Direct Tax Advisory: A business company in India may need to pay three kinds of direct taxes- Corporate Taxes, Minimum Alternative Tax (MAT)and other direct taxes if applicable. Following are the broad guidelines for these taxes –
Corporate Tax– For a domestic company, the prevailing tax rate is 25%. In addition to this, a surcharge may apply (based on the company’s profit levels) and a cess of 4% applies to all companies (irrespective of profit levels). Foreign companies are required to pay a basic tax rate of 40% (plus surcharge and cess).
Minimum Alternate Tax– Because of the differences between calculation of accounting profit and taxable profit, the Government introduced MAT which is applicable on book profits (if they exceed tax profits). The MAT rate is currently 18.5% of the book profits plus surcharge and cess. Every entity would need to pay the higher of corporate tax or MAT.
Indirect tax services: Tax system in India has undergone a change majorly in July 2017 with the introduction of GST, replacing the erstwhile systems of excise, VAT, Service Tax, etc. This new policy provides greater transparency and fairness across the range of goods and services providers, however it also introduces significantly higher compliance requirements in the form of multiple returns every month, multiple tax payments every month and constant reconciliation of tax credits being claimed by each entity. All GST filings are necessarily required to be done online. Because of these new changes several businesses are opting for professional indirect tax services, instead of placing the responsibility on their own teams. A good GST services provider understands the system and challenges well and ensures that the transition to the new tax regime is seamless. At Jilian, we assist our clients periodically the following indirect tax services:
GST registration and migration
Ongoing calculation of GST liabilities and credits
Filing of GST returns
Liaising with tax authorities in cases of tax demands, scrutiny or disputes for GST
Interpretation of GST Act and specific sections based on clients’ industry, products, exporter/importer status and other unique circumstances
A good tax planning service makes paying taxes smartly by utilizing the provisions in the Tax Laws to minimize the tax liability. The best tax saving plan will include an integrated approach over tax savings on the financial goals. Tax preparation at Jilian optimizes tax planning and management by knowing the tax liability and he impact of tax savings on your available surplus by evaluating all your tax saving investments based on their merit. We at Jilian design best tax saving plans through detailed assessment, by avoiding unnecessary tax mistakes that cause money outflow in the name of tax savings.
No one likes to pay Taxes, but if something binds you under the jurisdiction of law, it becomes more of a responsibility and less of an obligation. At Jilian we have a team of tax professionals equipped with knowledge and experience necessary to ensure the safety our clients. We plan the tax payments in such way so as to avoid the tax payment at the same time complying with the provision of law. We serve both foreign and domestic entities and individuals while opting only legal tax practices. Our team of experts provide our clients compliance with ever changing laws and regulations. Our Tax professionals provide assist through flexible hours, flexible locations and guaranteed results. And, amidst the Covid-19 pandemic, Jilian has an efficient business continuity plan in place along with keeping in mind our ginormous responsibility of safe guarding the health of our employees and of course, our clients and therefore, ensure to keep our client service process hassle-free and flexible.
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