Income tax is a form of direct tax levied on the income generated by persons (Individuals, Companies, etc.). It is collected by the Central Government to fund public projects and initiatives. Income is classified into 5 different sources: Income from Salary, Business & Professional, Capital Gains, House Property, and Income from Other Sources.
In the case of Individuals/ HUF, it is mandatory to file the ITR if their gross income in a year exceeds the basic exemption limit of INR 2.5 lakhs. Whereas for companies, firms, etc. it is compulsory to file the ITR irrespective of their income.
However, the calculation of tax liability can change depending on any new guidelines issued by the government during the budget session or additional notification by the income tax department, thereby, making managing tax computation difficult and prone to error.
Sandbox has built Income tax APIs for businesses to integrate into their existing workflows and automate end-to-end Income tax compliance without stressing about the constantly changing ecosystem.
The Calculator APIs facilitate calculations, including precise tax liability and advance tax liability computation, depending on various tax regimes. Additionally, businesses can determine profits and losses, along with tax liability for Domestic, Foreign, or Crypto trades, using various input formats such as tradewise, scripwise, or tradebook.
The Report API serves two main purposes: first, it aids in preparing Income Tax Returns (ITR) by generating a JSON file suitable for uploading onto the Income Tax portal for tax filing. The second set of APIs assists in producing comprehensive and detailed Tax Profit and Loss (PnL) Reports for domestic securities, foreign securities, or crypto.
The OCR API helps to read and classify certain ITR related documents like Form 16. As it helps to extract relevant details by reading and classifying the document.
Updated about 1 month ago