F.A.Q on Indian Income Tax Laws F.A.Q on Indian Income Tax Laws The blog is regarding Indian Income Tax Laws.The format is FAQ.Readers can also ask question Articles
A Tale Of Gifts Between Mother & Daughter!
2008-02-23 16:14:00 My daughter was holding one plot of 9000 sq. ft bought in 1995 and in 2007 she has gifted this plot to her mother by way of settlement deed.My question is can her mother sell this plot under long term capital gain tax and if she reinvest this amount for new residential flat (she is already holding one flat in her name) what will be the tax liability. And can she again gift the new flat to her daughter.Surendar Lachhmandas , Chennai You have asked two questions: Whether exemption for reinvestment of the proceeds of sale of the plot is allowable in hands of mother who got he gift of plot from her daughter? Whether the new residential flat purchased out of sale proceeds of plot can be gifted to daughter? Answer to first question is YES. The cost of acquisition to your daughter will be the cost of acquisition of mother and the asset will be long term capital asset.Section 49 of the I T Act has express provison regarding such transfer . The said section provides regarding cost ... More About: Gifts , Mother , Daughter , Tale , Capital Gain
Seven Points One Must Know Before Investing In FD for Deduction u/s 80C
2008-02-23 09:07:00 1. Who can buy these FDR? Individual or HUF can get deduction u/s 80C for buying Fixed Deposit in any schedule bank . 2. What is lock in period in case of FDR? Five years without any facility for premature encashment.So the money is certainly stuck for five years . 3. How much deduction can be claimed through bank's FDR? The maximum deduction one can avail is of Rs 1 Lakh. But that deduction is within overall limit of Rs 1 lakh for section 80C . What it means that if you have PF deduction of Rs 40000 in a year and you made a FDR of Rs 1 lakh , you can claim only Rs 1 lakh of deduction and not Rs 1.4 Lkah. 4. Can you get deduction u/s 80c for making FD in minor or in spouse name ? The deduction u/s 80C is allowed only in name of person who actually invest in his own name not in any family members name. Therefore, if one wants to invest for spouse or minor , at best he can buy the FDR jointly and keeping his name as first holder. 5. Can you take loan ... More About: Investing , Points
Can You Claim Deduction For Pilot Training Course?
2008-02-23 07:07:00 My son is doing Commercial Pilot Training at New Zealand & I had availed Education Loan from Corporation Bank in August 2007. The loan is in the joint name of my son & my wife & myself is the guarantor. I have paid interest debted towards loan regularly. My question is whether the intetrest paid towards this loan is eligible for deduction under section 80E for filing my Income Tax Return .SURESH T, Mumbai Your claim of deduction is not allowable on two grounds 1. the deduction is allowable to an assessee who has taken education loan. You have not taken the loan. Your son and wife have taken . There fore , you are not eligible for claiming deduction despite the fact that you have paid amount of interest. Read the provision of section 80E carefully 80E. (1) In computing the total income of an assessee, being an individual, there shall be deducted, in accordance with and subject to the provisions of this section, any amount paid by him in the previous year, out...
Can Employer Ask For Proof Before Allowing Deduction?
2008-02-23 06:33:00 Can an employer give benefit of Sec. 80DD while issuing Form 16? If so, what documents should the employer obtain from the employee? Or should the employee claim this directly while filing his/her ROI?Is actual proof of expenditure required? Or deduction of 50k is granted irrespective?This is with respect to an employee who is claiming this for his sister. Narayan Ramakrishnan , Mumbai Yes, an employer can give benefit of deduction u/s 80DD . In fact , the employer is supposed to give benefit of deduction claimed by an employee. This is clear from the Circular issued by the Central Board Of Direct Taxes every year for deduction of tax at source in case of salaries. For FY 2007-08 , CBDT issued circular no 8/2007 dated 5/12/2007 . As per this circular , the Drawing & Disbursing Officer should allow deduction claimed by the employee but they are also supposed to satisfy themselves about genuineness of the claim . The exact wording is as under DDOs to satisf... More About: Proof , Employer
How To Open A Liaison Office In India?
2008-02-23 05:06:00 A liaison office is often required by a foreign company for interacting with India n company. India allows a liaison office following activities: Representing the parent Company in India Coordinating and communicating with Indian companies Promoting export/ import from/ to India Finding ways for enhanced technical / financial collaborations between the parent companies and companies in India. How to Apply for Liaison office? Following forms have to be submitted to Reserve Bank Of India. Form FNC 1 – 3 Copies . Letter from the Principal officer of the Parent Company to RBI The latest audited Balance Sheet of the Parent Company. Letter of Authority from the Parent Company in favour of local representative. Two copies of the English version of the Memorandum and Articles of Association (Charter Documents) of the Parent Company attested by Indian Embassy/Notary Public in the country of registration. Restriction on Liaison office No ... More About: Office , Open
What Are The Diseases Covered Under Section 80DDB?
2008-02-20 05:32:00 As per Rule 11DD of the I T Act , following diseases or ailments are covered(i) Neurological Diseases where the disability level has been certified to be of 40% and above, (a) Dementia ; (b) Dystonia Musculorum Deformans ; (c) Motor Neuron Disease ; (d) Ataxia ; (e) Chorea ; (f) Hemiballismus ; (g) Aphasia ; (h) Parkinsons Disease ; (ii) Malignant Cancers ; (iii) Full Blown Acquired Immuno-Deficiency Syndrome (AIDS) ; (iv) Chronic Renal failure ; (v) Hematological disorders : (i) Hemophilia ; (ii) Thalassaemia.Who are prescribed authorities to issue certificate ?Neurological Diseases , a Neurologist having a Doctorate of Medicine (D.M.) degree in Neurology or any equivalent degree, which is recognised by the Medical Council of India.Malignant Cancers- an Oncologist having a Doctorate of Medicine (D.M.) degree in Oncology or any equivalent degree which is recognised by the Medical Council of India.Chronic Renal failure- a Nephrologist having a Doct... More About: Section , Covered
Can Husband Claim Deduction Of Interest On Loan Used For Buying House In Na
2008-02-11 07:27:00 We have bought a house in my name.I am a house wife with no income.The loan is taken in my name.My husband pays the EMIs towards the loan.Can my husband claim this amount as deduction from his taxable income. Seema , Chennai Since you have no source of income and the house is constructed /bought in your name by the money of your husband and loan being repaid by your husband, the income from such property should be assessed in your husband's name only as you are only Benamidar of the property. There are clear provisions under I T Act for such diversion of assets without adequate consideration. Section 27 (i) and section 64(1)(iv) are the two provisions which deals with situation described by you. Section 27(1) This by virtue of section 27 of the I T Act which reads as under 27. For the purposes of sections 22 to 26? (i) an individual who transfers otherwise than for adequate consideration any house property to his or her spouse, not being a transfer in connection with an... More About: House , Buying , Loan , Interest , Husband
Is Gift From Son Of My Wife's Sister Taxable?
2008-02-09 08:02:00 Whether my wife can claim exemption under gift tax if she receives gift of Rs 5 lakhs from her mother's sister's son. if it is to be taxed then at what rate.what is the procedure to be adopted. Saurabh, Gurgaon Receipt of gift is tax free without any limitation if received from "relative". The word relative has been defined under Explanation given section 56(2)(v) which is reproduced below: Explanation.For the purposes of this clause, relative means (i) spouse of the individual; (ii) brother or sister of the individual; (iii) brother or sister of the spouse of the individual; (iv) brother or sister of either of the parents of the individual; (v) any lineal ascendant or descendant of the individual; (vi) any lineal ascendant or descendant of the spouse of the individual; (vii) spouse of the person referred to in clauses (ii) to (vi); It means that if your wife receives gift of any amount from 1. You 2. Your brother or sister 3. Her brother or sister ... More About: Gift , Sister
Is Tuition Fee For Part Time Course Eligible For Deduction u/s80C?
2008-02-08 13:36:00 I am working in industry since last two years. I recently joined for certificate course in Mumbai university. I paid Rs. 30000/- fees for four months course. The finance people of my company are saying that I am not entitled for tax exemption as it is part time course (on Saturday and Sunday). is it true that only full time course are exempted from tax? kindly suggest. Jayesh Parmar, Mumbai Plain reading of the I T Act shows that the word used in section 80C(xvii) is "for the purpose of full-time education ". Here is the extract of the provision u/s 80C(XVII) (xvii) as tuition fees (excluding any payment towards any development fees or donation or payment of similar nature), whether at the time of admission or thereafter, (a) to any university, college, school or other educational institution situated within India; (b) for the purpose of full-time education of any of the persons specified in sub-section (4); It is clear from the aforesaid provisions that part ... More About: Time , Part , Tuition
Is Fee To Lawyers or CA For Income Tax Case Allowable Expenditure?
2008-02-08 06:38:00 I have paid Rs15000/- as legal fee to my Income Tax Lawyer in Jan 08 for representing my Scrutiny case of A/Y 2005-06, Can I Claim deduction of this amount from my salary income of A/Y 2008-09.Harish Chander Kochhar, Beas District Amritsar The simple rule for allowance of an expense under Income Tax Law is that all expense incurred for earning taxable income should be allowed. You are earning salary income , and no part of your salary earning was dependent on the expense you incurred on scrutiny assessment. Moreover there is no provision for any kind of expense allowance against salary. So, Rs 15,000 is not claimable expense. What would have been the position in case of business income? There are contradictory decision on the allowance of fees to chartered accountants or lawyers for income tax proceedings in case of earning of business income. First the favourable decision for assessee In Commissioner Of Income Tax, (Central), New Delhi. vs Dalmia Dadri Cement Limited. 125 ITR... More About: Lawyers , Case , Salary
When Can A Person Be Said To Be Dependent On Others?
2008-02-07 17:47:00 1. An employee wants to claim rebate under Section 80D for his father /mother who is getting pension. Is it allowed? 2. Under what circumstances the children of an employee are dependent (regarding age etc.) Padma Hosamani It is important that law makers have prefixed words "parents or children " with dependant in section 80D. It means that payments for mediclaim for parents or children are not eligible for deduction u/s 80D if they are not "dependant" on the individual. However, there is no definition of "dependant " under the I T Act. In absence of definition, we should refer the natural meaning of dependant. The term “dependent” has been defined as “[o]ne who relies on another for support; one not able to exist or sustain oneself without the power or aid of someone else.” Black's Law Dictionary 470 (8th Ed. 2004) In my opinion if the person (parent or child) has his /her own source of income to the extent tha... More About: Person , Dependent
Whose Tuition Fee Payment Can Save You Tax U/s 80C ?
2008-02-06 08:04:00 Sir,I am a working women and my husband has gone for higher education for which i am paying the education fees. can i claim for tax rebate for this? if yes under which sec and upto what limit.Dr Usha Pandey, Gaziabad Let us see first what is the provision under I T Act . Clause xvii of section 80C is for payment of tuition fee. Here is the excerpts of that clause "(xvii) as tuition fees (excluding any payment towards any development fees or donation or payment of similar nature), whether at the time of admission or thereafter, (a) to any university, college, school or other educational institution situated within India; (b) for the purpose of full-time education of any of the persons specified in sub-section (4);" Sub section 4 of the section 80C provides definition of certain terms used in section 80C .Please give attention to clause [c] of Sub Section 4 of Section 80C which defines "persons specified for clause (xvii) " : "4) The p... More About: Payment , Save , Tuition
How To Save Tax In Case Of Deep Discount Bond?
2008-02-06 07:27:00 I hold ten Deep Discount bonds issued in 1996 by ICICI Bank with face value( redemption value) of Rs. 16000 each.The issue price was Rs. 4000 each. I have not declared interest accrued annually in my tax return. The Bond s shall be due for redemption in October 2008. Please inform the best way to save income tax. Sharad, Delhi Remember , in case Deep discount bond, two kinds of income may generate in two different conditions; If the bond matures, the redemption price minus the issue price will be charged as interest income. If you sale before maturity, the difference between Sale price and issue price will be charged to capital gains.No indexation is allowed as section 48 of the I T Act does not permit indexation incase of bonds and debenture. Since the tax rate in case of long term capital gains is 20 % , selling before maturity is better tax planning if your total income happens to be in 30 % rate bracket . In your case , the total interest chargea... More About: Case , Save
Who Will Get Dedcution U/s 80E If Loan Is Jointly Taken By Father & Son In
2008-02-06 05:14:00 A father and a son are co-applicants in an education loan taken for the son's MBA. The Loan has been disbursed by State Bank of India in the financial year 2004-2005. A separate guarantors has also been furnished in the said loan. My question is whether father can claim deduction u/s 80 E if he pays EMI in respect of the loan in his own income tax return for the financial year 2007-2008 relevant to Assessment year 2008-2009. The father has paid the EMIs from his income chargeable to tax for the financial year 2007. Or is it only the son who can claim deduction?Please let me know the same. I shall be highly grateful to you. Shailesh Jaipuria, Mumbai The educational loan was taken jointly in Fy 2004-05 by father and son. Therefore, the provision u/s 80E of the Income Tax Act at the time of taking educational loan should be applicable. Let us see what the provision of section 80E during FY 2004-05 . 80E. (1) In computing the total income of an assessee, being an individual, there... More About: Father
Date For TDS Return For September 2007 Extended !
2008-02-02 16:05:00 A News You Can Use F.No. 275/6/2008-IT(B) Government of India Ministry of Finance Department of Revenue Central Board of Direct Tax ***** New Delhi dated 28th January 2008 Subject :- Order under section 119(2)(a) of the Income –Tax Act, 1961 regarding extension of time for filing of Tax Deduction/Collection at source Return s for the 2nd quarter and non-levy of penalty for delay in filing for the same. In exercises of the powers conferred by clause (a) of sub-section (2) of section 119 of the Income-Tax Act’1961, the Central Board of Direct Taxes hereby extends the due date for filing of quarterly statements of Tax Deducted at Source (TDS) and Tax Collected at Source (TCS) for the quarter ending 30th September 2007 of financial year 2007-08 as per the provisions of section 200(3) and proviso to section 206C(3) respectively, to 29th February 2008. (Ansuman Pattnaik) Deputy Secretary (Budget) Tele Fax No 2309 2641 More About: September 2007 , Extended
Can Wife Claim Deduction if Husband Takes The Insurance Policy?
2008-02-01 04:16:00 I am working for a pvt company and so is my husband. Currently I have no insurance policies under my name. My husband has 3 policies and we have just taken a Rs.1 lakh policy for my daughter. We would like to split the premiums paid for both of us. My husband would be claiming my daughter's policy and I would like to claim for the premiums paid on my husband's policies, as he would not be claiming them. Can this be done?Pallavi Peela, Hyderabad The payment for insurance on spouse and children is given deduction u/s 80C of the I T Act. Even if two persons are husband or wife, they are not allowed to share the deduction. according to their wishes.The deduction is allowed to an individual who PAYS the sums . It means that , you will get deduction u/s 80C for insurance premium payment which is shown as paid by YOU.Similarly payments made by your husband is allowable as deduction to HIM only. Section 80C(1) uses the words"to effect or keep in force an insurance on li... More About: Insurance , Wife , Policy , Husband
Rule For Valuation Of Specified Security For FBT Notified!
2008-01-28 03:59:00 A News You Can UseCBDT has notified new rules for valuing the specified securities for the purpose of fringe benefit tax. The rule 40D given below is self explanatory [TO BE PUBLISHED IN THE GAZETTE OF INDIA, EXTRAORDINARY, PART -II- Section 3- Sub-section (ii)] GOVERNMENT OF INDIA MINISTRY OF FINANCE (Department Of Revenue) (CENTRAL BOARD OF DIRECT TAXES) Notification New Delhi, the 18th January, 2008 INCOME-TAX S.O. 113(E). – In exercise of the powers conferred by section 295 read with Explanation (i) to clause (ba) of sub-section (1) of section 115WC of the Income-tax Act, 1961 (43 of 1961), read with section 22 of the General Clauses Act, 1897 (10 of 1897), the Central Board of Direct Taxes hereby makes the following rules further to amend the Income-tax Rule s, 1962, namely:- 1. (1) These rules may be called the Income-tax (Second Amendment) Rules, 2008. (2) They shall come into force with effect from the 1st day of April, 2008. 2. In the Income-tax Rules, 1... More About: Security , Valuation
Which Investments In Your Family Member's Name Save Tax For You?
2008-01-26 19:37:00 I bought a ULIP from HDFC in my spouse name & I want to claim rebate us 88 as my wife is a homemaker and do not have any source of income,thus do not file any return.I am the primary nominee of the policy and have paid the check from my bank account.Can I claim the rebate by giving a declaration of the above statement. Please suggest as I am in deep trouble. Sanjay Chakraborty, Kolkata I want to know if i can avail tax benefit for a LIC premium which has been paid by me for my husband. The insured person is my husband. Asha Gautam, Navi Mumbai Answer to both of you : YES. I find that aforesaid question is appropriate as the month of March is very near.Everyone is busy computing their income tax liability. Therefore, I find only appropriate that the aforesaid questions should be answered in detail. Under the I T Act, as far as investment is concerned , maximum deduction one can avail of Rs 1 lakh . This is under section 80C of the I T Act. Following investments ... More About: Family , Investments , Save
ePayment Of Tax Now Mandatory!
2008-01-26 18:36:00 A News You Can Use Companies and all assessee for whom tax audit u/s 44AB is mandatory are now required to file tax ONLINE only. Read the press release which is self explanatory. No.402/92/2006-MC (05 of 2008) Government of India / Ministry of Finance Department of Revenue Central Board of Direct Taxes *** New Delhi dated the 23rd January 2008 PRESS RELEASE The optional scheme of electronic payment of taxes for income-tax payers was introduced in 2004. With a view to expand the scope of electronic payment of taxes, it is proposed to make the scheme mandatory for the following categories of tax-payers:- (i) All corporate assesses; (ii) All assesses (other than company) to whom provisions of section 44AB of the Income Tax Act are applicable. 2. The scheme of mandatory electronic payment of taxes for income-tax payers is proposed to be made applicable from 1st April, 2008. 3. Tax-payers can make electronic payment of taxes through ...
Can Rent Paid Be Deducted From Rent Earned?
2008-01-21 03:11:00 My husband is employed in a nationalised Bank and is having a flat in his name which has been let out . But at present he is posted outside Mumbai, so we (his family consisting of wife and children) are staying in a rented flat. The rent of this flat is less than the income from the rent of my husband's flat. My query is: ; 0; My husband is paying tax on the rental income of the flat.Can the amount of rent paid by him for the rented apartment be deducted from the rental income and subsequently the reduction of tax liability ? Seema I am afraid there is no such provision under the I T Act. The flat owned by your husband has to be assessed under the head "income from house property" and from there he is allowed to deduct municipal tax paid, 30 % of net annual value as repair and maintenance cost and any interest on borrowed fund used for purchase of that house. No other expense can be... More About: Paid , Rent
Is Investment In A Firm Liable To Wealth Tax?
2008-01-19 07:52:00 I think investment in partnership firm is not attracted by India wealth tax act. Confirm quoting section. R.Raja Raman ,Banglore I do not think so. The interest in a firm is certainly assessable under Wealth Tax Act. The confusion is created because the asset defined under section 2(ea) of the Wealth Tax Act does not contain any word like "interest in in a firm" or "investment in a firm". (ea) assets, in relation to the assessment year commencing on the 1st day of April, 1993, or any subsequent assessment year, means (i) any building or land appurtenant thereto (hereinafter referred to as house), whether used for residential or commercial purposes or for the purpose of maintaining a guest house or otherwise including a farm house situated within twenty-five kilometres from local limits of any municipality (whether known as Municipality, Municipal Corporation or by any other name) or a Cantonment Board, but does not include (1) a house ... More About: Investment
Can You Claim Dedcution u/s 80C For Loan On Second Home?
2008-01-19 06:26:00 Do I get tax rebate at source (govt. office) on loan taken for construction of second house which I am self occupied the loan was taken in the year 2006 may and occupied in 2007 march .the first house is rented out in the year 2007 and I have already claimed the interest rebate earlier from the year 1990 to 2005. presently my employer is denying rebate at source on the second loan and asking me settle as return by directly filing with IT authorities.kindly advice. Nagaraja Viswanatha, Banglore When a person takes loan for constructing house or purchasing house , he is entitled to deduction of interest from house property income u/s 24 and amount of principal paid from gross total income u/s 80C . While the interest u/s 24 is allowable for every property one purchases by taking loan, the deduction u/s 80C is allowable only once. In other words, if you purchase a house , you can claim interest u/s 24 and deduction u/s 80C both. Let us say , you again purchased a house by borr... More About: Home , Loan
What Benefit Is Available To Indian Citizen While Deciding Residential Stat
2008-01-15 17:09:00 I was working in India all the while till July 2007 and moved to Singapore on employment in August 2007. So, for FY2007-08, I would have stayed 5 months in India and 7 months in Singapore. The rules at one place seem to suggest that "If I'm out of India for more than 183 days, then I'm a NRI", while in the next sub-clause it seems to suggest that "If I've stayed for more than 365 days in the preceding 5 years, then I'm a resident" In the above case of mine, both are true ... !!! So now for the next assessment year, what am I as per the Income Tax Rules - Resident or NRI ... ? Does it make me liable to pay tax in India for income in Singapore ... ? Manish Bapat, Singapore The law of residency is given in section 6 of the I T Act .The said section provides as under 1) An individual is said to be resident in India in any previous year, if he (a) is in India in that year for a period or periods amounting in all to one hundred and eighty-two days or more ;... More About: Residential , Indian , Stat , Benefit , Citizen
Can Married Woman Get Deduction For Treatment Of Her Sister?
2008-01-15 16:15:00 I have a sister who is mentally retarded and she and my mother are dependent on me. I am married and have two kids one 4 year old and other 15 month old. I wish to know whether I can claim deduction under disability provision.Jyothi, Delhi Mental retardation is an ailments within the definition of Disability Act. Read this to know more .The definition of dependent is given in Explanation under the section 80DD is as under : (b) dependant means (i) in the case of an individual, the spouse, children, parents, brothers and sisters of the individual or any of them; (ii) in the case of a Hindu undivided family, a member of the Hindu undivided family, dependant wholly or mainly on such individual or Hindu undivided family for his support and maintenance, and who has not claimed any deduction under section 80U in computing his total income for the assessment year relating to the previous year; Since sister is dependent on you ,a deduction of Rs 50,000 can ... More About: Treatment , Woman , Sister , Married
Are You Resident or Non Resident? Check This Residential Status Calculator!
2008-01-15 05:23:00 Are you resident or non resident? Here is a calculator for checking your residential status. I shall be improving upon this calculator and any suggestion in this reagrd is welcome. Following points need attention before you use this calculator :Fill up yellow cells.Only first four digits of the financial year should be written. For example, if you want to check for Fy 2006-07, write 2006 only. More About: Residential , Calculator , Check , Status , Resident
Do Registration & Stamp Duty Payments Save Tax?
2008-01-13 18:30:00 I am a salaried employee, recently bought House and got registered, I incurred 1.70 lacs Registration fees & Stamp Duty . my question is is Registration Fees & Stamp Duty exempt from tax. If yes under which section and max exemption amount . Ventakatesh, BangloreDefinitely yes. The deduction u/s 80C also covers the registration and stamp duty payments. The maximum deduction u/s 80C is Rs 1 lakh which includes deduction on registration and stamp duty also. Clause xviii of section 80C(2) provides for deduction of expense on construction or purchase of house. The sub-clause (d) of the clause (xviii) provides for deduction of registration and stamp duty. Here is the excerpt of the said sub-clausexviii) for the purposes of purchase or construction of a residential house property the income from which is chargeable to tax under the head Income from house property (or which would, if it had not been used for the assessees own residence, have been chargeable to tax under that head),... More About: Save , Stration
Why Should I Pay Tax On 13 Months' Salary When I Earned For 12 Months Only?
2008-01-13 15:43:00 I am working in SSSIHMS Prasanthigram.Today I received a notice from our Director asking for my income tax deduction for 13 months from March2007 to March2008 since they are going to pay me March2008 salary on 31.03.2008.which they were not practicing in previous years.Only because they credit my pay to my account 24 hours ahead of completion of the financial year I have to pay excess income tax of one month's salary though actually I earn for 12 months ,receive for 12 months and should pay my tax for 12 months also.Please advise me what steps should I take to avert extra month's tax for which I am not due. Name Withheld, PrasanthigramThe salary is taxable either on due basis or receipt basis. This is clear from section 15 of the I T Act which is as under15. The following income shall be chargeable to income-tax under the head Salaries(a) any salary due from an employer or a former employer to an assessee in the previous year, whether paid or not;(b) any salary paid or allowed to ... More About: Salary , Months , Mont , N 13
Can Non Resident Having Taxable Income Afford Not To File The Return Of Inc
2008-01-08 15:32:00 I m a NRI, and do not have any source of income in India. therefore i m not filling my returns.however there is a possibility of some income in India in near future whereby the income earned is with TDS.Can you pls advice me if it is required to file tax returns ? or the income earned in India can be directly deposited in NRO account after the deduction of tax at source.Narender Sharma, Gurgaon The answer is yes, but this facility is only for Non Resident Indian , provided certain conditions are fulfilled.Chapter XII-A in the I T Act provides special provisions relating to certain incomes of non-residents. Under this chapter, there is express provision u/s 115 G of the I T Act as under: 115G. It shall not be necessary for a non-resident Indian to furnish under sub-section (1) of section 139 a return of his income if (a) his total income in respect of which he is assessable under this Act during the previous year consisted only of investment income or income by way of... More About: File , Income , Return , The Return
Where Can I Get The Prescribed Form For Disability Certificate For 80DD or
2008-01-04 10:50:00 Three sections under I T Act prescribes for deduction on account of medical reasons. Section 80DD,80DDB and 80U . Two important points need mention 1. Although these sections still state that such certificate should be attached with the return of income, the return itself from Asst Yr 2007-08 has gone under a total change and no documents are to be enclosed with the return. This must be unintended confusion by law makers. In due course , there may be amendment to these provisions .However, in any case I feel you will have to get these ailments certified and then claim the deduction. The certificates should be preserved with you for future requirements, if ever department wants to see it. 2. The Rule 11A of IT Rule under Sub-rule 2 prescribes " (2) For the purposes of sub-section (4) of section 80DD and sub-section (2) of section 80U, the assessee shall furnish along with the return of income, a copy of the certificate issued by the medical authority,? (i) in Form No. 10-IA-, where... More About: Disability , Forms , Sabi , Cert
Does Definition OF Parent in 80DDB Mean Father-in Law or Mother -in -Law?
More articles from this author:2008-01-03 19:12:00 MY QUESTION IS WHETHER THE DEFINITION "DEPENDENT PARENT" INCLUDE "FATHER IN LAW OR MOTHER IN LAW".ONE OF MY LADY ASSESSEE WHOSE HUSBAND IS A GOVERNMENT SERVICE HOLDER, SHE IS DOING TRADING BUSINESS, SHE HAD EXPENDED DURING 01/04/2006 TO 31/03/2007 FOR MEDICAL TREATMENT OF HER "FATHER-IN-LAW" WHICH DISEASE IS COMING UNDER 80DDB. ADVISE ME WHETHER SHE HAS THE ELIGIBILITY TO GET DEDUCTION U/S 80DDB. AGAIN SHE ALSO MADE SOME EXPENDITURE FOR HER OWN FATHER AND MOTHER DURING THAT PERIOD, BUT SHE HAS HER OWN EMPLOYED BROTHER. IN THIS CASE WHETHER SHE WILL BE ELIGIBLE TO GET DEDUCTION U/S80 DDB.RANJAN KUMAR MISHRA, BalasoreThe meaning of dependent was explained in this posting. Explanation to section 80DDB is clear on the meaning of dependent . It says"(b) dependant means (i) in the case of an individual, the spouse, children, parents, brothers and sisters of the individual or any of them;" As per Oxford dictionary, the word parent meansnoun 1 a father or mother. 2 an animal or plant from... More About: Mother , Definition , Father , Parent , Fath 1, 2, 3, 4, 5, 6, 7 |
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