Taxation Queries

What is the IT rebate amount under Section 80C and Section 24

You have mentioned Rs. 20,000 tax rebate under section 80c. Does this section allow interest rebate of 20,000. Your post was income tax rebate on housing loan?

Jun 21, 2016 by Chirag, Panaji | Taxation

We do not think that we have mentioned anywhere in our website tax rebate of Rs. 20,000 under Section 80C. According to the Income Tax Act 1961, the maximum tax rebate allowed under Section 80C is... Read More

Can I claim Income Tax benefit on the amount which I spent for loan approval

I am constructing a home for which I applied for plan approval that cost me nearly 1 lac. Are there any tax benefits available for the same? Kindly advise?

Jun 16, 2016 by Pradeep, Chennai | Taxation

No you will not get any Income Tax benefit on the amount spent for loan approval. Income tax benefits are available on the principal and interest amount paid on monthly EMIs for the home loan if it is a self occupied... Read More

Can I avail tax exemption under Section 80C for stamp fee and registration charges of my house

I bought a second hand house in Feb 2016. I want to apply for tax exemption under Section 80C under stamp fee and registration charges. Can I get tax exemption on that?

Jun 15, 2016 by Srinath, Chennai | Taxation

As per current provisions of Section 80C of Income Tax Act, you can not avail tax rebate for stamp fee and registration charges for the old house that you have bought... Read More

For TDS from my salary I have given PAN number of my father instead of mine and my employer has deducted Tax in his name

I work for a MNC in Bangalore, and joined the company in August 2015. While giving the PAN number to the company, by mistake I have given my father's pan card number. The salary for the past 8 months has been credited to me with this PAN number, and not with my own PAN. While filing my income tax returns, is there any way that the salary credited is shown against my PAN number only?

Apr 4, 2016 by Abhay Sibal, Bangalore | Taxation

Firstly, your company should have verified the PAN provided by you for TDS purposes. It is the responsibility of your company to ensure proper tax deduction at source. Usually companies ask their employees... Read More

What are the options available for tax saving after exhausting 80C limit

What are the options available for tax saving after exhausting 80c limit?

Mar 14, 2016 by Rambabu Kopparthy, Chennai | Taxation

Here are some options that are available after exhausting 80C Limit. You can save an additional Rs 50,000 by investing in National Pension Scheme (Section 80CCD). If you have not invested in equities before... Read More

Query regarding availing income tax exemption on Home loan and Rent paid

I have a query regarding availing tax exemption. I am staying in rented house till this month. Also I got possession for my newly purchased house this month. Can I avail tax exemption on rent paid for April to December 2015 and Interest and principal paid for home loan since April 2015 to March 2016?

Dec 28, 2015 by Amol, | Taxation

You can claim tax deduction for house rent payment. If you are salaried and receive House Rent Allowance from your employer, the Maximum allowable deduction is the least of the following... Read More

Where to invest in lieu of Bank Recurring Deposit to avoid TDS

I am searching for some investment options for my parents where monthly investment possible is 1lac rupees. Presently the said amount is being invested in RD which is leading to deduction of TDS. Can you suggest some other options other than insurance plans where the tax deductions can be less?

Nov 13, 2015 by Dwarkesh, Gwalior | Taxation

You have not mentioned the risk profile of your parents, their investment goal and time horizon. Assuming they are looking for an alternative to recurring deposits, you can consider investing in Long Term Income... Read More

How to calculate tax liability

I have a personal question about my Tax liability for current year. I have tried to gather as much information as possible but still my query remains unanswered. Could you please help me to advise my Tax liability basis following and how much additional I can invest under Section 80C so as to avail maximum benefit - 1. Income from Salary: INR 504540/annum, 2. Term insurance premium: INR 25000/annum, 3. Contribution to PF: INR 31331/annum, 4. Rent paid: INR 16028/month?

Oct 12, 2015 by Devdutt Amte, Mumbai | Taxation

You have not provided sufficient information to compute your tax liability. At the very least, information on your Basic Salary, HRA received from your employer and interest received from fixed deposits (if any)... Read More

What happens when wrong PAN number is mentioned while depositing TDS

I have a query regarding the income from other sources(Bank FDs). I have a salary account with a private bank. I gave my PAN number while opening the account but somehow bank has updated it incorrectly. There is a one letter mismatch in the PAN number. 1. I want to ask, what will happen to the TDS which is deducted by bank for the interest on FDs(FDs which I have made in the bank)? 2. Am I right in saying that this TDS will not be reflected in my Form 26AS? 3. Is it also true that Income Tax department will not come to know about the income by these FDs and also the TDS that is deducted by the bank on the interest earned on these FDs? 4. In my case, bank is deducting 10% TDS on the interest earned on FDs. I come in 30% tax bracket. As my PAN is wrong with bank, the income and TDS, both are not shown in Form26AS. I do not have to pay extra 20% tax on this interest income because it is not updated in form 26AS. If I update the PAN in my bank account, both income and TDS will start showing in Form 26AS correctly. And then I have to pay extra 20% tax on this income earned by interest. So, won't it will be a loss of 20% tax for me?

Sep 9, 2015 by Saurabh, Ghaziabad | Taxation

The bank should ensure proper tax deduction at source. In your case, since the PAN is incorrect in the TDS, they may get a notice for Income Tax authorities for . The bank will have to file a revised TDS return... Read More

Suggest Best ELSS Funds for 5 years

Please suggest best ELSS for 5 years and also suggest best plans for 80ccc?

Aug 14, 2015 by Arun Kumar, | Taxation

Some of the best ELSS Plans on the basis of 5 years returns are AXIS Long Term Equity Fund, Franklin India Taxshield, BNP Paribas Long Term Equity Fund, Reliance Tax Saver ELSS Funds and Birla... Read More