There are many provisions illustrated under income tax, but some of the most common ones include:

• Deductionsunder income tax act: There are a number of deductions that taxpayers can claim against their income, such as medical expenses, home loan interest, and donations to charity.
• Exemptionsunder income tax act: Certain types of income are exempt from tax, such as income from life insurance policies and pensions.
• Set-offsunder income tax act: Taxpayers can use losses from one year to offset income in another year.
• Advance taxunder income tax act: Taxpayers with a high income are required to pay advance tax during the year. This helps to ensure that they do not have a large tax bill to pay at the end of the year.
• Tax slabsunder income tax act: Income is taxed at different rates depending on the taxpayer’s income For example, the highest income earners pay a tax rate of 30%.

These are just a few of the many provisions illustrated under income tax. The specific provisions that apply to a taxpayer will depend on their individual circumstances.

EXAMPLES

• A taxpayer who incurs medical expenses of Rs. 50,000 in a year can claim a deduction of Rs. 50,000 against their incomeunder income tax act.
• A taxpayer who receives a pension from the government is exempt from tax on that incomeunder income tax act.
• A taxpayer who has a loss from their business in one year can carry forward that loss to offset their income in future years.underincome tax act
• A taxpayer who is required to pay advance tax of Rs. 10,000 in a year can pay that amount in four equal instalments of Rs. 2,500 eachunder income tax act.
• A taxpayer who earns an income of Rs. 10 lakhs in a year will pay a tax of Rs. 3 lakhs under income tax act
• PROVISION ILLUSTRATED UNDER INCOME TAXEXAMPLESunderincome tax act: Section 80-IC: This provision allows a deduction of up to 100% of the profits and gains of an undertaking located in a special category state, such as Himachal Pradesh, Uttarakhand, Sikkim, Jammu and Kashmir, and North Eastern states.
• Section 80-IEunder income tax act: This provision allows a deduction of up to 100% of the profits and gains of an undertaking located in a notified area in a North Eastern state, such as Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, and Tripura.
• Section 80JJAunder income tax act: This provision allows a deduction of up to Rs. 100,000 for the profits and gains of a business of collecting and processing bio-degradable waste.
• Section 80JJAAunder income tax act: This provision allows a deduction of up to Rs. 1.5 lakh for the profits and gains of a business employing new workmen.
• Section 80LAunder income tax act: This provision allows a deduction of up to Rs. 10 lakhs for the profits and gains of an offshore banking unit.

FAQ QUESTIONS

• Taxation of agricultural income in Keralaunder income tax act: This FAQ explains the tax provisions for agricultural income in Kerala.
• Taxation of non-resident Indians in Maharashtraunder income tax act: This FAQ explains the tax provisions for non-resident Indians in Maharashtra.
• Taxation of clubs and associations in Tamil Nadu: This FAQ explains the tax provisions for clubs and associations in Tamil Nadu.

CASE LAWS

• Section 281of the Income Tax Act, this section deals with the taxation of certain transfers that are considered to be void. Case law has clarified that this section applies to transfers that are made with the intention of avoiding tax liability.
• Section 143(2)of the Income Tax Act,: This section allows the Assessing Officer to call for information and documents from the assesses in order to ensure that the assesses has not understated their income. Case law has held that this section is a powerful tool that can be used by the Assessing Officer to investigate potential tax evasion.
• Section 68of the Income Tax Act, This section deals with the taxation of income that is derived from undisclosed sources. Case law has held that this section can be used to tax income that is derived from illegal activities, such as drug trafficking and money laundering.
• Section 80Cunder income tax act: This section allows taxpayers to claim deductions for certain investments, such as life insurance premiums and investments in Provident Funds. Case law has clarified that the deductions under this section are not available for investments that are made with the intention of avoiding tax liability.

The specific provisions that are illustrated under income tax case laws for a specific state will depend on the laws of that state. For example, the state of Maharashtra has a provision that allows taxpayers to claim a deduction for the cost of education of their children. This provision has been illustrated by case law to clarify