Get the best consultation to deal with VAT & taxes wisely

Taxes are one of the ways through, which Government earns. Taxes are put under the categories of Direct Tax and Indirect Taxes. The tax which is imposed on prodution of goods at every stage is known as VAT. VAT is imposed on goods from the stage of production  to finished goods. It means that the manufacturer has to pay the tax on each and every step of production, and when this product reaches the consumer, he/she is bound to pay that tax as indirect tax as it was the extra tax paid by the manufacturer and increased the cost of the product.

VAT is one of the many types of indirect taxes levied in India. No doubt it’s a good thing to give your part of tax on time but at the same time it is a bitter feeling too as we have to give it from our own pocket.

But not paying tax can lead us in trouble too. After all it’s a government game and if the authorities comes to know we are hiding our part of taxes, then we might fell in some unwanted legal actions.

If one is eligible to pay the tax, one has to pay it no matter what. But there are some ways through, which you can play this tax game safely and wisely. The Firm tells you some legal ways  through, which you can pay tax, but safeguard your pocket as well. The firm consults your regarding payment of taxes to give you maximum saving.

Consultation includes:

Various acts and registration under various legal process. VAT Consultants in Delhi NCR, is one of the best CA Firms in Delhi, which gives you consultation regarding various taxes. They tell us how to play safe and pay the tax so that minimum goes out from our pocket.

GST & Service Tax Consultancy Services in Delhi, gives the best the service regarding the consultation in various legal matter like registration under service tax, consultation for maintenance of proper records, consultation for proper accounting for service tax, consultation on various issues relating to service tax, compilation of data of cenvat credit, assistance in availment of notified abatements, utilization and availment of service tax credit in accordance with the Service Tax Credit Rules, 2002, computation of service tax payable, preparation and filing Returns, getting assessments done.

Function of an outside auditor and main provision of VAT

The main job of an outside auditor engaged by the business owner is to ensure that all financial statements of the company are presented in fairly accurate manner in accordance with corporate law or financial framework for the companies . The auditor makes sure that all bills and documents are kept by the company for proper auditing services . The service of audit gives confidence to business establishments in the authenticity of the financial statements .

Before presenting the financial statement of the particular business , the auditor collects appropriate and sufficient evidence in form of bills and receipts and then compares and confirms until reasonable assurance is obtained by them . This exercise Auditing services in Delhi NCR of observing bills of various transactions is very necessary part before reaching the conclusion that there is no fraud or error in the transactions.

Some part of the auditing procedures include:-

• gain understanding of the organization by inquiring about management and its business operations , financial reporting .
• Understand the internal control system
• testing the various documents to get the final balance sheet .
• Performing procedures on both expected and unexpected variances in account balance .
• Testing various papers to confirm the account balances .

Levy of value added tax -

The value added tax is levied at every stage . The levy is done on the value added by the last seller of product . The seller than has to pay the tax on the value that has been added to the gross value . When a product changes hand at the time of selling and buying , there is a provision for input tax paid at the same time . This is because the same goods are also purchased for resell , or for making another product or for packing purposes . The tax liability for the seller at the time of selling of the product will be done on the same lines as is presently done for sale tax act . Then the tax paid on the purchase is deducted and net amount is claimed for refund by the purchaser .

The aim of the value added tax is to VAT Consultants in Delhi NCR remove the effect of lot of taxes levied on the product before it comes to the final purchaser . The value added is simple tax ,. has transparency and is consistent in form , structure and approach .

VAT and its implementation in India

Value added tax is a consumption tax that is given on a product when some value is added at the production centre and at final sale. In other words, it is tax on the added value on goods as they move through the supply chain to the final consumer. The value added tax is assessed and collected at the each stage of the supply chain. All firms which have more than 5 lac of turnover in goods and services are liable to pay the value added tax. 

The biggest thing about the value added tax is that it is used on the consumption pattern of the individual rather than the income of the individual. More than 160 countries around the world use value added tax. The supporters of value added tax claim that it increases the income of the states government. The critics say that it puts additional burden on the economically lower sections of the society.

Features of value added tax in India –

Ø  Goods and services in the same category are taxed at rate. The television of one brand will have same tax as television from other brands.

Ø  Since tax is levied at the each stage of production, it makes process transparent and easier.

Ø  Value added tax reduces the chances of tax avoidance and encourages the sale of goods and services at the micro level.

Ø  The implementation of the values added tax is VAT Consultants in Delhi NCR different in different states; its collection processed is also different. The time lines, and return filling of the tax is different from state to state.

But still there are four subheads into which value added tax can be divided.

Nil values added rate -Many states do not levy any values added tax on the basic goods and services. These products are sold by unorganized sectors. The products range from salt, to khadi to condom.

One percentage VAT is levied on the items which are very expensive. This is done to ensure that the cost of the item does not increase much. Such items are gold, silver, precious stones etc.

4 -5 percentage of VAT is taken on large number of items, such as oil, coffee, medicines etc by all states.

General VAT rate is Auditing services in Delhi NCR levied on the all items which do not find any mention in the above mentioned categories. Some goods like liquor or cigarette are put under heavy tax rates of 12 – 15 percentages. So the general category goods are those goods, which are levied at different rates from 12 to 15 percents in different states.  

Services Rendered That Can Be Availed From Reputed Chartered Accountant Firms in Delhi NCR

Chartered accountant firms provide consultancy services to individuals or business houses for Value Added Tax (VAT). For the purpose of resolving matters associated with service tax in a hassle-free and professional manner, the individuals or business houses can get in touch with reputed chartered accountant firms in Delhi NCR.

Based on their precise needs and demands, the patrons can avail advises, consultancy and aid for attaining systematically executed audit services. In accordance to specifications provided by the patrons, the services of auditing can be customized at chartered accountant firms. Their systematic execution and cost effectiveness make the auditing services rendered by the accountant charter firms in Delhi NCR.

Under the supervision of qualified and well-known chartered accountant professionals, chartered accountant firms render highly effective corporate finance consultancy services in Delhi NCR. In accordance to specifications provided by the patrons, which can be individuals or business houses, the corporate finance consultancy services can be customized.

Backed with qualified and experienced accountants, chartered accountant firms in Delhi NCR render highly effective and systematically executed services for non-residents. Their cost effectiveness and systematic execution make these accounting services highly demanded among corporate houses and start up ventures.

The preparation of payroll of employees and allied services can be availed from reliable charted accountant firms in Delhi NCR. Based on years of understanding of this domain, the charted accountant firms provide systematically executed outsourcing services, which can be customized in accordance to the specifications provided by the patrons.

TDS/FBT consultancy services can be availed from reliable and authorized charted accountant firms in Delhi NCR. As per the specifications provided by the patrons, the services for Corporate Governance can be customized at the chartered accountant firms.

Patrons can get in touch with reputed chartered accountant firms in Delhi NCR for attaining consultancy, advises and legal aid for matters associated with Income Tax. For ensuring utmost standards of quality, the charted accountant firms have hired and trained Income Tax Consultant in Delhi NCR.

Services for trade mark can be availed from reliable chartered accountant firms, under the supervision, administration and management of qualified and experienced charted accountants. In addition to this, the services of certification can be availed from reliable charted accountant firms in New Delhi.

Under the supervision of qualified and experienced chartered accountants, the charted accountant firms render highly effective and systematically executed corporate services. Charted accountant firms render highly effective and systematically executed Corporate Accounting Services in Delhi NCR. 

Value added tax and its features

Taxes are levied by the government to earn income. The income earned by the government is spent on the various economic development activities. The spending of defense is one of the major parts of the government spending.  Taxes are decided by the central and state governments. Some municipalities also levied the taxes, which are taken within their jurisdictions.

There are two kinds of taxes generally paid by the citizens of this country. One is direct and another indirect taxes. Income taxes, wealth tax, expenditure tax, gift tax, are examples of direct tax. These taxes are paid by the individuals.  Indirect taxes are sales tax, values added tax, service tax, excise duty, custom duty and export duty. The indirect taxes are not paid by the individuals. They are also not binding, because they are paid only when certain services are used by the individuals.

Value added tax –

This is the tax Auditing services in Delhi NCR that is paid by the original producer of the goods and services .The goods and services are consumed by the customers. The tax is paid by them in the form of increased price of these goods and services.  Value added tax is an important part of the tax structure of the country. Every producer of goods and service provider takes tax from the consumers and pays that to the government. Any person who gets income of more than 5 lacs by making or supplying goods and services is supposed to register for value added tax. It is imposed on both local goods and imported goods. It has become one of the most important taxes for the economy of the country.

The main features of the value added tax –

All the goods have same tax on them. For example a brand of television in one state will have same value added tax as in other state, provided they are not controlled by the state governments it is also levied at the successive stage of production of goods and services. The value added tax is collected VAT Consultants in Delhi NCR at every stage of production of goods, so that the end user does not have to pay the whole tax .This tax brings uniformity and fairness to the tax structure. Value added tax ensures better compliance and the possibility of tax evasion is very less. The value added tax encourages the transparency in the selling of goods and services.

Since value added tax is neutral and transparent, it has emerged as the vital instrument of revenue collection for the government  

Need for Tax Consultancy in India

Tax laws are very complicate in India .On the top of it, the government of India, passes several notifications from time to time on various section of the tax law .It becomes extremely difficult for the common person to study the not so easy language of the taxation subject and keep himself abreast of the latest changes or additions in the law. Without the professional help, and that too of the highest order, common person cannot pay the various taxes. A small businessman has to deal with taxation constantly. The filing of taxes itself requires dealing with several forms. All this can be made simply only with the tax consultations from professional tax consultants. Tax consultants’ helps in filing of income tax returns, TDS returns, provide consultancy on tax matters, tax planning and saving. They also help an individual to make PAN card, maintain tax records, and help in dealing with tax authorities and tax deduction account number.   

Tax consultants also Income Tax Consultant in Delhi NCR help individuals and small businesses especially, to fill tax returns in quarterly, half yearly and yearly basis. Since these filling contain lot of paper work, The small business owner cannot handle all these tax matters without any tax advice. The tax compliance is such a lengthy and paper work process that no one can fulfill all conditions without advice from experienced tax consultants. Because tax compliance must be done regularly and with punctuality that sometimes, one fails to remember the date of filling of certain papers. The professional handle this job better as their full time job is to keep the account record of all their clients up-to-date with. The lack of tax compliance can get heavy penalty and in some cases prosecution. That is why, the safest method is to hire the tax consultant and give all tax related jobs to them at some cost.

Before filling of returns, huge amount of data needs to be audited. Audition cannot only be performed by tax consultancy people with trained staff. It requires labor and knowledge to audit all accounts books for filling returns. This work increases with increase in business. So the need for tax consultants increases in every rise in sale and profit.

  

Tax consultants combine the VAT Consultants in Delhi NCR services of various professionals like expert lawyers, charted accountants, and tax professionals and economists to provide comprehensive solution to all money matters. The various schemes launched by the government of India to save tax can be taken to reduce the tax burden. The knowledge of these schemes and how to use them comes only from tax consultants.

The calculating values added tax can be cumbersome for busy individual businessman. The reason is that VAT is not calculated under single legislation. Different legislations are used under which the tax on goods and services are imposed. Some 21 states of India have replaced local sales tax with VAT, while other continues to impose sales tax. Tax consultancy gives clarity on all these matters. 

Income Tax Saving Options for Salary Class

Lots of incentives are provided to the salary class people for saving income tax. Most of them are aware of the 80 C. But there are many other options, which can work well for many people. If it is possible, the salary people can include the telephone allowance, medical, transport, uniform, and education allowance in the salary. By producing the bills of these expenses, the tax liability can be reduced

The maximum exemption under section 80 C is up to 100,000 rupees, that is why one should use this section fully to take the benefit provided by this section. The way to take benefit is to invest in several investing options, which are available under this section.

 Invest in public provident fund , national saving certificates , equity linked savings schemes , life insurance policies , tuition fee paid for children up to 2 years and fixed deposit in banks and post office for 5 years . Then there are other options for those who have extended the limit under section 80 C. They can get the deduction of rupees 15,000 for self medical insurance, wife and dependent children medical insurance.

 The deduction of rupees 20,000 comes for medical insurance of parents of age of 65 plus age. These can be taken under section 80 D.  Donation to some specified funds or charitable institutions  and investment in notified infrastructure  bonds can also help a person to get deduction up to rupees 1000,000 . 

Home loans can also be used effectively to save income tax. The principle amount of the loan is included in the section 80 C for deduction. The interest part also gives some deduction up to 150,000 under section 24 separately.  A bonus from the company or employer is also taxable. 

Therefore one should produce the tax saving investments so that the tax deduction does not take place on the bonus. Anyone who is getting travel allowances can also get exemptions.  If a person is not receiving home rent allowance VAT Consultants in Delhi NCR.

 but is paying the rent then, he or she could claim 2000 rupees per month, or any extra amount that is paid over 10 % of total income. However, if same person or his or her partner has a resident in the place of work or living, then the exemptions will not be provided.  Even if a child of the couple has a resident in the same area of work and resident, the exemption is not given.

For a person who is getting HRA with salary, Income Tax Consultant in Delhi NCR.

Then the amount received for the rent can be available as exemption. The actual rent paid for the house on rent minus some part of the  basic salary with  allowances or 50 % of basic salary for metro and 40 % of basic salary for non metro can be also be  used as exemption for income tax.