Personal Finance News
2 min read | Updated on July 24, 2024, 14:42 IST
SUMMARY
Income tax is a tax charged on an annual income or profits earned by individuals and businesses in a financial year.
Income tax plays an important role in nation-building, providing necessary revenue for essential services such as healthcare, education, security, and infrastructure.
Income Tax Day is observed on July 24. It commemorates the establishment of income tax by Sir James Wilson in 1860, marking a significant milestone in India's fiscal history. This year, it is the 165th occasion of National Income Tax Day.
While the initial implementation of income tax laid the groundwork, the comprehensive Income Tax Act of 1922 established a structured tax system in the country. It also laid the foundation for a systematic administration framework.
Income tax is a tax charged on an annual income or profits earned by individuals and businesses in a financial year. Here is a simplified breakdown:
Income tax plays an important role in nation-building, providing necessary revenue for essential services such as healthcare, education, security, and infrastructure. Income tax also promotes economic development by permitting investments in various sectors, creating job opportunities, and promoting growth.
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