r/TaxPlanning_India

I need help setting up GST via a virtual office set up and filings based in Bangalore any help would be appreciated

I’m no longer doing any business. I used to run a small e-commerce business, but I got busy with my studies and job, so I don’t have time for it anymore.
I’m planning to surrender/cancel my GST registration. I’ve been filing all my GST returns myself, and many of them have been NIL since I haven’t done any business for around 1 year.
I’m based in Mumbai.
Is GST cancellation through REG-16 fairly easy to do myself? Is there anything specific I need to take care of before applying?

And one more thing — do I have to give the sweet box to the GST officer one more time? 😂 Or is the whole process online now?
Would appreciate advice from anyone who has actually cancelled their GST registration in Mumbai.

I'm a 35M based in Mumbai, looking for advice from folks here on optimizing tax deductions and figuring out the best ways to maximize my take-home pay.

1. My Current Pay Structure

Total Fixed CTC: ₹37,10,000 / year

Basic Salary: ₹17,50,000 / year (~₹1,45,833/month)

Flexible Allowances (HRA + Conveyance): ₹17,50,000 / year (Conveyance is ₹19,200/year, remainder is HRA)

Employer PF Contribution: ₹2,10,000 / year (12% of Basic)

Gross Annual Salary (CTC − Employer PF): ₹35,00,000 / year

(Target variable/bonus exists up to ~₹40.25L Total Reward, but I'm planning purely around fixed pay for monthly cash flow).

2. Current Lifestyle & Fixed Commitments

Rent: ₹20,000/month (₹2,40,000/year).

Dependents/Health: No pre-existing ailments. Covered under corporate health insurance, but buying an independent personal base (₹5L–₹10L) + Super Top-up (₹20L–₹25L).

Loans: No active home loans or educational loans right now.

3. Company Flexi-Benefits Available to Me

My company allows restructuring from the balance HRA pool for:

Corporate NPS (Sec 80CCD(2)): Up to 10% of Basic (~₹1.75L/year).

Leave Travel Allowance (LTA): Can be declared against domestic travel bills.

4. My Dilemma / Current Math

New Tax Regime: With the standard deduction (₹75k) and Corporate NPS under 80CCD(2) (₹1.75L), my taxable base drops to ~₹32.5L–₹33.25L, putting monthly TDS around ~₹48.8k (in-hand ~₹2.07L–₹2.10L after PF/NPS).

Old Tax Regime: With 80C capped at ₹1.5L (already breached by mandatory PF of ₹2.1L), ₹1.75L Corporate NPS, and standard deduction, my HRA deduction is only ₹65k/year (since ₹20k rent is very low compared to my 10% Basic threshold of ₹1.75L). This makes Old Regime TDS come out higher (₹52.8k/month).

Questions for the community:

Old Regime Levers: What additional legal avenues (outside of buying a house for Section 24(b) or massive 80D senior citizen health premiums) can high earners with low rent utilize to significantly bring down taxable income in the Old Regime?

New Regime Optimization: For those in a similar ₹35L+ gross bracket under the New Regime, are there any other flexi-allowances or structuring hacks I should look into?

EPF + VPF vs. Mutual Funds: Since I'm in the 30% slab, is it worth maxing VPF up to the ₹2.5L tax-free interest limit, or should I channel that surplus directly into equity mutual funds given a 10+ year horizon?

Appreciate any insights!

I need some clarification regarding capital gains tax on an inherited property.

Our family has an old property originally purchased around 1960. It is around 400 sq yd with a house and was later divided into 4 shares. My father’s share is 100 sq yd, including part of the existing house.

The current government/stamp value for his 100 sq yd share is around ₹46 lakh, but the expected actual sale value is around ₹1.10 crore.

If we sell it for ₹1.10 crore, our plan is to use the money as follows:

• ₹50 lakh – purchase a 2-BHK

• ₹60 lakh – purchase a plot

So the entire ₹1.10 crore would be reinvested.

My questions are:

1. Can the ₹50 lakh spent on the 2-BHK be claimed under Section 54 and reduce the capital gains tax?

2. Does purchasing the ₹60 lakh plot provide any capital-gains exemption?

3. If instead we buy the ₹60 lakh plot and construct a residential house on it, would the plot + construction qualify for Section 54?

4. How should the 1 April 2001 FMV be determined since we don't have the old valuation records?

5. Considering the property was inherited and partitioned over the years, what would be the correct cost of acquisition for calculating LTCG?

I’m trying to understand the legally correct way to structure this before selling.

Hi All,
So I never filed tax since last 4 yrs as my work salary did not reach above tax segment.

This year I filed but got 1 day delayed my salary is less than 10LPA & sadly got mail that I have to pay 5k, shocking to be Frank.

Felt like an idiot to file tax on such low salary. Received post as well what can I do now?? Can I ask them to waive off citing low salary pls help.

I am an online tutor who engages directly with students - I get payments from their parents directly. I tutor school students for common subjects like English, geography, etc. I do not work for any tutoring agency.

From what I have researched, tutoring does not come under 44AA list of professions. But 17006 code of 44AD covers coaching business. There is also 17007 which covers other education services. So my doubts are currently-

- Can I really file under 44AD?

- If so, is 17006 correct for me or 17007?

I am a single tutor, I don't employ any tutors under me. I also don't have any other source of income (I am not a school teacher).

- Also if in future I have to apply for GST if I cross 20 lakh threshold, will it be possible to do registration and filings by myself? Without help of a CA? I am asking because I believe the nature of my work is very straightforward.

Thank you for your time in adavance

I received an intimation under 143(1) for my original ITR (ack no. is same as the org. ITR ack no.) - I got demand for ~4.8k rupees which I already paid during original ITR filing. But I could not fill the self-assessment challan details in the ITR. I then filled a revised ITR next day (31st July) filling all details, before the original ITR got processed.

The self-assessment is visible in AIS too.

I did not receive any intimation for my revised ITR yet. I got intimation for original ITR after I filed revised return.

I have an outstanding demand in income tax portal. What should I do?

How should I respond to the demand? Should I disagree or agree with this demand?

I use my wife’s Demat account for investments and file her ITR showing zero income. In her AIS, I have submitted that the income belongs to her spouse.

For the capital gains arising from investments in her Demat account, I file the ITR and show the income as “income of a specified person” under clubbing provisions, and pay the applicable tax.

Now, I want to purchase a residential property in my name during this financial year.

Can I claim relief under Section 54F?

Hi friends! Can someone help me understand that if my company is paying me a retention bonus of 2lakhs, which is applicable for a clawback, so if I leave the company and pay them back the amount, will I still have to pay the tax?

Is there any measure to settle it?