So can I pay taxes now??

I have a LIC  of 25k per year.

I pay house rent as 7.5k a month.

I pay my car laons of 16k per month,which is on my mom's name,but I ride it.

Internet bills are around 2.5k every month.

Household bills are unlimited.

Dear Soumendra

What nature of funds are coming. Is servicing charges, technical fees or salary. If they are just received as an agent then tell the purpose also.

No,I offer Web Services , and the clients use to pay directly..

Its something like freelancing,you can call..

So,what can be the charges for me ??

You have to pay taxes as per Individual slab rate.

After deducting your business expenditure like travelling exps, telephone / rent / internet/ repairs of machinery / depreciation and expenses incurred exclusively for business purpose ;the net result that is Net profit will arise. After  that Deduction under section 80 C for LIC investment can be claimed. If you want then you can also invest in PPF (maximum 70000/-) and get 80 C deduction from your Income. On net income calculate the tax liability.

One more thing are you registered under Service tax as your receipts exceed 10 lacs

Oh ho..

Whats PPF and where shall I contact to invest in PPF ?

Whats the advantages an disadvantages of Service Tax ?

And Im a one man army. I work alone..

And when do you suggest me to file the ITR ?

And is it necessary that,I need to show them that,I earn more than 10 lakhs a year ??

Can I show it as less than 5 lakhs or so ?

Or do the Income tax guys peep into the Saving Bank accounts ??

I have bought many stuffs for myself and for all of them,I have the bill and invoice,everything.

Will that help me to show as expense ?