Financial Gym

Starting and running a small business is a dream for many people. But it can be difficult to get the funding you need to get your business off the ground. That's where small business loans come in. In India, there are a number of government and private sector loan options available for small businesses. In this blog post, we will have a look at some of the most popular small business loan schemes and options in India. Here is an interesting fact: Did you know that the Indian government has set a target of lending Rs. 30 lakh crore to MSMEs by 2025? This shows the government's commitment to supporting the growth of small businesses in India. Table of Contents: Popular Small Business Loan Schemes in India Other Government Loan Options for Businesses Private Sector Loan Options for Small Businesses How to Apply for a Business Loan Tips for Getting a Business Loan Conclusion Popular Small Business Loan Schemes in India ...

Introduction Share trading is a popular investment option in India, with millions of people participating in the stock market. Share traders can make profits by buying and selling shares at a higher price than they bought them. However, share traders also need to be aware of the tax implications of their trading activity. Table of Contents: Introduction Capital gains Profit and gains of business or profession How to reduce tax liability Conclusion In India, share trading profits are taxed under two heads: Capital gains tax (CG) : CG is levied on the profits from the sale of shares held for more than one year. Profit and gains of business or profession (PGBP) : PGBP is levied on the profits from the sale of shares held for less than one year, as well as on the profits from intraday trading and F&O trading. Capital gains CG is calculate...

  In the dynamic world of finance, auditors play a pivotal role in ensuring the accuracy and integrity of financial information. They are the guardians of financial transparency, diligently scrutinizing financial records to uphold the highest standards of corporate governance. In India, the role of an auditor is particularly crucial, given the country's rapidly growing economy and complex regulatory landscape. According to a report by KPMG, India has the third-largest number of auditors in the world, with over 2.8 lakh registered chartered accountants as of 2019. The audit market in India is estimated to be worth $2 billion, growing at a compound annual growth rate (CAGR) of 7% from 2014 to 2019.  Table of Contents: Unveiling the Auditor's Mandate Delving into the Auditor's Responsibilities Navigating the Regulatory Landscape The Auditor's Impact Conclusion Unveiling the Auditor's Mandate An ...

  In the dynamic and ever-evolving business landscape of India, establishing a company is a momentous step towards entrepreneurial success. However, the process of company registration can seem like a daunting maze of paperwork and formalities. Fear not, aspiring entrepreneurs, for this comprehensive guide will illuminate the path towards seamlessly registering your company in India. Demystifying the Process: A Step-by-Step Journey 1. Choose Your Company Structure: Embark on your entrepreneurial journey by selecting the most suitable company structure for your business aspirations. Whether it's a private limited company, a limited liability partnership, or a one-person company, each structure offers distinct advantages. 2. Obtain Director Identification Number (DIN): The DIN is a unique identification number for directors of companies in India. Obtaining DIN for all proposed directors is an essential step. 3. Apply for Digital Signature Certificate (DSC): The DSC is the digital equ...

 The Indian stock market has achieved a historic feat by crossing the 20,000 mark for the first time ever. The Nifty 50 index, which represents the top 50 companies listed on the National Stock Exchange, touched an all-time high of 20,005.40 on September 11, 2023. This milestone reflects the strong performance of the Indian economy, the resilience of the corporate sector, and the optimism of the investors. But what does this landmark achievement mean for the investors? Is it a sign of a bull market or a bubble? Should they buy, sell, or hold their stocks? How should they plan their investment strategy in the light of this event? Here are some insights and tips to help you make informed decisions.   Table of Contents: Why did Nifty reach 20,000? What are the implications of Nifty crossing 20,000? How should investors plan their strategy in light of Nifty crossing 20,000? Conclusion Why did Ni...

    The term “CTC” is kind of misleading. But, it clings on based on a technicality. “Cost-to-company” is technically correct, since it’s the cost companies incur on an employee. But, why should an employee care about the cost to the company? He only cares about what he gets. And what he gets is very different from the cost incurred by the company. But, in the long run, he gets almost what was promised. In this post, we are going to discuss some of the common CTC components, their benefits to employees, and their taxability. Table of Contents CTC Components table Leave Travel Allowance Other Allowances and Services Provident Fund Gratuity CTC Components table Sl. No. Particulars Received in Cash / Benefit availed in future Taxability 1 Basic Salary Cash Fully taxable ...

 Let’s take a trip down the memory lane to the days when a new kind of digital currency stormed the internet, turning rags to riches and then consequently riches to rags. Why did this catch the eyes of so many people? What made this different from other types of investments or currencies? A lot of people just jumped in the train without knowing answers to these questions, much like how they do in stock markets. The wise jumped off the train just as swiftly when they were ahead. So, let’s see what the fuss is all about and how it is used and taxed in India? The Technicalities How to obtain/buy cryptocurrencies? Is cryptocurrency a currency or a tradable instrument? Taxation in India Why is cryptocurrency so much frowned upon? Should you buy it? The Technicalities Cryptocurrency is a digital currency secured by cryptography and are decentralized networks based on blockchain t...

GST is a concept that every common man thinks they know about, and some even try to advise the professionals on it. But, what is GST? As I said in my second post, GST is an indirect tax. You are paying taxes to the government irrespective of your income. It is levied as a percentage on product/service value. How is GST different from previous taxes? GST was introduced to achieve the objective of “One Nation, One Tax”. The primary taxes that GST replaced are Value Added Tax (VAT), Excise Duty, Customs Duty, Central Sales Tax (CST) and Service Tax. Other secondary taxes like entertainment tax, luxury tax, tax on gambling, betting, and lottery, etc. Contrary to popular belief, GST was not introduced by the current government. In 2000, the then PM Sri Vajpayee set up the committee to draft the GST law. In 2006, the then Finance Minister P Chidambaram proposed the introduction of GST in the budget. So, in reality, neither political party can claim GST as their baby. And...

  Let me start by saying that whenever I say “Investment”, I mean long-term or at least mid-to-long-term investments. Not in this post, and not in any future posts will I talk about making money quickly. Because there is no such thing as quick money making. There is only quick money-losing. So, if you are looking for that head over to Instagram or YouTube where a lot of people talk about how they made Rs. 10 lakhs from just Rs. 10 thousand. And I also won’t talk about investing in Cryptocurrency. Okay, let’s start. In my other post, I talked about investments for which Income Tax deduction is available. An investment is something you make in order to get some returns on your money. For most of us, it is more than savings, but less than our primary income. It goes without saying that with higher risk you will get higher returns. I remember the days when Savings accounts used to fetch 5% interest. Now, FDs are in that segment. Would we see days where ...

“Can I claim HRA if I am living with my parents?” is one of the most frequent questions that I get. In this post, I’m going to clarify that along with many other doubts you may have had or will have. I will tell you how to save as much tax as possible. All the things here will, of course, be legal ways to save tax. Table of Contents What is HRA? How HRA is taxed How much of HRA can be claimed as an exemption? Can I claim the exemption if I’m living with my parents? Is it possible to claim both HRA exemption and housing loan interest and principal deduction? Why is my employer asking for the landlord’s PAN? Can I claim just rent paid as a deduction? What is HRA? HRA or House Rent Allowance is a part of the salary provided by employers in order to help their employees in regard to their rent payments. Normally your CTC consists of different components like:     1. Basic salary. ...

  In my last post, I talked about investments that you can make in order to avail deduction from your income. These investments can be made by all individuals regardless of their nature of income. The deductions are covered under Chapter VI of the Income Tax Act. Among those, we will be specifically talking about section 80C and its subsections. Table of Contents When should I invest? Investment proof for IT Return List of eligible investments Limit on deduction availability Conclusion When should I invest? Let me first explain the concept of Financial Year and Assessment Year. In Income Tax, you come across the term “Assessment Year” more than “Financial Year”. A Financial Year (or Previous Year) that starts in April and ends in March, is the one in which you have actually earned money or incurred expenses. The current financial year is 2022-23. An Assessment Year is the one i...