Income Computation & Business Deductions

Assistance in claiming business expenses, depreciation, and exemptions.

Maximize Your Business Savings with Expert Tax Planning!

Our team simplifies income computation and business deductions, helping you navigate the latest tax reforms with ease. We ensure you claim every deduction and exemption you’re entitled to—so you can focus on growing your business while we handle the numbers. Tax360—where smart compliance meets real Savings!

Income Computation & Business Deductions

Running a business comes with its challenges, and staying on top of your finances is crucial for long-term success. With the Union Budget 2025-26 introducing key tax changes, it’s more important than ever to understand how they impact your business.

At Tax360, we simplify the process— helping you claim eligible business expenses, depreciation, and exemptions to optimize your tax savings. Let us handle the complexities so you can focus on growing your business with confidence.

Updates from Union Budget 2025-26

Income Tax Slabs for Businesses

The new tax slabs introduced in the Union Budget 2025-26 offer a more streamlined approach to taxation. Here’s a quick look at the revised tax slabs

Annual Income (₹) Description
0 - 4 lakhs Nil
4 lakh - 8 lakhs 5%
8 lakh - 12 lakhs 10%
12 lakh - 16 lakhs 15%
16 lakh - 20 lakhs 20%
20 lakh - 24 lakhs 25%
Above 24 lakhs 30%

These new brackets provide a clearer picture of what businesses can expect in terms of tax liabilities, especially for those with incomes up to ₹12 lakhs.

Presumptive Taxation

Category Turnover/Gross Receipts Limit Presumptive Taxation Rate Relevant Section
Small BusinessesUp to ₹3 crores6%(Digital Transactions)
8% (Non-Digital Transactions)		 Section 44AD
ProfessionalsUp to ₹75 lakhs50% of Gross Receipts Section 44ADA

Standard Deduction

The standard deduction for salaried individuals has been bumped up to ₹75,000. This increase means more disposable income for employees and a reduced taxable income.

Our Services

Income Computation

We help you get a clear picture of your business income by accurately computing all sources of revenue. Our services include:

Service Tax Rate
Accurate ReportingEnsuring all income sources are accurately reported in your ITR.
Compliance ChecksRegular checks to avoid any tax-related issues.
Support and GuidanceOngoing support to address any tax-related queries and ensure compliance.

Claiming Business Expenses

Expense Type Description
Operational ExpensesClaim deductions for rent, salaries, interest payments, and other operational costs.
DepreciationMaximize depreciation claims for your business assets.
Other DeductionsExplore additional deductions under Sections 80C, 80D, and 80TTA to further reduce your tax liability.

Depreciation Strategies

Service Description
Identify Eligible AssetsDetermine which assets qualify for depreciation.
Calculate DepreciationAccurately calculate depreciation using the appropriate methods.
Claim DepreciationEnsure you claim the maximum allowable depreciation in your ITR.

Exemptions and Tax Benefits

Exemption Type Description
Standard DeductionUtilize the increased standard deduction of ₹75,000.
Investment DeductionsExplore investment options under Sections 80C, 80D, and 80TTA.
Other ExemptionsIdentify other exemptions and tax benefits available under the latest tax reforms.

Practical Example

Let's break down how this works in a real-world scenario for a business owner:
Component Amount (₹) Remarks
Gross Income15,50,000 Business Income (₹15,00,000) + Interest Income (₹50,000)
Operational Expenses3,00,000 Rent, salaries, interest payments, etc.
Depreciation2,00,000 Depreciation on business assets
Other Deductions50,000 Under Sections 80C, 80D, and 80TTA
Total Deductions5,50,000 Sum of all deductions
Taxable Income10,00,000 Gross Income - Total Deductions
Know Your Taxable Income for FY 2025-26!

Find out how the latest tax changes impact your earnings. Choose the best regime for maximum savings!

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