I'm an upcoming A0 at T1 firm. I was excited to receive an offer from the Cap Marks team but in the past few months, reading a lot of threads on LI and also interacting with a few people I feel that Cap Marks is just very overworked.
Is it the same with other practice areas in T1 firms or is Cap Marks the winner of "the worst work-life balance and zero weekends" award?
I am an upcoming associate at a tier 1 law firm in Mumbai. I am confused about the income tax structure and the benefit of 44ADA which is available to professionals. Can anyone from the industry with experience help me out on this? Here are a few doubts which I have:
1. Can I claim other exemptions apart from 44ADA like 80C or 80GG (rent) etc.
2. Does the fact that 50% of my income is deemed "expense" mean that it should reflect in my bank account (for example if I earn 1lakh per month, does it mean that my bank account should reflect that I do not have more than 50k since I am claiming it as an expense)
I had also referred a CA regarding this and he gave me an example of the tax breakup which goes like:
Assuming the package is of 16 LPA. So by 44ADA, 50% is deducted and the taxable income is 8L. On this 8L, no other deductions can be claimed so by applying new regime, it comes to 36,400 (0-3L: no tax, 3-6L: 5% i.e. 15,000 and 6-8L: 10% i.e. 20,000 plus cess 4%)
Is this how the tax is paid or is there a different practice which goes around?
There is also another thread on LI about this but I didn't quite get it so looking for answers from experienced people with simplified version.
Is it the same with other practice areas in T1 firms or is Cap Marks the winner of "the worst work-life balance and zero weekends" award?
1. Can I claim other exemptions apart from 44ADA like 80C or 80GG (rent) etc.
2. Does the fact that 50% of my income is deemed "expense" mean that it should reflect in my bank account (for example if I earn 1lakh per month, does it mean that my bank account should reflect that I do not have more than 50k since I am claiming it as an expense)
I had also referred a CA regarding this and he gave me an example of the tax breakup which goes like:
Assuming the package is of 16 LPA. So by 44ADA, 50% is deducted and the taxable income is 8L. On this 8L, no other deductions can be claimed so by applying new regime, it comes to 36,400 (0-3L: no tax, 3-6L: 5% i.e. 15,000 and 6-8L: 10% i.e. 20,000 plus cess 4%)
Is this how the tax is paid or is there a different practice which goes around?
There is also another thread on LI about this but I didn't quite get it so looking for answers from experienced people with simplified version.