Structuring Success | Tax and Business Blogs by EAZTAXBIZ

  80- IAC Start-Up India ! Tax Exemption For 3 Out of 10 Consecutive Years Introduction Starting and running a business comes with numerous financial challenges, especially in the early years. To support startups and foster innovation, the Indian government introduced Section 80-IAC under the Income Tax Act , offering tax exemptions to eligible startups. This provision helps new businesses sustain and grow by reducing their tax burden. In this blog, we will explore the benefits, eligibility criteria, compliance requirements, and recent amendments under Section 80-IAC. What is Section 80-IAC? Section 80-IAC provides tax incentives for DPIIT-recognized startups engaged in the development, deployment, or commercialization of innovative products, processes, or services. It allows startups to claim a 100% tax exemption on profits for a specified period, giving them a significant financial advantage. Key Features of Section 80-IAC 1. Eligible Businesses Section 80-IAC applies to start...

  Tax Planning Through Hindu Undivided Family (HUF): A Smart Way to Save Taxes Tax planning is an essential part of financial management, and one of the most effective ways to optimize taxes in India is through a Hindu Undivided Family (HUF) . Many people are unaware that HUF is a legally recognized separate entity under the Income Tax Act, offering multiple tax benefits. Let’s explore how HUF can be leveraged for smart tax planning. What is a Hindu Undivided Family (HUF)? A Hindu Undivided Family (HUF) is a distinct legal entity formed by members of a Hindu, Sikh, Jain, or Buddhist family. It consists of: Karta – The head of the family, usually the eldest male or female member, who manages the HUF. Coparceners – Lineal descendants of the Karta, including daughters (post-2005 amendment to the Hindu Succession Act). Members – Other family members who may not have direct rights to ancestral property but are part of the HUF. The key a...