Excellent Idea.
My financial year is about to end on this 31st march.
Had some funds which I can invest into my business.
Normally I list purchases as Online Business acquisitions. And thus the money spent to acquire it is my expense. To keep that business [Domain, Website] running I have to pay renewals, make calls, do marketing, get new PC's, hire a kid or two. etc are indirect expenses. Well those kids also need a place to sit so furniture comes in. Oh yes I also give them a free lunch and snacks in noon so that expense is also put into account. Electricity is another expense. Rent of the office itself is expense. If you own the office then the depreciation and maintenance of the building itself is the expense. Travels expenses and petrol bills are taken as expenses.
When the business is sold it comes back in income part. Which again I have the luxury of re investing without asking anyone
For domain name owners or website developers on small scale it might be a joke. But on larger scale I think we have to cover the "S" otherwise in future there will be legal actions taken against us.
If anyone is from India and thinks he doesn't have to pay taxes then its wrong.
You have to pay taxes in India. And if your transactions are above 25K per year then you have to get the IEC code [Import Export Code] as internet signals are now falling under that part.
There is a heavy penalty and hard actions taken against this type of stuff. So clear it all in advance and sleep well without any fear. Saving a penny right now by going around the tax is going to create loads of trouble in future. And the time once gone will never come back. So you can't start up your time machine and pay the tax.
I recently watched a TV program where some of our guys were making a fighter plane for the first time in India. And I bet they had worked hard enough. The test pilot who was going to test it for the very first time was risking his life for a very less amount of money he gets as a salary. So I salute that kind of persons and by paying my tax I am making sure that I am doing something good for my country. That is the best and easiest way to send your respects to all those who die for your country and you.
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