Income Tax 2016-17 (A.Year 2017-18) Rate, Exemptions, Deductions and Rebate for Salaried Employees under Section 10, Section 24, Section 89(1), Chapter VIA, and Section 87A Income Tax Rate 2016-17 TAXABLE INCOME RANGE RATE OF INCOME TAX Up to RS.2,50,000 NIL Rs.2,50,001 to Rs.5,00,000 10% of the amount by which the income exceeds Rs.2,50,000 Rs.5,00,001 to […]
Procedure for submission of declaration by person claiming receipt of certain incomes without deduction of tax in Form 15G/15H
CBDT Procedure for online submission of statement of deduction of tax under sub-section (3) of section 200
Committee was constituted by the Central Board of Direct Tax, to recommend standard definitions of certain commonly used terms relating to direct tax
Taxpayers can select to login with any one or multiple options of the higher security methods namely – using Aadhaar linkage to generate OTP, Login through Net-Banking or Login using Digital Signature Certificate (DSC)
Interest credited/received on deposits is taxable unless exempt under Section 10 of the Income-tax Act. Such interest income should be shown in the return of income even in cases where Form 15G/15H has been filed
Maximum deduction for contribution made by Employees in NPS is Rs. 2 lakh – Limit for deduction for Employer’s contribution is 10% of Basic Pay + DA
Budget 2016-17 provides for additional deduction of interest paid on housing loan, up to Rs.50,000/- over and above deduction for interest on housing loan up to Rs. 2,00,000, which is applicable to tax payer who is to buy his / her first house
National Pension System is presently subjected to income tax on EET (Exempt Exempt Tax) Basis. Whereas Provident Funds such as PPF, EPF etc and Superannuation Funds are fully exempted from Income Tax on EEE basis (Exempt, Exempt, Exempt). Changes made in Income Tax Provisions in the Budget 2016 has sought to rationalize all these Provident Funds and Pension Funds as far as treatment of income tax in respect of these schemes are concerned
The purpose of this reform of making the change in tax regime is to encourage more number of private sector employees to go for pension security after retirement instead of withdrawing the entire money from the Provident Fund Account.
Announcing relief to small tax payers Shri Jaitley proposed to raise the ceiling of tax rebate U/s. 87A from Rs.2000 to Rs.5000. With this, individuals having income up to Rs.5 lakh will get a relief of Rs.3000 in their tax liability.
Income Tax department has issued clarifications on Redressal of Taxpayer grievances raised due to TDS mismatches
Central Board of Direct Taxes announced Additional modes of generating Electronic Verification Code (EVC) in addition to EVC notified earlier to attract more income tax payers to file their income tax returns online
Allowances though paid under various names, income tax stipulates conditions for including those income as Salary.
Main provision for Salaried employees is Chapter VIA of Income Tax Act provides much needed exemption for savings and expenses mainly made by Salaried employees.