Transaction in which PAN is compulsory

Transaction in which PAN is compulsory

Transaction in which PAN is compulsory ·          PAN is mandatory for the purchase or sale of shares of an unlisted company amounti... 9:45 PM

Transaction in which PAN is compulsory

• ·         PAN is mandatory for the purchase or sale of shares of an unlisted company amounting to one lakh.
• ·         PAN is mandatory if payment is exceeding rupees 50,000 for purchase of debenture or bonds.
• ·         PAN  is mandatory in case of Life insurance premium. If payment is exceeding rupees 50,000 in a year.
• ·         Cash payment aggregating to more than rupees 50,000 in a year towards cash cards/ prepaid instruments issued under Payment and Settlement Act.

Complete structure of calculation of Capital Gain

Complete structure of calculation of Capital Gain

Complete structure of calculation of Capital Gain Sale proceed of a Capital Assets                                                 = ... 12:41 AM

Complete structure of calculation of Capital Gain

Sale proceed of a Capital Assets                                                 =

1.        Cost of acquisition of Assets                                      =

                       +

 Cost of improvement of Assets                                   =

                       +

 Cost of inflation index (in case of

 Long term capital assets)

2.       Commission/ Brokerage                                              =

                                 

                                           Capital Gain                   (Total)

In some cases this capital gain is taxable but sometimes some exemption rules are applicable on capital gains. If within 2 year Assesse purchase a new house then full amount of Capital Gain is taxable.

But if he is not purchase at that time or he may purchase a house in the next year then they can deposit this ( Capital Gain) amount in CAPITAL GAIN ACCOUNT SCHEME 1988 opened in State Bank of India.  If he is not purchase any home within two year than whole amount of the account is taxable.

Cost inflation index given by Income tax authorities at every financial year. If short term capital assets is sold  than index is not calculated.

Long term capital gains are separately taxable because calculation is totally different from others. Only 20% of the total Long term capital gain is taxable whether assessee completes the slabs. (if they have LTCG amount ).

Capital Assets

Any kind of assets which are held by assessee during the previous year whether they are used in business or profession or his/her business. It movable, immovable, tangible or intangible and personal assets also. 

Merits and Demerits of Ethnocentric Approach

Merits and Demerits of Ethnocentric Approach

Merits and Demerits of Ethnocentric Approach Merits Companies do not worried about to make a new strategy because they sim pl... 1:57 AM

Merits and Demerits of Ethnocentric Approach

Merits

Companies do not worried about to make a new strategy because they sim ply followed cut and    paste strategy.

·      It is helpful to those industries which are new and first time export their product in other country.

·       Companies do not have high risk because if foreign market reject that product than they can sale the product in domestic market so they can manage their risk.

·        They do not need different technology because they can use same technology in foreign market.

·       In case of food and Garment product they can try to influence foreign customer towards their culture and taste. Sometimes it is much benefit and customers like new taste and new style of Garment product.

·         Companies can export with the lesser amount of capital.

·         If any problems arise during the export they can easily control it. It cannot be change.

·         They do not want high amount for investment.

Demerit

·         This approach is not fulfill the condition of “Think Global Act Local”.
·         There are lesser chances to expand their business in foreign market. It is not good for a longer time period.
·         There are various problems at the time of export with the lesser amount of capital.
·         Companies get lower return.
·       This approach is not very much success in that country where rules and restrictions are very strict    because every country has different norms and conditions.