a 30% tax rate. This is a significant reduction from the previous 60% rate. Income detected by tax authorities faces a 200% penalty. This creates a compliance-first architecture. It rewards early disclosure with predictable costs. Concealment becomes financially punitive. This functions like a permanent disclosure scheme.

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Now request for nil or lower TDS deduction for property and other transactions via this new form as per Income Tax Act, 2025; See what’s changed

The Income Tax Act, 2025, introduces new Form 128 for applications requesting nil or lower Tax Deducted at Source (TDS) on property and other transactions. This form replaces the older Form 13, with some changes in required documentation. While the purpose remains the same, the new form streamlines the process for obtaining TDS certificates.

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One-time capital gains set-off dropped in latest version of Income Tax Act 2025: How it impacts your tax bill

The final Income Tax Act, 2025 has removed a one-time provision that allowed brought-forward long-term capital losses to be set off against short-term capital gains. This change reverts to the restrictions of the Income Tax Act, 1961, limiting LTCL set-off only against LTCG, impacting taxpayers' ability to reduce their tax liabilities.

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Can I set off capital loss from property sale against future gains from equity MF if I switch to the new tax regime?

ET Wealth Reader's Query: I have capital loss from an apartment sale in 2019-20, offset each year via equity MF gains. If I switch to the new tax regime in 2025-26, can I still carry forward and set off remaining losses against future equity MF gains?

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Section 87A tax rebate allowed on both long and short term capital gain income from equity for AY 2024-25 by ITAT Indore; Know why

The ITAT Indore has allowed Section 87A tax rebates on both long-term and short-term capital gains from equity for AY 2024-25. This ruling clarifies that the rebate applies even to income taxed at special rates, overturning a previous tax demand notice. The tribunal followed earlier favorable decisions from other ITAT benches.

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Got income tax notice or facing income tax scrutiny? Budget 2026 offers relief through revised, updated ITR, and immunity from prosecution

​With data analytics tightening the tax net, salaried taxpayers are increasingly facing income tax notices over small mismatches flagged through AIS/TIS and NUDGE alerts. Budget 2026 aims to ease this stress by widening correction windows and softening penalties. From March 1, 2026, taxpayers get more time to file revised returns, can submit updated returns even after reassessment notices, and access a revamped immunity framework.

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Good news for taxpayers in old tax regime: Higher HRA benefits extended to these new cities in new draft Income Tax Rules, 2026

Taxpayers in Bengaluru, Hyderabad, Pune, and Ahmedabad can soon benefit from increased house rent allowance tax relief. The government proposes extending the 50% HRA exemption to these cities under the old tax regime. This change, effective April 1, 2026, aims to provide significant savings for salaried individuals.

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Budget 2026 alters equity taxes: Buybacks, dividends decoded

New tax rules for equity investors are coming. From April 2026, share buybacks will be taxed as capital gains. Dividend tax rules are also changing, with interest expense deductions being withdrawn. Bonus shares and stock splits continue to have tax implications only upon sale. Understanding these changes is vital for maximising investment outcomes.

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Good news for taxpayers in old tax regime: Higher HRA benefits extended to these new cities in Budget 2026

Taxpayers in Bengaluru, Hyderabad, Pune, and Ahmedabad can soon benefit from increased house rent allowance tax relief. The government proposes extending the 50% HRA exemption to these cities under the old tax regime. This change, effective April 1, 2026, aims to provide significant savings for salaried individuals.

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Income Tax Department releases draft Income-tax Rules, 2026: Simplified forms, easier compliance & other key features explained

Income-tax Rules: The Income Tax Department has released draft Income-tax Rules, 2026, effective April 1, 2026, simplifying ITR filing forms and procedures. These draft rules, open for public feedback until February 22, 2026, aim to reduce compliance burden through standardized, smart forms with prefill and reconciliation capabilities.

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Pay reduced tax at 39% rate on unexplained income compared to 78% earlier, with close eye on penalty, Budget 2026 announcement?

Budget 2026 brings a major tax relief for unexplained income. The tax rate has been slashed to 39 percent from the earlier 78 percent. This change applies to unexplained credits, investments, and expenditures. Taxpayers can now pay a lower tax on such income. The new provisions aim to simplify tax compliance.

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Confused about income tax deduction on pre-EMI interest? Budget 2026 brings clarity on Rs 2 lakh home loan deduction

Budget 2026 brings clarity on home loan tax deductions. Prior-period interest on home loans is now explicitly included within the Rs 2 lakh deduction limit for self-occupied properties. This amendment aligns the new Income Tax Act with previous rules. Taxpayers can now understand the total interest deduction cap more clearly. The overall tax benefit for most homeowners remains unchanged.

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Old tax regime is not going to end soon; CBDT chairman rules out sunset clause for old regime

The old tax regime will not be phased out soon, according to CBDT Chairman Ravi Agrawal, despite 88% of individual taxpayers opting for the new regime. While the new system offers simplicity and lower rates, the old regime remains relevant for a select group with significant deductions like housing loans and investments.

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Income tax slabs after Budget 2026: Have tax slabs for FY 26-27 changed? Check latest rates

Income tax slabs for FY 2026-27 remain unchanged for both the old and new tax regimes. Taxpayers will continue to use the existing slab structures, with no revisions in rates or income thresholds. This offers continuity for individuals as they assess which tax regime best suits their financial situation.

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No need to pay income tax if your land is acquired by government giving payout under RFCTLARR Act; Budget 2026 proposal

Budget 2026 has introduced a full income tax exemption for compensation received from the government for land acquired under the RFCTLARR Act, effective April 1, 2026. This move aims to align tax laws with the RFCTLARR Act, removing previous interpretational ambiguities regarding tax-free payouts for compulsory land acquisitions. Read more.

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Full Section 87A tax rebate on LTCG from equity income for AY 2024-25 allowed by ITAT Chennai; know how the taxpayer won

The Income Tax Appellate Tribunal ITAT Chennai has ruled that taxpayers can claim the Section 87A tax rebate on long-term capital gains from equity income for Assessment Year 2024-25. This decision allows a taxpayer to get a Rs 25,000 tax demand deleted. The tribunal stated the rebate applies to total income without distinguishing between normal and special tax rates.

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Budget 2026 makes TDS/TCS deduction rules mandatory, know how it will help in reducing disputes

Budget 2026 has made CBDT guidelines mandatory for all property TDS and transaction participants. This move aims to prevent disputes and litigation by ensuring income tax authorities and deductors uniformly follow these rules. The amendment to Section 400(2) of the Act, effective April 1, 2026, restores the binding nature of these guidelines, offering legal protection and predictability.

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Income Tax Return Due Dates 2026: Month-wise guide for salaried taxpayers, business owners & companies

Budget 2026 has introduced revised income tax return filing dates for specific taxpayer categories. Understanding these new deadlines is crucial to avoid penalties and late fees. The article provides a clear, month-wise guide to help taxpayers identify their due dates, ensuring timely filing and preventing interest charges or delayed refunds.

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Man denied double taxation benefit for tax on salary paid in Singapore as Form 67 not filed within due date; He files case in ITAT Delhi and wins case

An Indian taxpayer successfully challenged the tax department in the ITAT Delhi. The tribunal ruled that foreign investments made in daughters' names were adequately disclosed and justified by the taxpayer's income. Furthermore, the ITAT allowed foreign tax credit on Singapore salary, stating procedural delays in filing Form 67 should not deny relief. The revenue's appeal was dismissed.

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Budget 2026: Superannuated soldiers won’t get I-T relief on disability pension

The Budget document proposes a specific exemption for disability pension paid to members of the armed forces, including paramilitary forces, covering both the service and disability components, provided the individual has been invalided out of service due to a bodily disability attributable to, or aggravated by, military, naval or air force service.

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Man sets-off Rs 5.18 crore short term capital loss from shares against Rs 5.21 crore LTCG; tax dept sent notice; he wins case in HC

A taxpayer has won a significant victory in the Bombay High Court. The court allowed the set-off of short-term capital loss against long-term capital gains. The tax department's addition of Rs 5.43 crore as unexplained cash credit and undisclosed long-term capital gains was deleted. The High Court emphasized consistency, noting similar relief granted to the taxpayer's father and brother.

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Tax dept denies Rs 73 lakh TDS credit as taxpayer being unaware did not claim it in ITR; ITAT Mumbai gives relief to taxpayer

The Income Tax Appellate Tribunal Mumbai has ruled in favour of a taxpayer. The tribunal stated that the tax department must provide TDS credit shown in Form 26AS. This decision came after a taxpayer missed claiming Rs 73 lakh TDS due to seller's non-disclosure. The tribunal highlighted the department's statutory and constitutional duty to grant credit, even with procedural errors.

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