Which ‘YEAR’ is this? Understanding Assessment Year (AY), Financial Year (FY), Previous Year (PY) and Preceding Year

A “Year” is very important. The Income Tax Act (ITA) and Foreign Exchange Management Act (FEMA) both mention various years, such as Assessment Year, Previous Year, Financial Year, Calendar Year, Preceding Year, etc. The deadlines, reporting requirements, limits, etc. are prescribed based on a “Year”. It is very important to understand the differences between the […]

Which Act to Use – Income Tax Act (ITA) or Foreign Exchange Management Act (FEMA)?

Foreign Exchange Management Act (FEMA) and the Income Tax Act (ITA) have different definitions, provisions, rules, regulations, procedures and requirements. The definition of Resident or residential status is just one of the many examples. FEMA regulates anything related to foreign exchange; whereas, the ITA regulates anything related to taxation. For any investment related questions by […]