The Income Tax Act,1961 is the set of rules and regulations acting as a comprehensive framework upon which the Income Tax Department levies, administers, collects and recovers taxes. It is a form of direct tax which is borne by the taxpayer. The Ministry of Finance under the Central Government controls this form of taxation. The objective of the act is to maintain economic stability , controlling private spending and ensuring progressive taxation. The act encompasses direct taxes on income from diverse sources like salary, business, property, capital gains. Every citizen of India has to pay tax on their income to the Government of India as per the Income tax rules and regulations. Whether it is an individual, association or a firm, LLP, local authority or a Hindu undivided family, income for each financial year is taxed in accordance with Income Tax laws. Hence, filing an Income Tax return (ITR) on an annual basis is essential.<\/p>\n","protected":false},"excerpt":{"rendered":"
The Income Tax Act,1961 is the set of rules and regulations acting as a comprehensive framework upon which the Income Tax Department levies, administers, collects and recovers taxes. It is a form of direct tax which is borne by the taxpayer. The Ministry of Finance under the Central Government controls this form of taxation. The objective of the act is to maintain economic stability , controlling private spending and ensuring progressive taxation. The act encompasses direct taxes on income from diverse sources like salary, business, property, capital gains. Every citizen of India has to pay tax on their income to the Government of India as per the Income tax rules and regulations. Whether it is an individual, association or a firm, LLP, local authority or a Hindu undivided family, income for each financial year is taxed in accordance with Income Tax laws. Hence, filing an Income Tax return (ITR) on an annual basis is essential.<\/p>\n