The Tax system in India is mainly a three tier system which is
authorizes the Central, State Governments and the local authorities to
impose taxes on goods, services, property, business tax in India etc.
Taxes are the basic source of revenue to the Government using which
it provides various kinds of services to the tax
payers. Taxation majorly includes Direct and Indirect Taxes.
Taxation Law in India covers all the policies, rules regulations
governing the taxation process in the country. These include taxes
such as income tax, sales tax, tax on foreign company, withholding
tax, tax residency certificate, excise registration tax, service tax
registration, employee tax, tax on foreign company, corporate tax,
import duty, transfer pricing etc. Most of these taxes are levied by the
government at the Centre and the States. A Taxation lawyer will be
able to defend you if a tax authority accuses you of under-reporting
your taxes, and if you are in violation of any tax law. Consult Our legal
Experts for Issues about Income Tax, Service tax advice, planning,
appeals,VAT, FEMA, tax appeals before courts, tribunals, corporate
law and Etc.
I. DIRECT TAXES
Income tax refers to annual taxes levied by the federal government and most
state governments on individual and business income. By law, businesses
and individuals must file federal and state income tax returns every year to
determine whether they owe taxes. Governments use the taxes they collect
to fund their activities. Income tax is applied to both earned income (wages,
salaries and commission) and unearned income (dividends, interest and
rents).
CAPITAL GAINS TAX
This is a Tax that is payable whenever you receive a sizable amount of
money. It could be from an investment or from the sale of a property. It is
usually of two types, Short Term Capital Gains from investments held for
less than 36 months and Long Term Capital Gains from investments held
for longer than 36 months.
CORPORATE TAX
Corporate Tax is the Income Tax that is paid by companies from the revenue
they earn. This Tax also comes with a slab of its own that decides how much
tax the company has to pay. For example a Domestic Company, which has a
revenue of less than Rs. 1 crore per annum, won’t have to pay this tax but
one that has a revenue of more than rs. 1 crore per annum will have to pay
this Tax. This Tax is one of the major sources of revenue for government.
➢ Corporate Tax
➢ Income Tax
➢ Wealth Tax
➢ Gift Tax
➢ Expenditure Tax
➢ Interest Tax
➢ Securities transaction Tax
➢ Perquisite Tax
➢ Banking cash transaction Tax
II. INDIRECT TAX
Indirect taxes The (Goods and Service Tax) GST is an Indirect Tax which
means that the tax is passed on till the last stage wherein it is the customer
of the goods and services who bears the tax. GST is a consumption based tax
levied on sale, manufacture and consumption on goods & services at a
national level. This tax will be substitute for all indirect tax levied by state
and central government. Exports and direct tax like income tax, corporate
tax and capital gain tax will not be affected by GST. GST would apply to all
goods other than crude petroleum, motor spirit, diesel, aviation turbine fuel
and natural gas. It would apply to all services barring a few to be specified.
With the increase of international trade in services, GST has become a global
standard. The proposed tax system will take the form of “dual GST” which is
concurrently levied by central and state government. This will comprise of:
➢ Central GST (CGST) which will be levied by Centre
➢ State GST (SGST) Which will be levied by State
➢ Integrated GST (IGST) – which will be levied by Central
Government on inter-State supply of goods and services.
➢ Many taxes has been subsumed under GST which are as under.
Central Indirect Taxes & Levies
Central Excise Duty, Additional Excise Duties, Excise Duty levied under the
Medicinal Preparations (Excise Duties) Act, 1955, Service Tax, Additional
Customs Duty (CVD), Special Additional Duty of Customs, Central Surcharge
and Cess
State Indirect Taxes & Levies
VAT / Sales Tax, Entertainment tax (other than the tax levied by local bodies),
Central Sales Tax, Octroi and Entry Tax, Purchase Tax, Luxury Tax, Taxes on
Lottery, Betting and Gambling, State Cesses and Surcharges.
PROPERTY TAX – MUNICIPAL TAX:
Also known as Property Tax or Real Estate Tax, this is one of the taxes levied by
local Municipal Bodies of every city. These Taxes are levied in order to provide
and maintain the for basic civic services. All owners of Residential or
Commercial Properties are subject to Municipal Tax.
➢ Custom duty & Octroi
➢ Entry Tax
➢ Excise Duty
➢ Gift Tax
➢ GST – goods and service tax
➢ Professional Tax
➢ Property Tax – Municipal Tax
➢ Sales Tax
➢ Stamp duty, registration fees, transfer Tax
➢ Toll & road Tax
➢ Value added Tax
➢ Wealth Tax
10. IT & E-commerce Law
The team has considerable experience in advising companies in information
technology and outsourcing sectors and on various legal issues involving
privacy, protection of data and online gaming/ gambling.
The team members have advised and assisted companies in matters relating
to data theft, hacking, phishing, pharming, spamming, pornography, liability
of service provider obligations on intermediaries and network service
providers, data centers etc. The team advises clients on various provisions of
the Information Technology Act and rules including offences/ violations
committed thereunder. The team has advised and assisted several companies
in structuring, commencement of business operations in online gaming/
gambling sector and has assisted them in drafting, negotiating and finalizing
related commercial and licensing contracts.
The team members have advised clients on issues relating to e-commerce
transactions, e-contracts and website development (associated contracts)
apart from assisting them in negotiating and finalizing contracts pertaining to
software licensing, software development, and master services agreements,
service level agreements etc. The team members also advise clients on issues
relating to protection, transfer and storage of data (considering European
Union’s Data Protection Directive) including drafting of privacy policies and
providing advice on data protection compliance.
Our services in the technology and outsourcing sector include:
• Online gaming and gambling including issues relating to virtual world/
social networks;
• Internet and e-commerce issues including advice on B2B/ B2C trading
and associated contracts (such as software development and license
agreements);
• Structuring of investment and commercial agreements for joint ventures,
business transfer, mergers and acquisitions etc.;
• Data Protection and privacy including confidentiality agreements;
• Equipment procurement, outsourcing and facility management
agreements;
• Service provider and re-seller arrangements;
• IT Outsourcing and Call Centre Operations;
• Issues arising out of Information Technology Act and rules framed
thereunder;
• Advisory and assistance in corporate commercial issues including
company incorporation etc.; and
• Advisory and assistance on tax related issues.
