Business Taxes on Pvt Ltd or Sole Proprietorship

malik 1
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Here i have 2 question for Taxable Income..

1) Sole Prorietorship

Example: When i get total income from my client Rs: 1,00,000/- in which i am paying Rs: 85,000/- to a vendor.

Rs: 1,00,000 is taxable or only Profit Rs: 15,000/- ?

2) Pvt Ltd Company

When i have registered Corporation in India.

My company only profitable income is taxable or total income received from the client is taxable?

I appreciate your response.. I really need to now all these things for new company.

Thanks.

sole-prorietorship private-company income-tax
1 Answers

@Malik,

1) In case of Sole proprietorship the profit will be include in his/her taxable income under the head income from business and profession and individual income tax slabs will applicable.

2) In case of company only profit will be taxable @ 30% + surcharges+Cess

sagar401
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