What is the definition of Income Tax:- Income tax is levied directly by the Government for the purpose of financing various taxes on the income of a personal / organization/business.
Two types of income tax – Direct tax and new launches are Goods and Services Tax (GST), which includes all indirect taxes such as VAT, service tax, excise etc.
Income tax collected by the government is not only used for various government schemes but also acts as a fiscal stabilizer, which helps in distributing funds equally among the population.
According to the Indian Income Tax Act, the income from the following sources is considered taxable:
1) Income from salary.
2) Income from home property.
3) Income from profits and profits of business or profession.
4) Income from other sources.
5) Income from capital gains.
Tax rates in India vary according to the earnings of a person, which is also called income tax slab. During the budget session of the Parliament, the government revises the income tax slab every year.
Budget 2018 will be the first GST budget and will be the last full budget of the present government. The budget can be presented on February 1, 2018.