Structuring Success | Tax and Business Blogs by EAZTAXBIZ

  8 Essential Steps to Set Up for the  New Financial Year 2025-26 As April 1st, 2025, marks the beginning of the Financial Year 2025-26 (FY26) , businesses must ensure a seamless transition by implementing essential financial, compliance, and operational updates. Here are eight crucial steps to effectively set up for the new financial year: 1. Start a New Invoicing Series for FY26 To maintain clarity and ensure compliance, businesses should establish a new invoicing series beginning April 1, 2025. This helps in: Differentiating invoices from the previous financial year. Avoiding duplication and confusion in record-keeping. Enhancing transparency in audits and tax filings. 👉 Example: If your invoice series was INV/24-25/001 , start the new year with INV/25-26/001 . 2. Ensure E-Invoicing Compliance (If Applicable) Businesses with a turnover exceeding ₹5 Crore in FY 2024-25 must implement E-Invoicing from April 1, 2025. Key actions include: Registering on the Invoice Registr...

  Do You Know? The Colorful Connection Between Holi and India's Corporate Tax Hues! Holi, the festival of colors, is more than just a celebration—it's a vibrant expression of unity, joy, and the triumph of good over evil. But did you know that India's corporate tax system also has its own "colorful" spectrum? Much like the diverse hues of Holi, India's corporate tax rates come in different shades, each representing unique fiscal policies. Let’s explore this fascinating connection! Holi’s Colors and the Shades of Corporate Taxation Just as Holi is celebrated with bright powders of different shades, India's corporate tax rates come in various "hues," offering businesses different options based on their eligibility and structure. The 15% "Hue" (Section 115BAB): A Bright Boost for Manufacturing For companies engaged in manufacturing, this tax rate is like the fresh burst ...

  How to Claim DTAA Benefits & Foreign Tax Credit: A Guide for Indian Residents with US Income Double Taxation Avoidance Agreement (DTAA) is a relief mechanism that prevents taxpayers from being taxed on the same income in two different countries. If you are an Indian resident earning income abroad or a Non-Resident Indian (NRI) earning income in India, you can claim DTAA benefits to avoid double taxation. This requires obtaining a Tax Residency Certificate (TRC) via Form 10FA and claiming Foreign Tax Credit (FTC) through Form 67 . 1. Understanding DTAA and Its Benefits DTAA is an agreement between two countries to provide relief to taxpayers by either exempting the income in one country or providing a tax credit for taxes paid in another country . India has DTAA agreements with multiple countries, ensuring that an individual or business does not pay tax twice on the same income. Types of DTAA Relief Exemption Method : Income is taxed only in one country. Tax Credit Method : ...