Types of Person as defined in Income tax Act (playlist)

Playlist Title - Types of Person as defined in Income tax Act



Playlist Url - https://www.youtube.com/playlist?list=PL_16BSQMjAHMA84W9Bnuqiqsk0BXWGE3x

Solution - By Amlan Dutta



It is not always that a individual like you and me shall be filing  tax returns ....even companies file returns for showing income and taxes paid

Similarly there are many entities which qualify as per definition of the person of the income tax act



Lets have a look at a few of them with a actual example



i am a bachelor , haven't married , am employed in BHEL ....as such i get salaried income and i file my return of income as a individual

---wait a minute --what did i say ------ Individual - The most common type of person , every unique individual like you , me , people in general are individual's



Then the doomsday arrives , i get married to a girl say pallavi ....automatically our family happens by the deed of marriage , now as per person definition , our family qualifies as a HUF ...i apply a pan for Dutta HUF and go to ICICI bank to open a bank account for Dutta HUF

Then i transfer the rental income that i get from my dadaji's property to this bank account ....I create a deed mentioning the HUF members , co parceners and the source of fund to the HUF



I file my own return for the salaries income and as far as the ancestral property income is concerned , the HUF (Dutta HUF ) files the return of income using ITR 2





Sometime later , i decide that i , and my good friends , Dev and prashant shall form a body ....since we are all individuals , we form what is aclled a body of individual 's...again a seperate person as per income tax act





Then one day , i decide to associate with my friends HUF and another couple of friends ....since each is a person and now we have associated together , this is called a association of persons , which can again file it's own return



5 years down the line , i decide that i will create a partnership with Prashant and Runld and get the partnership regsitered through the partnership act clearly mentioning the remuneration in the deed and other conditions ....again a partnership and Limited liability partnership is again person as per income tax act





Then 10 years down the line , i decide to open my company called FRO ltd and file my return of income (ITR 7 )



Wheni retire i decide to register a trust for social and charitable purposes

again , Trust is a separate person as per act







Each person listed in the story above follows definite taxation and incentives

When you understand all of that , then you understand direct taxes ,



Hope all this makes sense ,





Peace ,



Amlan Dutta