long-term capital gains

AMT: Does It Impose Additional Taxes Under Income Tax Bill, 2025?

Background

The Alternate Minimum Tax (“AMT”) has its genesis in the Minimum Alternate Tax (“MAT”), which was introduced to ensure that taxes were paid by even those companies that intended to avoid payment of taxes by engaging in ingenuous tax planning methods despite having earned significant amount of book profits. These companies, called “zero-tax companies”, while reporting significant book profits, paid minimal or no income tax by leveraging various exemptions and deductions available under the Income Tax Act, 1961 (“IT Act”). Continue Reading AMT: Does It Impose Additional Taxes Under Income Tax Bill, 2025?

Crypto Sales Prior to AY 2022–23: Taxable as Capital Gains?

The Raunaq Prakash Jain v. Income Tax Officer case addresses a significant cryptocurrency transaction-related taxation issue in India, i.e., whether gains arising from cryptocurrency sales should be taxed as “capital gains” or “income from other sources”. This decision is particularly important because it clarifies the tax treatment of cryptocurrency gains before the introduction of the specific tax regime for virtual digital assets (“VDA”) with effect from April 1, 2022.Continue Reading Crypto Sales Prior to AY 2022–23: Taxable as Capital Gains?