Understand Deep Discount Bond.

Deep discount bonds, as the name suggests, are bonds that are sold at a significant discount to their face value. However, they also offer lower interest rates compared to other types of bonds. In this article, we will explain the concept of deep discount bonds, provide examples, and discuss their advantages and calculation methods.

𝐓𝐨𝐩 𝐬𝐢𝐠𝐧𝐬 𝐨𝐟 𝐟𝐢𝐧𝐚𝐧𝐜𝐢𝐚𝐥 𝐬𝐭𝐚𝐭𝐞𝐦𝐞𝐧𝐭 𝐦𝐚𝐧𝐢𝐩𝐮𝐥𝐚𝐭𝐢𝐨𝐧

Financial statements are reports that provide information about a company's financial performance and position. The three main financial statements are the balance sheet, income statement, and cash flow statement. The balance sheet shows a company's assets, liabilities, and equity at a specific point in time. The income statement shows a company's revenue, expenses, and profit over a specific period. The cash flow statement shows a company's cash inflows and outflows over a specific period. Together, these statements provide a comprehensive picture of a company's financial situation and can be used to analyze its performance and make informed decisions about investing in the company. It is not necessary to be a financial market analyst to identify signs of manipulation in companies' financial statements of companies.

Income Escaping Assessment – The Legal Analysis

 There are various reasons why litigation arises between the assessees and the income tax department including TDS, disallowance of certain expenditures, exemptions, and deductions, etc. One of the major reasons for litigations is when the department finds a certain income that has escaped assessment and therefore proceeds to tax the same. This is known as income escaping assessment or Reassessment under section 147 of the income tax act & Section 148. Here, we have covered everything regarding income escaping assessment, what is covered in this assessment and why it is a major contributor in litigations.

How To Incorporate A USA Company As A Founder In India?

Indian startups seem to prefer Delaware for their business. Not only does register your Delaware corporation from India gives access to venture capital firms and startup investors, but you will also get tax benefits. Delaware has no state sales tax, and the state’s franchise tax for small US businesses is also less. Additionally, the state also allows non-residents to pay no separate corporate income tax.

One has to follow six steps in order to have a USA Company Registration from India:

Choose the right entity type for your business. As Investors highly prefer C corporations, most Indian companies choose this type.

Decide the state in which you want to register your company. Delaware is the most preferred state and is the home to the majority of US tech companies. 70% of Fortune 1000 companies are registered in Delaware.

File to incorporate.

The next step is to get an employer identification number (EIN) from the Internal Revenue Service (IRS).

Registering with the Internal Revenue Service also sets your company to pay taxes. Also, you need an EIN to open a US bank account.

Once you have an EIN, open a US bank account, which is essential for doing business in the US.
In the state of Delaware, you are required to file annual reports every year. So, keep your company in a sound situation by filing reports.

CHAT GPT - how to save tax in India

 

1. Invest in tax-saving investments such as Public Provident Fund (PPF), National Savings Certificate (NSC), Equity-Linked Savings Scheme (ELSS), and Tax-Saving Fixed Deposits (FD).

2. Utilize deductions and exemptions available under Section 80C of the Income Tax Act, such as tuition fee for children, principal repayment of home loan, and contributions to pension plans.

3. Take advantage of deductions available under Section 80D for health insurance premiums, and Section 80E for interest paid on education loans.

4. Consider renting out a property and claim deductions for interest on a housing loan and repairs and maintenance expenses.

5. Use exemptions available for long-term capital gains on sale of property and equity shares.

6. Take advantage of tax benefits available for charitable donations under section 80G.

7. Keep records of all investments and expenses to claim deductions and exemptions at the time of filing taxes.

8. Consult with a tax professional or financial advisor for personalized advice on tax-saving strategies.

It's important to note that the tax laws and regulations in India are subject to change, and it's always a good idea to keep yourself updated with the latest tax laws and regulations

Social Stock Exchange

 

A Social Stock Exchange allows the listing of a Non-Profit Organization on stock exchanges that provide an alternative fund-raising structure.   As per the draft of the SEBI report, a Social Stock Exchange may be helpful in rebuilding the livelihoods of people who are affected during the COVID-19 pandemic. According to experts SSEs will aim at unlocking large pools of social capital and encourage a mixed financial structure so that conventional capital can partner with social capital to meet the serious challenges of COVID-19.

IFRS 2: SHARE-BASED PAYMENT TRANSACTIONS

Grant of shares or share options to employees and directors is a common feature with most companies. Besides, companies may sometimes issue share options to creditors as well. Transactions, where is granting of shares or share options, may generically be referred to as “share-based payment transactions”. These transactions mostly involve the company receiving employment services, directorial services, or other goods or services, and the company in turn settling the supply of goods or services in the form of shares or share warrants. The shares are mostly equities of the company (note that the meaning of “equity” under accounting standards is not the same as the legal meaning of equity).

Understand Section 338(h)(10) of the federal tax code.

 

In simple terms, a 338(h)(10) is a tax election for a qualified stock purchase (QSP), which recharacterizes a stock purchase as an asset purchase for federal tax purposes. It remains a stock purchase for all other legal purposes, such as contracts and licensing