income tax on paypal income

A

arjun123

Adept
I hope somebody can help me here. The thing is, besides getting a fixed salary of 1.8 lakh/year from my main job I get a decent amount of money for software consulting from foreign sources via paypal too. Since my PAN number is mentioned in my paypal account I am pretty sure I need to pay income tax over these paypal earnings too. Since this is the first time I will be paying the income tax I wanted to know how I can save tax? I got some decent info from below mentioned link but I want to know if somebody here is actually dealing with this situation? And how to deal with it?

http://www.indiastudychannel.com/experts/27745-Tax-online-earnings-2012-13.aspx
 
Simple.. Invest in PF/PPF to the extent you can. Not only will you be able to save tax, but also save for the future.
If your overall income is not too high, just the PF/PPF investment should help you save the tax. Do note that the amount put into PPF is locked for 15 years.
 
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