Counting Stars in Sky-Unlimited
Rishi Kapoor once shared a joke—
The best way to teach your kids about taxes is by eating 30% of their ice cream. Let them cry, doesn’t matter. This will prepare them to pay income tax when they grow up!!
Tax – A legal enforcement of money under relevant act by an authorized person.
If you don’t pay taxes they take taxes!!
This all started way back from “Era of Kings and Queens” in India. Of course, unofficially!!
Kings used to arrange funds from income of people to control their empire. This system of collecting funds for social welfare was headed by two vital concepts “Manu Smriti” and “Arthshastra” in India.
According to Manu Smriti —
The King should arrange the collection of taxes in such a manner that taxpayers did not feel the pinch off paying taxes.
Each tax should be specific and there should not be any scope for arbitrariness.
Officially, in India, Sir James Wilcon in 1860 introduced taxation when he presented the first union budget pre independence. He introduced the taxation concept to meet losses sustained by British government on account of military mutiny against Indians through Indians!! Strange!
Post independence, on 1st April 1962 the Income Tax Act 1961 came into force. Which is so far our current relevant Income Tax Act (with some addition amendments).
Einstein said, the hardest thing in the world to understand is the income tax. And this made, Taxation heart of all Financial Expert i.e. “Charter Accountant”.
At present there are basically two types of taxation—
Direct taxes is imposed on Income and Profits. Whereas Indirect Taxes are imposed on Goods and Services.
In taxation, each and every concept is linked to each other forming a chain. So by understanding concept in a loop and practicing trough one can grab control on it.
Even in the current Income Tax Act, there are many loopholes which creates leakage in tax revenue. The one who started learning language of Income Tax could also predict loopholes and encrypt them.
The best method for beginners to learn and understand this ocean is to consider yourself as assessee. Whatever is given in act is happening with us. Because we get best lessons only when we suffer!!
From examination perspective, mugging some sections, rules, formats is required, but rest 80% is understanding.
For CA students, it becomes more easy to learn taxation. As ICAI published its module every time with latest amendments. The best practice to study, no doubt, is to read Bare Act, but Module of ICAI is also has full coverage with proper charts, diagrams, examples, case studies and many more. Along with this to excel in exam student should also practise MCQ’s, Problems and Real life Case Studies which are given in the Notes Material of Mitkary Sir’s CAPS Academy.
It is said, Planning is the first step of success. If you fail to plan you are planning to fail. So better to plan your studies accordingly. Regular Face to Face classes or Video Lectures with Scheduled Chapter-wise Test and at the end Test series on Full Course will make your efforts pay you back definitely.
This all requires much time. But again, to save time from running here and there to avail all these facilities Mitkary Sir’s CAPS brings these all under one roof. We provide timely amended video lectures, conduct doubt solving sessions, chapter-wise and full course test series and many more.
So to make this core subject your core Income Source post qualification, grab the best opportunity and learn the ocean from the best faculties at Mitkary Sir’s CAPS Academy.
CA Gauri Marpakwar.