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Do i have to pay tax ? [India]

Discussion in 'Business & Tax Advice' started by ukonline, Jul 3, 2016.

  1. ukonline

    ukonline Regular Member

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    Hey there !
    I am from India , and have opted for full time internet marketing after college.
    I actually got a mail from PayPal regarding some IRS and they asked me to review it.
    I actually received over 200+ payments in 2-3 months but not over 20,000$ and PayPal was kinda curious about that i guess. I am not sure.
    Currently i use my brother's PayPal account to receive the payments and had been receiving over 500-800$ / month ( i.e., upto 40,000 INR) max in a month.
    Am i eligible to pay tax or is it just fine ?
    Please help.

    Thank you
     
  2. indianfreak

    indianfreak Power Member

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    Yes, you'll have to pay income tax. Contact a good CA who knows how to handle online payments and you'd be good. When I started earning through IM, I had a tough time explaining affiliate marketing to my CA, and ultimately I had to change my CA. :)
     
  3. abhi007

    abhi007 Jr. VIP Jr. VIP

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    You will need to pay and yes my CA knows about affiliate marketing, which is good...I make it a point to pay my taxes in advance.
     
  4. vups

    vups Junior Member

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    If your annual income is more than INR 2.5 lakhs, you need to pay tax. Anything above amount 2.5 lakhs will be taxable. Do not neglect , Paypal India submits each and every transaction to RBI. Its very simple process no need of CA just go through Income tax India website you get all information.
     
  5. dhia27

    dhia27 Jr. VIP Jr. VIP

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    Sorry to disturb, what if the CA and government don't know anything about your service ??
     
  6. indianfreak

    indianfreak Power Member

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    Still you have to pay your taxes.
     
  7. dhia27

    dhia27 Jr. VIP Jr. VIP

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    yes, I am afraid they don't have a formula for such service !
     
  8. abhi007

    abhi007 Jr. VIP Jr. VIP

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    Government does know about this all if I am not wrong?
     
  9. Nut-Nights

    Nut-Nights Jr. VIP Jr. VIP

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    Guys they know everything if you are working as freelancer all your income will be taxed in other sources and if you doing it as registered business then it will be taxed as business income. There is no special formula for every income.

    @OP you need to pay tax just get a lawyer and file your return in other sources income.
     
  10. ukonline

    ukonline Regular Member

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    I will pay the tax but i am not sure , how ? I will do soon and what if the CA doesn't know about it ?
     
  11. vups

    vups Junior Member

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    Government does know everything, Overseas transaction 100% they track.

    OP Just file your income tax returns now its very easy you can do everything online without the help of CA. Just you need to put your bank statement and mention your source of income. To save tax, attach your various insurance policies, major expenses details like home rent, car loan, home loan, home rent receipt, car insurance which can say major taxes. But you need to file the income tax returns. If you are doing it on your brothers account then he need to mention the same.
     
  12. cryptons

    cryptons Supreme Member

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    Ukonline lives in india;););)
    Yes you have to pay!
     
  13. vups

    vups Junior Member

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    you do not need CA, just go through this site

    Code:
    http://incometaxindiaefiling.gov.in/
    You can also find video how to file tax. Just select Tax Payer ----> Individual
     
  14. ukonline

    ukonline Regular Member

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    I am a student and know not much about this taxation thing !
     
  15. Stitches and Burns

    Stitches and Burns Junior Member

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    Just file your income tax. You can make some deductions such as business expenses to make your tax bill smaller. Just ask your bookkeeper for help.
     
  16. ukonline

    ukonline Regular Member

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    Well i have been working as an full time internet marketer since after college (i.e., March) and since then i made around 2.5L upto now. For an average i am making around 45-50k/ per month and i'm worried now ! Because i know nothing about tax thing or anything else ! Plus the way im earning is all through by reselling digital goods. I am not sure if they even know that and how it is all processed.
     
  17. vups

    vups Junior Member

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    Thats the problem with us, we are too much afraid of government and tax department. CA makes us more afraid. If you can earn online then you can surely learn how to file tax online within an hour.

    Just you need to mention your source of income and pay the taxable amount.
     
  18. vups

    vups Junior Member

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    Bro , you do not need to mention in details. Just you need to mention that you are earning affiliate marketing, online consulting and all dont go in details. Just go through the site i mention download there form you will easily know how to do it

    Indian financial years starts from April and Ends next march. Do not worry about income from April as of now, Just file whole year tax in March 2017
     
  19. ukonline

    ukonline Regular Member

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    Yes ! I will learn that , and my source of income is (I sell digital goods on twitter and get paid for it , usually reselling process) Example - Buying it for 2$ and selling it for 15$ or more.

    That's how i am making money.
    I usually earn like 30-40k or sometimes 20-30k per month. It all depends on the work done .
    Plus the PayPal i use is of my brother's.

    Any help regarding this ?
     
  20. ridersark

    ridersark Regular Member

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    If your income during the past financial year has exceeded 2.5lakhs then you fall in the taxable slab. For example, If your income was 3.5lakhs. then your taxable income is 3.5-2.5=1 lakh INR. From this taxable income you can deduct your expenses. I guess this is how it works. Verify with someone who knows the taxation and then you are all set to file your own taxes.