Best income tax e-filing portal in India Worried about the complexities of tax filing? Just share your details and our tax experts will do it for you!

When Is Compensation Received Under a Business Contract Taxable? Complete

Introduction In the course of business, contracts often include clauses for compensation due to breaches, cancellations, or modifications. The Income Tax Act, 1961, provides specific rules for taxing such compensation. Understanding the tax implications of compensation received under a