What is input tax? Input tax is the tax paid by a registered dealer or business on the purchases made under that name. The central tax, state tax and integrated tax levied on the supply of goods or services of the registered person or business is the input tax. GST, SGST and IGST are the …
Post Type Archives: Glossary
Insurance
What is Insurance? Insurance is a contract between you (the policyholder) and an insurance company (the insurer). This contract provides you with financial protection against potential losses or risks. The agreement states the terms of when and how much premium you must pay to avail of such protection. In addition, it includes the circumstances that …
Interest Rate
What Does it Mean? Interest rate is the percentage amount of charge applied to the principal amount by the lender, which means that the total money borrowed includes the principal + interest percentage of the principal. The lender can be banks or any financial institution. Bank charges can be either fixed or variable throughout the …
IPO
What is an IPO? An IPO (Initial Public Offering) is the process by which the shares of a private company or corporation are offered to the general public to buy. It is a method by which a company raises capital from public investors. After the IPO, a company becomes public and its shares are traded …
ITR Form
If you have wondered what is an ITR form, the simple answer is that it is a form through which you file an income tax return. You need to furnish your income and employment, tax deductions, and other income tax-related information in the applicable ITR form when filing your returns. Choosing the right form is …
Joining Fee
Are you planning on getting a credit card and wondering what is joining fee.This fee is a one-time payment that you may need to make when opting for a credit card or similar financial products and services. The joining fee may be different with different credit card providers and may also differ based on the …
Late Fee
You may be wondering what is a late fee if you have signed up for credit solutions or financial products. The late fee meaning is simple. It refers to a penalty or extra charge associated with late payment of your financial obligations. These may include EMIs for a loan, credit card bills, premiums for insurance …
Leverage
Leverage or, in this case, financial leverage, meaning an investment strategy where you take on debt to increase investment returns, raise funds for the company or acquire more assets is now becoming more popular. Businesses or individuals can borrow money from lenders for the above purposes, with a commitment to repaying the borrowed amount along …
Liabilities
Liabilities refer to the debts which may include unpaid credit card bills, loans, or mortgages. Having a liability is having legal responsibility to pay your dues. In books of accounts, liabilities are depicted on the right and assets on the left. They refer to all things that you have borrowed and thus owe. For instance, …
Liability
Liability refers to the legal obligation of an individual or a business to repay debts or fulfil other financial responsibilities. It can include loans, accounts payable and other financial obligations. Liabilities are recorded on a company’s balance sheet and are used to assess its financial health.