Impact of Rupee Depreciation on Common Man

Here are the few areas which highlights the impact of rupee depreciation on Common Man:

1. Importers/Exporters: Importers will be adversely affected as they will have to pay more for same quantity. But conversely exporters will be delighted as they will get more for same quantity.

2. Imported goods: Imported goods will become costly. So, if you are using imported goods then be ready to pay more.

3. Fuel price: A weak rupee will increase the burden of Oil companies which will surely be passed to consumers.

4. RBI’s Monetary Policy: If depreciation of rupee continues, it will increase inflation giving no room to […] Read more

RUPEE IS UNDERVALUED?

A currency with an exchange rate lower than it ought to be is undervalued currency. A currency may be undervalued when its purchasing power, supply and demand are all strong, but still its price is comparatively low.

The rupee has been falling sharply over the past couple of months prompting experts to say it is now overshooting. A currency is said to be valued fairly if the REER (six currency index) Index is close to 100. When REER goes above the 100 mark, the currency is termed to be entering over valued zone and when it goes below 100, it […] Read more

THINGS TO KNOW- CHANGE IN PAN DETAILS

Permanent Account Number (PAN) has to be quoted in income tax returns & for various financial transactions. Application form the The Applicants have to fill the online ‘Request for new PAN card or changes or correction in PAN data form’ on the NSDL website. The holder must check the box on the left where the change/correction is required.

An acknowledgment screen will be displayed on submission, which the applicant must save, print & sign. The applicant must affix two colors photographs on this.

It is mandatory to provide identity and address proofs with the change request. Any changes or corrections in […] Read more

Tax Filing- Mandatory for Salary up to Rs 5 lakh per annum

Circular for compulsory filing of Income Tax Return, for people having salary up to Rs 5 lakh per annum, was issued on 22 July and last date of filing income tax return was 5 August. Considering that people got less time for filing returns and they may missed it, Income tax department allows you to file return for two preceding years, even after you crossed the deadlines.

If you have missed the deadline, you can still file the return. For assessment year 2013-14, you can file returns till 31 March, 2015.

If you file return by 31March,2014 the you will […] Read more

Provident Fund is Taxable- If withdrawn before 5 years of continuous service

Provident fund account becomes non operative if there is no credits or contributions for continuous 36 months & interest will not be credited after that period.

Provident fund is taxable if it is withdrawn without rendering continuous services for five years, though employers can be different. Provident fund’s accumulated amount can be transferred from one firm to another.

For example: If you are working in Firm X for 2 years then you joined Firm Y and you transferred accumulated provident fund amount with Firm X to Firm Y, then it will be treated as continuous service and Provident fund will be considered […] Read more