How to e-File Income Tax Return (ITR1-Sahaj)?

Thursday, July 26th, 2018 Amritesh 3 responses

The last date to file income tax return for the Financial Year 2017-18 (Assessment Year 2018-19) is 31st July, 2018 (Date extended till 31st August,2018 for certain categories of tax payers). Previously, I had shared details of the Income Tax Return (ITR) Forms applicable for different class of income, link for the same is provided below. Income Tax Filing: Types of Income Tax Forms Income Tax Slabs For Financial Year 2017-18 (Assessment Year 2018-19) In this post I will discuss the probable steps to file return using ITR-1 (Sahaj) form in a nutshell. The detailed instruction related to file income tax return is provided in the link below. Income Tax (ITR-1) Instructions: Income Tax Department ITR-1 (Sahaj) is applicable for…

Income Tax Return Filing: Forms

Tuesday, July 4th, 2017 Amritesh 2 responses

Income Tax Return Forms for the Financial Year 2016-17 (Assessment Year 2017-18) may be downloaded from the Income Tax Department (ITD) official portal. CBDT has provided number of forms for the Income Tax payers depending on the source of income of the respective individuals. The various types of Income Tax Return (ITR) and its applicability have been discussed in this post. Few major changes have been made to the ITR Forms to make it simpler. Changes introduced in the Income Tax Return Forms for the Financial Year 2016-17: Paper Returns can only be filed by Individuals above the age of 80 years or one’s (includes HUF) whose annual income is up to 5 lacs during the Financial Year. New Single…

Equity Linked Saving Scheme (ELSS): An Investment cum Tax Saving Scheme

Sunday, April 30th, 2017 Amritesh 2 responses

Equity Linked Saving Scheme (ELSS) is equity oriented Mutual Fund scheme in which allocation is primarily made in to Equity market. In some of the Schemes partial allocation is also invested in debt instruments to provide more balance to the Fund. However since majority of the investment is allocated in equity it is highly volatile in nature and returns are dependent on the market performance. Thus the prices of the units keep fluctuating with the shifts in the Equity market. Although diversification of funds in equities across sectors reduces the risk. It is an open ended fund and can be subscribed at any point of time. The Funds have their Net Asset Value (NAV) which changes according to the market scenario and Investment…

Income Tax Implication For The Financial Year 2017-18

Friday, February 24th, 2017 Amritesh no responses

FY stands for Financial Year. The Tax Implications shown above is applicable for Individuals below 60 years of age. In the above illustration, I have used the maximum deduction applicable under each income group to minimize the Tax Liability. Income Tax Slabs & Rates Financial Year 2017-18 (Assessment Year 2018-19) BUDGET 2017-18: Things To Know Income upto Rs 2,50,000/- is exempted from Tax. Tax Rebate U/S 87A of Rs 2,500/- is available to Individuals with Income upto Rs 3,50,000/-. Education Cess (2%) and Secondary Higher Education Cess (1%) totaling up to 3% is additionally levied on the Income Tax payable. U/S 80C: Tax Deduction up to Maximum of Rs 1,50,000/- is available on Investment in Life Insurance policies, Public Provident…

Income Tax Slabs & Rates Financial Year 2017-18 (Assessment Year 2018-19)

Monday, February 20th, 2017 Amritesh 2 responses

Revision in Tax Rates was announced in the Budget 2017 for the next Financial Year. The chart above shows the latest Tax rates applicable for the FY 17-18 (Assessment Year 2018-19). Also refer to the points discussed below, explaining in details about the applicability of Cess and Surcharge on Taxable Income. The exemption limit for Senior Citizens has also been discussed. Please also read about the Tax Liability in the Financial Year 2017-18 in the link provided below. Income Tax Implication For The Financial Year 2017-18 *Tax Rebate of 10% (Rs 2500/- maximum) is available under Sec 87A to individuals whose Taxable Income is in the range of Rs 2,00,001-3,50,000/-. No Rebate is available on annual Income above Rs 3,50,000/-.…

Income from Other Sources: Inclusions and Tax Implications

Sunday, October 2nd, 2016 Amritesh no responses

  “Income from Other Sources” is any income which is not taxable under any other “Heads of Income”. Any income which does not specifically come under Income from Salary, Income Business or Profession, Income from House Property or Income from Capital Gain, will be taxed under “Income from Other Sources.   Income from House Property: Tax Implications   Income from Salaries: Tax Implications Following Incomes are taxed under “Income from Other Sources”: Dividends received from non Indian entities is chargeable to Tax. Dividend received from Domestic company is exempt from tax if it chargeable to dividend distribution tax (DDT) U/S 115-O. But as per the Finance Act,2016, Dividend in excess of Rs 10,00,000 received by any individual/HUF/Firm is chargeable to…

Income from House Property: Tax Implications

Wednesday, September 28th, 2016 Amritesh 2 responses

  Any Income earned in form of rent through a property like land, house, apartment, building, etc by the owner is chargeable to tax under “Income from House Property”. Income earned from such properties cannot be included under any other “heads” of Income. Income from Salaries: Tax Implications Income from Other Sources: Tax Implications   Types of Income falling under the heads “Income from House Property”   Income earned in form of rent by the owner is only chargeable to tax under the head “Income from House Property”. It includes any rental income arising out of land/building being let out for residence or shop, commercial purpose of which the tax payer is the legal owner.   Income not considered under…

Applicability of Tax on Retirement Benefits

Sunday, September 4th, 2016 Amritesh no responses

Employees receive monetary benefits at the time of retirement. Such benefits are taxable under the head, “Salaries” as it is profits paid in lieu of salary. Certain tax exemption wholly or partially is also granted on such benefits under the Income Tax Act, 1961. Tax on Retirement Benefits such as Annuity Pension and interest received on lump sum deposits is applicable as per the provisions of the Income Tax Act.  Tax exemption is available U/S 10 of the Income Tax Act. The exemption granted may be wholly or partially depending on the nature of benefit. These tax exemptions are provided on retirement benefits to reduce the financial burden. Furthermore, these financial benefits are for Individuals to sustain themselves and lead…

Heads of Income for Tax Computation

Sunday, July 31st, 2016 Amritesh one response

  The various Heads of Income which is taxable under the Income Tax Act has been discussed below. This is a brief of the various Income Heads which are chargeable to tax, details pertaining to the each head will be discussed in my future posts. Income Tax Filing: Types of Income Tax Forms How to e-File Income Tax Return (ITR1- Sahaj)? Various Heads of Income Income from Salary:Any monetary or facility benefit extended by an Employer to Employee in lieu of service provided is called Salary. For computation of income from “Salary” it important to establish an “Employee “, “Employer” relationship between the provider and receiver.   Components of Salary Include: Basic Pay Dearness Allowance House Rent Allowance Allowance Conveyance Allowance Medical Allowance…

Tax Deductions Available Under Various Sections For Financial Year 2016-17

Sunday, May 1st, 2016 Amritesh one response

Individuals whose Annual Income is above Rs 2,50,000/ p.a- will be liable to pay Taxes on the earnings above the prescribed amount. However, Individuals earning below Rs 5,00,000/- p.a can avail Tax Credit up to Rs 5000/- on the Tax payable. Now we will look at the Tax Deductions available under the Income Tax Act and Sections applicable. We would also find out Investment and Savings options which could be availed. DEDUCTIONS U/S 80C   Deductions are available to the Individuals under Section 80C, 80CCD, 80CCC up to the extent Rs 1,50,000/-. These are now effectively clubbed under Section 80C with the aggregate deduction ceiling of Rs 1,50,000/-. SAVING/INVESTMENT SCHEMES RETURN ON INVESTMENT LOCK IN PERIOD Contribution to Employee’s Provident…
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