CHAPTER 1

1. INTRODUCTION

Financial services are that economic services which presuming by the financial industry. It
has a big scope for the businesses that direct money, bank insurance company, credit card,
stock brokerages, individual managers and investment fund.

Every person who is occupied in financial activities needs financial services, our
organization M/s. Rai Tax Consultants provides all the financial services to Individuals,
Companies, etc. to make them understand all financial feature of the market. This report is
connected to financial services provided by our organization i.e. ITR filing, GST, KYC of
directors, etc.

This report is all about the financial services presuming by our organization to their clients
including Individuals, Companies etc, and help them to file their ITR, file their GST returns
of current Financial Year, KYC of directors.

1.1 Background

Income tax

Tax collected by the central Government for each financial year on the total taxable income

of an assesses earned in the previous year is called income tax.

“According to Income tax act 1961 sec. 2 (7) A person liable to pay any tax or any other
sum of money under this act is known assesses”

“Any person who is an assesses and whose total income cross the exempted limit shall be
liable to pay income tax at the rate” authorized by the IT department, “such income tax shall
be paid on the total income of that financial year”. There are different rates in different slabs
for different age group people in Income Tax.

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Income Tax Return

“Income Tax Return, it is a statement of income & tax”, which is fit out by an assesses to the
IT department in authorized form. Every year different Income Tax Return form are issued
by Income Tax Department for different assesses for different sources.

Income Tax Return is a form where a taxpayer declare his total income or tax liability in the
front of income tax department. There are various type of ITR Form like as ITR1, ITR2,
ITR3, ITR4, ITR5, ITR6 etc., for different taxpayer according to their source of income. In
simple word, if a assesses file ITR it means he declare his income willingly to the
government. ITR filing is also help full for taking bank loan, at the time of purchase house
property, business establishment, etc. But when you file late return the penalty of Rs. 5,000
are imposed and you are also not allowed for taking advantage of carry forward losses.

GST

“Goods and Service Tax is a value added tax which charged on the goods and services sold
for the domestic consumption. It is paid by the consumers, but it is collected by the
government from the business selling the goods and services. GST is the good source of
revenue for the government”.

“In India GST replaced many indirect taxes. On 29 March 2017, the Goods and Service Act”
was passed by the Parliament. But the Act came effect on “1st July 2017. Goods and Service
Tax Law in India is a multi stage, comprehensive, destination- based tax that is levied on
every value addition”.

In simple word, “GST is a indirect tax” which has replaced many indirect tax law like as
VAT (value added tax) , etc. GST is one tax which apply entire India.

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1.2 Scope and objective
“In India, income tax is levied on the individual tax payers on the basis of different tax slab
where different tax rates have been prescribed by the Income Tax Department”.
Tax Slabs
Table No. 1.1 “Income tax slabs for Individual Tax Payers (Less Than 60 years old ) for
FY 2018- Part 1”

Income tax slab Tax Rates Health and Education cess

Income up to Rs.2,50,000 No tax  
Income from Rs.2,50,001 – Rs.5,00,0000 5% 4%
Income from Rs.5,00,001 – Rs.10,00,000 20% 4%
Income more than Rs.10,00,0000 30% 4%

 “10% Surcharge is applicable when the total taxable income exceeds Rs.50 lakes up
to Rs. 1 corer”.
 15% Surcharge is applicable when the total taxable income exceeds Rs.1 core.

Table No.1.2 “Income Tax Slabs for Senior Citizens (60 years Old or More but less than
80 years Old) for FY 2018-19 Part -2”
Income Tax Slab Tax Rtes Health and Education cess
Income upto Rs. 3,00,000 No tax  
Income from Rs.3,00,001 – Rs.5,00,000 5% 4%
Income from Rs.5,00,001- Rs.10,00,000 20% 4%
Income more than Rs.10,00,000 30% 4%

 10% Surcharge is applicable when the total taxable income exceed Rs.50 Lakes up to
Rs.1 Core.
 15% Surcharge is applicable when the total taxable income exceed Rs.1 Core.

Table 1.3“Income tax slabs for Senior Citizens (80 years Old or More) 2018-19–Part 3”

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 Income Tax Slabs Tax Rate Health and Education Cess
Income up to Rs.5,00,000 No tax  
Income fromRs.5,00,001 – 10,00,000 20% 4%
Income more than Rs.10,00,0000 30% 4%

 10% Surcharge is applicable when “the total taxable income exceeds Rs.50 lakes up
to Rs.1 Core”.
 15% Surcharge is applicable , when the total taxable income exceed Rs. 1 core.

Table No.1.4 TYPES OF ITR

ITR forms for Individual

ITR1
ITR ITR ITR
Nature of income (Sahaj
2 3 4
)
Income form salary/pension ✓ ✓ ✓ ✓
Income from one house property ( excluding losses) ✓ ✓ ✓ ✓
Loss or income from more than one house property ✓ ✓
Agriculture income exceeding Rs.5000 ✓ ✓
Total income exceeding Rs.50 lakes ✓ ✓ ✓
Dividend income exceeding Rs.10 lakes taxable u/s
✓ ✓
115BDA
Unexplained credit or unexplained investment
✓ ✓
taxable at 60% u/s.68,69,69A, etc)
Income from other sources( other than winnings
from lottery and race horse or losses under thes ✓ ✓ ✓ ✓
head)
Income from other sources (including winnings from
✓ ✓
lottery and race horses)
Capital gain /losses ✓ ✓
Share of profit of partner from a partnership firm ✓ ✓
Income from business or profession(other than
 ✓
presumptive business)
Income from foreign sources or foreign assets or
having Signing authority in any account outside ✓ ✓
India

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Table No.1.5 Summarized Table Showing Applicability of ITR forms for taxpayers
other than individual tax payers:

Other Assessee ITR 5 ITR 6 ITR 7

Firm (including limited liability partnership firm) ✓
AOP(Association of Persons) ✓
BOI(Body of Individuals) ✓
Companies other than companies claiming exemption under
✓
Sec.11

Income Heads under ITR

In India, “Income are classified under the following heads:-

Heads of Income
1. Salaries
2. House Property
3. Profit and Gain of Business or Profession
4. Capital Gain
5. Other Sources”.
There is only one tax on the income calculated under various head, but there different rules
and method to calculate tax under each head of income.
There are five heads of income:
1.Income from Salary
“Salary is the remuneration which paid by the employer to his employee for the
services rendered for a certain time”. This income is taxable under income tax.
If there is no relation between “employer and employee, the income” shall not be
liable under this head.
In simple case ITR-1 has to go.

2. “Income from House Property

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Income earned from house property is the income which earned from house property in the
form of rent. In case if the property is not rented out, the tax should be calculated on the
expected rent”.
“Tax calculated under this head is not only include letting out house property but also include
commercial property”. It also include various deduction like as standard deduction,
Municipal taxes or deduction from interest on home loan etc
In case 1 house property ITR-1 has go but in case of two or more than two house property
ITR-2 is gone.
Calculation: “Annual rent receipt
( Less) 30% standard deduction
Net taxable rental income
(Less) interest paid during the previous financial year
Income/ Loss from House property”.

Table No.1.6 “Computation of Income/ Loss from let out property”.

Computation of Income/Loss from Let Out Property

Have you got the Possession of the Property? (Without
Yes
possession you cannot claim the benefit)
Tenant Name  

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Address of the Let Out House Property

Pan No. of the Tenant (Optional)  

COMPUTATION OF LOSS/ INCOME FROM HOUSE PROPERTY ( LET

OUT)
Annual Rent Received (01/04/2018 to 31/03/2019) 0
Less: Municipal Tax paid during the financial year 0
Net Annual Rental Income 0
Less: 30% for Repairs & Maintenance on Net Annual
Income 0
Gross Income From House Property 0
Less: Interest paid/payable on borrowed Loan
     
(From Apr 01, 2018 To Mar 31, 2019)  
Less: 1/5th of pre-construction interest, if any (Prior to April 01,
2018)  
Net Income / (Loss) from House Property 0
       

Table NO. 1.7 Computation of loss from self

occupied property.        

Computation of Loss from Self Occupied Property

Have you got the Possession of the
Property? (Without possession you cannot (Select)
claim the benefit)
 
Address of the Self Occupied House
Property

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Interest paid/payable during the period Apr
 
01, 2018 to Mar 31, 2019
1/5th of pre-construction interest, if any
 
(Prior to April 01, 2018)
Total Interest paid/payable for the F.Y
0
2018-19

3. Income From Business and Profession

Any income earned from any business, trade, commerce, manufacture or profession shall be
came under this head after subtracting all expenses. In simple word the difference between
income and expenses is known as revenue which is taxable under income tax.
In this income only ITR-3 or ITR-4 are allowed. If the turnover is less than Rs.2 core, then
ITR-4 is filed.
Here, is the list of income chargeable under this head.
 Benefit received in a business.
 Profit earned through a business.
 Profit earned by the assesses during the AY.

4. “Income from Capital Gains”

“Any income or losses generated from the transfer of a capital assets in the financial year, it
shall be chargeable to income tax is known as income from capital gain”. In the time of filing
ITR this heads goes either ITR-2 or ITR-3.
There are three type of Capital Gains:
1. Gain/ Loss from “sale of mutual funds or equity shares”.
2. Loss/ Gain “from the sale of house property”.
3. Date of ownership transfer is must.

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“SHORT TERM CAPITAL GAIN/ LOSS”
 “If the gap of sold and purchase of same property is less than 2 years then it come
under short term capital gain”.
 If in short term the losses occurred, it is not set off to salary.
 Tax calculation – (gain of sale of property + income from other sources ) apply the
slab in which the income is fall.

“LONG TERM CAPITAL GAIN/LOSS”

 If the property sale after 2year at the date of purchase is called long term capital gain/
loss.
 Calculation: “Purchase value * rate of indexation as today
Indexation rate for the year in which property was
purchased”.

5. “Income from other sources”

When the income is not come under above four heads, then the income shall be liable under
this heads which considered as income from other sources. In simple word, any other type of
income which is not classify in the above mentioned paragraph, can be dropped in this
classification. It includes interest income from bank deposit, lottery awards, gambling, cards
games, other sports awards, incentives are included in this head.

Deductions in ITR under Different Sections

There are diverse deduction which an assesses can claim to reduce his income tax. Due to
these deduction the total taxable income of the assesses of the financial year has reduced
because of this taxpayer get the benefit and save his tax. The Indian government have to
provide some deduction to the tax payer. There are the following deduction given below:-
 
1. Section 80C

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“Under this deduction of 80C, An assesses can take the benefit of “Rs.1,50,000 from his total
taxable income”. In simple term, the taxpayer claim up to Rs.1,50,000 under this deduction.
“This deduction allowed to HUF or an Individual also”. Maximum limit to claim in this
section is “Rs.1,50,000 for financial year”. During my internship assesses claim this
deduction for the financial year 2018-19.
Sometime, if taxpayer paid more tax, but he have invested in LIC (Life Insurance Policy),
PPF ( Public Provident Fund ), tuition fee( maximum 2 child) etc but he missed to claim this
deduction. Then, he can take this benefit at the time of Income Tax return filing, the excess
amount of the tax which he paid earlier are refunded to his account.

The following Deductions are allowed under section 80C:

 Home Loan Payments

 Life Insurance

 Health Insurance

 Mutual Funds Investment (ELSS)

 Provident Fund

 Fixed Deposit

 National Saving Certificate

 Sukanya Smriddhi Account

i) Life Insurance Premiums (LIC) An assesses can take the benefit of LIC either
yourself or his family members also ( children, spouse ). Payment of LIC
premium can be done through monthly, quarterly, half yearly or yearly also.
ULIPs ( Unit linked life insurance policies) are also take the benifit of 80C ,it
provide the benefit of tax.

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 ii) Children tuition fees: It considered only tuition fee of the maximum two child,
tuition word must be come under the receipt which assesses show as a prove.

iii) Fixed deposit (FD): It is 5 year tax saver plan. It can be open in bank or post
office also. But the interest amount on the fixed deposit are fully taxable.

iv) National Saving Certificate(NSC): It is government backed saving instrument. It

include 5 year tenure. The interest amount of these certificate are also eligible for
tax deduction.

v) Sukanya Samriddhi Yojana: this is a government yojana for the girls child who
is below the age 10. The yojana include 21 year tenure or until the girl child get
married after the age 18 year old.

2. SECTION 80TTA

This deduction is related to the total income earned from the interest of saving accounts. In
this deduction an assesses can claim the benefit of rupees up to Rs.10,000. But if the income
earned from the interest of saving account is more than the “ Rs. 10,000, the tax payer is
liable to pay tax” on the remaining amount of Rs. 10,000. And the rate of tax are charged
according to which slab in which total income of the person fall.

3. SECTION 80TTB

This deduction is also related to the total income earned from the interest of saving account.
But in this deduction an assesses can take the benefit of Rs. 50,000. This deduction is only
allow to senior citizen category person (above than 60 age group).

4. SECTION 80GG

Under this deduction an assesses can take benefit of “House Rent paid if the HRA is not
received, but in this deduction” certain conditions needs to fulfill which are given below:

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 a) “At the place of employment, the taxpayer, spouse and minor child should not own
residential house”.

b) Even in any other place, the tax payer should not self occupied house.

c) An assesses must be living on paid house.

d) This deduction is allowed to all individuals.

This deduction is allowed is the list given below:

1. “Rent paid is subtract 10% of routine total income”.

2. “Rent should be Rs.5000 per month”.

3. It should be 25% of routine income*

*regulated gross “total income is calculated after adjusting the gross total income
from” certain deduction ,long term capital gains, exempted income and income
related to foreign company and non residents.

5. “SECTION 80E

“This deduction for Interest on Education Loan for higher studies”. This deduction is
permitted to an assesses for the interest on loan which has been taken for doing higher
studies. This loan can be “taken for the spouse, children or the taxpayer or for a student
whom the taxpayer is a legal guardian”. Any assesses can take the benefit of this deduction
for a maximum 8 years. Only interest amount is taxable, no principle amount is taxable. The
document is  require for as legal proof is bank certificate not bank statement.

6. SECTION 80D

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Under this section 80D, the “deduction is allowed for” the premium of medical insurance.
“The deduction” is available for HUF & Individual also. An assesses can take the maximum
benefit of Rs.25,000 for insurance claimed (self, spouse and dependent children, dependent
parents below age 60). In this section an assesses can take the additional benefit of up to
Rs.50,000 if the parent of assesses come under senior citizen category( above age 60).

7. SECTION 80U

This deduction is allowed for those person whose suffering from physical disability (below 80%).
Limit is “Rs. 75,000” is allowed “to a resident individual” whom suffering “from a physical
disability including” mental retardation or blindness. If the self disability is above 80%, the
deduction limited is allowed up to Rs. 1,25,000.

  8. SECTION 80G

All the Donation toward Social cause came under this section. There are various donation in
u/s 80G which eligible up to 100% or 50%. Under this section any donation more than Rs.
2,000 in cash are not expectable.

There are list of certain organization which qualifying under 100% or 50%.

A. Donation with 100% deduction without any qualifying limit.

 National cultural fund

 National Children’ fund

 Prime Minister’s national fund

 Fund for Technology Development and Application, etc.

B. “Donation with 50% deduction without any qualifying limit.

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  Rajiv Gandhi Foundation
 Prime Minister’s Drought Relief Fund
 Jawaharlal Nehru Memorial Fund
 Indira Gandhi Memorial Trust”.

GST

In India, Many indirect tax has replaced by the “one tax i.e. Goods and services tax”. On 29 th
march 2017, the Goods and Service Act has issued by the Parliament. “But the Act came
under effect on 1st July 2017”.

“In simple term, Good and Service Tax is an indirect tax which levied on the supply of goods
and services. GST is one indirect tax for the whole India”.

TYPES OF GST-
There are three type of taxes under GST.

 “CGST: This tax is collected by the Central Government on an intra-state”.

 “SGST: This tax is collected from the state Government on intra- state sale”.

 “IGST: This tax is collected through the Central Government for inter-state”.

Table No.1.8 “In most cases, the tax structure under the new regime will be as follows”:

Transaction New Old Regime Income

Regime

Sale (within SGST+ VAT + /Service Income will be shared equally

state) tax /Central Excise between the State and the Sentre.
CGST

Sale (other IGST Central Sales Tax + There will only be one type of tax

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 state) Service Tax/Excise (central) in case of inter-state sales,
The Center will then share the IGST
income based on the destination of
goods.

1.3 Achievements

I joined M/s Rai Tax Consultants as in Management intern with their statutory team. I got the
opportunity to work great teams to audit a diverse verity of clients which includes:

 Build a good relationship with our clients staff.

 Understand the Management of the firm by speaking to the employees, Mentor,
seniors and reading up about our work and the firm it operates in.
 Analyze the business situation.
 How to apply theoretical knowledge in actual organization.
 Make quick decision in real situation.
 I have learned some Leadership lesions-What to do or more incomparably what not to
do- Just by noticing these leaders of this firm and interchange with top Management.
 I have learned knowledge of different documents and also learned knowledge of
government sites which related to ITR.
 We learned how to maintain sacredness because as a intern in a CA firm you have to
be very careful and not to reveal such information to others. i.e. sensitive issues in the
course of Income Tax Return filing.
 Worked on GST and prepared invoice sheets with input and output values.
 Prepared individuals returns.
 Have been to certain discussion meetings held at our office premises for awareness
about changes in GST, KYC, ITR and presented on allotted topic in teams.
 Never stop learning- This is one of the most important lesions I have learned so I
wanted to save it for last .As a executive the moment you decide that you don’t have
to learn new things any more you are done. In the context of Taxation. Laws keep

15
 changing, regulations are usually updated, and methods get more worldly over time-
one can never stop learning. If they want to avoid becoming outdated.

CHAPTER 2

PROFILE OF THE ORGANIZATION

1. Rai Tax Consultants

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Rai Tax Consultants near DLF Galleria Road, they provide a wide range of product related to
services which are adjust according to their clients’ needs. Their assortment of services
covers a wide range of product accountancy, management audit, internal audit, direct taxes,
indirect taxes, BPO/KPO setup ,and business setup. It is exclusive in offering end–to-end
and one-to- one support to beginners, and the services over company emergence, Limited
Legal Partnership emergence, IEC code, shop act registration, excise registration and MVAT/
CST registration.

Rai Tax Consultants near DLF Galleria Towers, Gurugram is an grant and well crowned
consultancy for financial planning. The organization give a whole diapason and wide range
of accounting & financial facility and products, services and project evaluation related to all
business type, investment consultancy and agreements related to corporate. “This
correspondence lies in giving end-to-end support to start-ups as well as in shop act
consultanc. Rai tax organization office is situated at Gallaria Tower, 404, 4th Floor, DLF
Phase IV, Gurugram (Haryana). Find it with ease at DLF Galleria Road. For related
information and further query, you contact this consultant on: + (91)-124-4087353.
Doubtless, it is one of the best tax consultants near Dlf Galleria Towers, Gurugram.

 Registered ERI license holder.

 Confidentiality & Data privacy.
 Interactive and user friendly online platform.
 Upload ITR in bulk without Client user ID and Password.
 Fast uploading of ITR even during peak season.
 Leading Tax Preparers In India.
 102 + corporate presence from 2007 to 2019.
 3.5 lacs + tax returns successfully filed till date.
 Trusted by leading CEO’s, CFO’s, country heads of fortune 500 companies.
 Only company providing personalized face to face offline end to end calculation on
desk.
 Largest, most credible & influential service provider in the field of income tax filing
and other related services with innovative and modern technology.

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  One of the most active & advanced technology.
 Only company providing individualized offline face to face or online support.
 Post filing support for any Tax check or notices.
 Most exacting quality process to upload faultless ITR’s.
 Be eligible team comprising of CA, CA-interns, MBA’s & qualified tax consultant.

2. File My Return

File My Return is a undertaking of M/s Rai Tax consultants decennary old tax & also
financial advisory firm and according to some previous record the number of client continue
increase which show the continued growth of the firm. “In the field of income tax return
filing, this firm file approx 10k return in the immediately past years. File My Return has
properly registered firm on e-Return Intermediary i.e. (ERI) under the Electronic Furnishing
of Return of income tax scheme, 2007 of the Income Tax Department. File My Return was
deal more than 10k visitor in the year of its establishment itself and reliability are also very
high because more than 2k individuals filed their return through it. so, we can say that the
individual trust on the site and firm also. File My Return is powered by a team of practised
administrative ranging from different fields (Managerial Administration, Legal Consultancy
and Chartered Accountancy etc.) which an identical motive of serving professional quality in
the area of taxation or related matters. They provide Income Tax Return filing services to the
salaried individual by two different method”-

1. “Through Helpdesk of tax filing in Delhi NCR at MNC Premises”.

2. Through “online” portal i.e. filemyreturn.co.in.

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Figure No.2.1 File my return.

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CHAPTER 3

REVIEW OF LITRATURE

RESEACH PAPERS

“Ojha, A., Sahu, G. P., & Gupta, M. P. (2009).Antecedents of paperless

income tax filing by young professionals in India”. The main “aim of this
research is to investigate the precursor of behavioral young Indian professionals for the
purpose to income tax return filing used”. They collect data through a survey which is self-
administered, lecture-demonstrations was managed to make familiar prospective of the
respondent of the income tax return filing. “The study find that precursor of young Indian
professionals’ for the income tax e-filing services are- personal innovativeness in information
technology”, perceived ease of use, and compatibility, related advantages, performance of
electronic filing services”.

“Singh, A. (1990). Computerization of the Indian income tax department.

This research is all about the explore computerization project report introduced in the IT
Department of India. After exploring the connected work in the field of tax in the two Indian
& foreign. This view the structure of the system & the approach apply for this execution.
This shortly review the objective, the area of application and the difficulty area identified.
Later present scenario reporting it talks about the future plans and the issues considered by
the IT Department. This study finds the area of discussion for the success of this project, the
shortcoming eminent and the adaptability of this system in another developing countries. The
latest available
(1987-88). All income tax index are given”.

Kotnal, J. R. (2016). GST in India: An enrichment of Indirect Taxation

System. “This study is a analysis of what smash of GST(Good and services tax) in Indian
tax scenario”. The writer has stated with a short explanation of the past scenario of India
taxation system and its tax foundation. Then require over the changes in tax foundation from

20
conventional to “Goods and services tax” model. “Goods and Service Tax” have be deep
explain in that study by the writes as the background, quite characteristics and the GST
impact on the current tax scenario of India. This impact and concept are analyze with various
techniques and aspects. Examine this with the help of CGE is at beginning stage and this
study assesses differentiate writings on this to finding of CGE application in GST by
evaluating 21 research study of the period 1989-2012. The main finding of this study is CGE
is mostly used for welfare result of GST.

“Allingham, M. G., & Sandmo, A. (1972). Income tax evasion”. A conceptual

investigation of this study were conduct in U.S.A, they accepted a model around tax
avoidance. This paper had developed the fundamental unit for this study of tax avoidance in
income tax & this war the first exceptional study related to tax avoidance ,Analyst in this
paper are settler in this area. Every analyst in the tax avoidance, create this paper on basis of
their studies & every analyst indicate to that study because this research is included as head
title of other research about tax avoidance. "our objective in this paper is therefore the mire
limited one of analyzing the individual assesses decision on whether & to what extend to
avoid taxes by deliberate underreporting".

“Peirce, J.P. (1968) Differentiate between tax avoidance and tax evasion
( Doctoral dissertation, Texas tech university)”. The problem of the study was
―there are numerous problems related with differentiate between tax avoidance and evasion.
For this cause, this study has been confined to the problems connected to individual
taxpayers and to the one offender, tax evasion. Too frequently the problem is only
contemplate lightly. Too frequently the taxpayer does not take his confederate tax
commitment seriously enough.

“Shrikant Deobagkar, S. (2006). Logical study of problems faced by individual

income tax payers in Pune city and PimpriChinchwad area From 1996 to2003”.

Some main findings of this research that help us to know what are the problems facing
by the Individuals -

21
1. Most respondents of the service has receive that they are paying income tax routinely than
businessman in their work , there is a scope to keep down the tax liability by showing
distinguish expenses & defeated person or by using the gaps. There no such type scope for
salaried person.

2. All the assesses are attentive to increase maximum exempted limit of income tax inflation
has been abrading the real income. As contrast to inflation corresponding income tax rates
are high to individual tax payers.

3.The medically unfit, pensioner, senior citizens and handicapped people should have special
services of the income tax. The government should not call all the above mentioned
categories, it is very hard for them to visit ID department, or to stand in line should be
educational programmer later routine interval for the assesses. This is crucial to give
information & educate the taxpayer regarding new amendments and the procedures and to
increase relation with government officers.

“Mulligan, D. (1998). KYC regulation & international banking system :

towards a general self- regulatory regime. In an effort to fight the war on drugs, the
US government has recruited US banks as agents to track down illicit funds. 1 in 1970 the
US government enacted legislation that effectively imposed an immense burden on US
banker to know their customer & to track suspicious transactions. This is already highly
regulated industry, these regulatory requirements may in fact become a hindrance, rather than
an aid, in the fight against international money laundering because of the immense
administrative and financial burden that these requirements”.

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CHAPTER 4

METHODOLOGY

Methods or methodology mention to the research perspective that is used in conducting a

research. It comprise statement of problems, objective of the research, methodology used for
collecting data and data analyzing. Methodology is the structured, conceptual analysis of the
methods applied to a field of research.

4.1 In this report, typically used these methods i.e. participants, materials and procedure.

Participants: In this part of our study we used many participants including clients,
colleagues, employees of various companies, organization Mentor etc. We randomly selected
some clients by visiting different MNCs for ITR, Bill holders of various companies, trusts,
Individuals for GST return filing.

Materials: Many tasks were used to assess like Income Tax related documents, GST input
and output bills, excel and calculations, KYC of Directors through Digital Signature, Used
materials are: websites, videos, books, journals, magazine, technical equipment, images and
other materials used in the course of the research .

Procedure: We used various procedures in our study. Company visiting procedure, direct
interaction with our colleagues, studying various documents related with income tax
deductions, tax savers like HRA, Home loan, Medi-claim policy etc. Filing GST through
official website by calculating input and output from bills/invoice provided by clients.

4.1.1 Data collection method/technique: In this report I used both data collection
methods (Primary data as well as Secondary data). Primary data is the fresh data which the
any researcher find at first time and this data is not published in past but Secondary data is
that data which is already published on websites, magazines, newspapers, journals, books,
etc.

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Primary Data:  In this report, the primary data is collected through the interview, directly
interact with client, participant observation, survey, focus group and measurement.

Secondary Data: In this report, the secondary data is collected through the different
websites, journals, articles, books, images, Google scholar, etc.

 4.1.2 Analysis tool: Graphical representation (Pie chart).

4.1.3 Sample unit: Individual client.

4.2 Objective of the study

I choose to work with M/s. Rai Tax Consultants with the objective of learning many new
skill like as given below:

1. I want to learn deepest knowledge of taxation.

2. “How to file ITR (Income Tax Return)”.

3. How to file GST return.

4. How to deal with client, how to conveyance them, how to motivate them to pay tax.

5. How to apply our theoretical knowledge in practical life.

6. Main object of doing this internship is that I want to learn about the organization’s
working environment, how to organization achieve their goal and objective.

This internship gives me the more knowledge of taxation, legal terms, government
websites, better understanding of business, thinking & implementation and how these
things applied.

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 4.3 SCOPE OF THE STUDY

Taxation is considered as an compound affair which effect the “financial planning of each
individual income tax” payer i.e. assesses. The scope of this paper is limited in contest of
“tax planning measures” take on by the assesses of salaried income tax. A study
approximates the extent of employees consciousness level “on tax law and tax planning
steady”. The investment pattern and the saving habits, liabilities repayments are taken for the
duration of the study and the employee’s consciousness level on tax are also considered in
this study”.

4.4 LIMITATIONS

 Area of study is limited and confined to the certain limitations.

 One of the biggest limitations of this project is the time factor.

 Issues related to internet service like internet problem, speed, data consuming, etc.

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CHAPTER 5

DATA ANALYSIS

Figure No.5.1 Pie chart showing percentage of total population paying Income Tax
based on Slabs

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Figure No. 5.2 Types of GST

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CHAPTER 6

CONCLUSION

6.1 Summary

The person who pay tax, if his total income cross the exempted limit, it shall be liable to the
“income tax at the rate” which authorize “by the income tax department”. The person who
pay tax in legal term is known as assesses. “An assesses pay tax on his/her income of
previous financial year in the current assessment year”.

“GST refers to Goods and Service Tax is a value added tax imposed on most good and
services which sold for domestic consumption”.

This report is all about the financial services provided by our organization to their clients
including Individuals, Companies etc, and help them to file their ITR, file their GST returns
of current Financial Year, Directors KYC.

M/s Rai Tax Consultant is one of the growing and reported organization, which provides all
financial services to their clients. The ICAI has convey out the (QCR) Quality Control
Review & has provide acceptable Quality Control Review report begin which help the firm
to manage their client’s audit in agreement with International Standard of Auditing.

During this internship, I have learn many thing which I actually want to learn like deepest
knowledge of taxation, knowledge of “ITR , how to file Income tax return”, knowledge of
GST, How to file GST return, how to deal with client, how to convenience them, etc this
organization give me the chance to apply my theoretical knowledge in practical life. This
internship give me good experience of corporate life which I never loose in my life.

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6.2 Suggestions & Recommendations

Our firm is engaged in providing financial services and products to their clients. These all
financial services i.e.: Auditing, GST, ITR, KYC, TDS etc. are provided with perfection and
good quality service by the firm.

 Based on the results I would like to suggest that this firm should charge high amount
of fees for services as very low amount of fees is paid by the clients according to
their services cost.

 Clients make long delays in payment of fees, so they have to charge some nominal
late fee for reducing the time laps between services delivery and fee payments.

 Our office is in only one city and it is hard to handle clients of other cities over
phone, this firm has a command over Gurugram area, the scope is very vast so they
have to open some more branches in different cities also.

 I suggested my organization that they used IVR (Interactive Voice Response) system
in their firm so that they can easily connected with their customers to solve their
problems.

 “They also try to acquire updated technologies that their rivals are not using”.

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REFERENCES

 Income Tax// ITR/ services Retrieved on 15/Nov/2019 from https://www./

Incometaxindiaefiling.gov.in/ home/
 Goods & Service Tax/ services/Retrieved on 15/Nov/2019 https://services
.gst.gov.in /services services /login/
 KYC Docs/ https:// en.wikipedia.org/ wiki/ Know your customer
 Know your customer/http.//www/ .myinsuranceclub.com/ articles/ what-are-kyc-
documents-and- why -is-it-required-to-be-submitted
 (n.d.). Retrieved from https://www.legalraasta.com/itr/income-tax-heads/.
 (n.d.).Retrieved from https://www.justdial.com/Delhi/Rai-Tax-Consultants-Near-
Galleria-Market-Galleria-Dlf-Iv/011PXX11-XX11-170906210912-P4H1_BZDET.
 Allingham, M. G., & Sandmo, A. (1972). Income tax evasion: A theoretical
analysis. Journal of public economics, 1(3-4), 323-338.
 Peirce, J. P. (1968). Distinguishing between tax avoidance and tax evasion (Doctoral
dissertation, Texas Tech University).
 Shrikant Deobagkar, S. (2006). Analytical study of problems faced by individual
income tax payers in Pune city and Pimpri_Chinchwad area from 1997 to 2003.
 Ojha, A., Sahu, G. P., & Gupta, M. P. (2009). Antecedents of paperless income tax
filing by young professionals in India: an exploratory study. Transforming Government:
People, Process and Policy, 3(1), 65-90.
 Singh, A. (1990). Computerisation of the Indian income tax department. Information
Technology for Development, 5(3), 235-251.
 Kotnal, J. R. (2016). GST in India: An enrichment of Indirect Taxation
System. International Journal of applied Research,2(4), 735-738.
 (n.d.). Retrieved from https://www.slideshare.net/hukmarampawar/income-tax-act-
1961-25173174.
 (n.d.). Retrieved from https://www.taxmann.com/blogpost/2000000284/what-is-
income-tax-how-to-file-income-tax-return.aspx.
 (n.d.). Retrieved from https://en.wikipedia.org/wiki/Income_tax_return_(India).
 (n.d.). Retrieved from https://cleartax.in/s/gst-law-goods-and-services-tax.

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 (n.d.). Retrieved from https://cleartax.in/s/gst-law-goods-and-services-tax.
 (n.d.). Retrieved from https://www.investopedia.com/terms/g/gst.asp.
 Mulligan, D. (1998). Know your customer regulations and the international banking
system: towards a general self-regulatory regime. Fordham Int'l LJ, 22, 2324.
 (n.d.). Retrieved from https://cleartax.in/s/gst-law-goods-and-services-tax.

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APPENDICES

A. How to pay Tax

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B. Client Detail Registration Form for ITR

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C. Company data showing, GST Invoice Excel and Filing GST return

GST Calculation of Consortium Engineers Pvt. ltd, Noida

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GST Return Filing Successfully

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D. List of Documents and Tax guide

Personal information related documents:

 PAN card number

 AADHAR number/ AADHAR enrolment ID
 All Bank A/c numbers and IFSC code (except dormant a/c).
1. Documents related to “Income from Salary”:

 Form 16 (Part A, Part B) of all the companies (in case of change of job).
 Foreign salary slips and foreign tax returns filed will be required if you had worked
outside India in the previous year.
 In case of any Fixed Deposit or any security deposit Form 26AS is needed.
 Bank statement is also required if the interest of Saving Account are high.
 Any proof of deduction, if the benefit has not taken.
2. Documents/ Information related to “Income from Other Sources”:

 Total interest amount received in all saving bank accounts (Only figure required).
 Details of other income earned (if any) by the assessee e.g. dividend, commission, etc
(Only figure required).
 Form 16A (TDS certificate) for all fixed deposits (Document required).
 Form 26AS contains all information related to various income earned by you during
the year and the taxes deducted on such income at source.
 In case of car lease, car insurance premium receipt is also requred.

3. Details of your “Tax Saving Investments or House Property Income/Loss” (if missed
to claim):

 Details of any tax saving investment not reflected / considered in your Form 16 (Only
figure required).
 In case of House Property Income / Loss two cases are create:
 First, in case of single property let out these document are required- address of the
property, name and PAN no. of the tenant.

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  Second, in case of double house property many question has raise-
1. Self occupied property loan is taken or not.
2. Name of the owner of property or loan taker is same or not.
3. Name of tenant- let out property.
4. PAN no. of tenant is also required.
5. Possession of this property are granted or not.

4. Capital Gains - Income / Loss from Sale of “Share/ Mutual Funds/ House Property”:

 Purchase date and cost of purchase.

 Sale date and sale value of Asset or Shares.
 Capital gain statement in case of sale of Shares / Mutual Fund
There are various cases are as follow:

1. In case of long term capital gain investment.

 Purchase date and payment details are required.

2. In case of capital gain bond.

 Name, Date, Payments.

3. In case of capital gain account.

 Account number, Balance of account.

4. In case of set off previous purchase property.

 Purchase date and purchase value is also considered.

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5. Business and profession Income

Profit of the business.

Assets and liability details.

Expenses of the business.

ITR 3 & 4 are allowed.

Information of any other source of income.

THANK YOU…

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