The Financial health of any nation decides the strength, stability and development of nation. Taxes which are imposed and collected by different government agencies are the main source of national income and critical to any nation. These taxes are broadly classified into Direct Tax and Indirect Tax and the collected under different heads like income tax, excise, sale tax, wealth tax, gift tax, VAT etc. Indian Government has Ministry of Finance to look after taxation and its collection by enactment of various laws, their amendment to keep pace with technology and other development in society. These enactments also provide for penalties for failure to pay taxes regularly. In India taxation regime is broadly governed by following acts.
THE DIRECT TAX LAW