This document provides an overview of taxation in India. It discusses the history of income tax, which was first introduced in India in 1860. It outlines the various tax authorities in India, including central and state governments and municipalities. It defines key terms related to taxation like income, assessment year, and previous year. It also provides examples of statements showing taxable income from sources like salary, house property, business/profession, and a summary statement of total taxable income. Finally, it briefly discusses value-added tax.

1. Presentation
on
Taxation

2. History
 Income tax is today an important source of
revenue for government in all the countries.
 More than 3,000 years ago, the inhabitants of
ancient Egypt and Greece used to pay income
tax, consumption taxes and custom duties.
 Income-tax was first introduced in India in 1860
by James Wilson who become Indian’s first
Finance Member.

3. Income-tax Authorities.
 Central Government :- income-tax, Excise Duty
and Customs Duty.
 State Governments :- sales tax, VAT, Excise
and tax on agricultural income.
 Municipalities :- Octroi and House property tax.

4. Defination
 Income :- Income means some monetary returns
periodically received from some definite source.
 Assesses :- A person liable to pay any tax or any
other sum of money under this Act.
 Person :- According to law an assessee is a
person by whom any tax is payable.
Person includes
- An individual - A firm
- A HUF - A local authority
- A company

5.  Assessment years :- It is a year in which the
income of the Previous year is to be assessed.
The current assessment year is 2011-’12.
 Previous years :- Previous years means financial
year immediately preceding the assessment year.
Previous years for this assessment year would be
2010-’11.
Previous Year
2010-’11
Assessment Year
2011-’12

6. Total Income of an Individual Assessee.
 Salary Income.
 House Property.
 Business or Profession.
 Capital Gains.
 Income from other source.

7. Statement showing taxable income from
Salary.
PARTICULAR
Basic Salary ....
Bonus ….
Commission ….
Allowances ….
Perquisites ….
Gross Salary XXX
Less:- Specific deduction ….
Taxable income from salary XXXX

8. Statement showing taxable income from
House Property.
PARTICULAR LOP DLOP SOP
Gross Annual Value …. …. 0
Less:- Local Tax, Mu. Tax 0
Net Annual Value XXX XXX 0
Less:- Specific deduction
1.Std. dedu. (30% of NAV) …. …. 0
2. Int. on Loan …. …. ….
Taxable Income/Loss of XXXX XXXX XXXX
House Property.

9. Statement showing taxable income from
Business or Profession.
PARTICULAR
Net Profit (P&L A/c) ….
Less: Other Heads of Income (P&L A/c) ….
Less: Other Income (Cr. P&L A/c not taxable) ….
Add: Inadmissible Exp. (Dr. to P&L A/c) ….
Less: Inadmissible Exp. (not claimed) ….
Add: Taxable Business Income Not recorded ….
Taxable Business Income XXX

10. Statement showing Taxable Income
PARTICULAR
Salary Income ….
Add: House Property ….
Add: Business or Profession ....
Add: Capital Gains ….
Add: Income from other source ….
Gross Total Income XX
Less: General Deduction ….
Taxable Income XXX

11. Value Added Tax Act, 2003
 The value addition by a producer is the
addition in its final sales value due to its
performance over the cost of raw material
plus services purchased from outside.
 The two concept VAT.
1. Trader
2. Manufacture.
VAT = Net Sales Value – Total cost of good

12. Thank you
Name :- Daxesh Kanani
Roll No. :- 09
Subject :- Communication Skills for IT Mgmt.
Class :- BBA [ITM] – IV
College :- C. P. Patel & F. H. Shah
Commerce College