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Thursday, July 29, 2010
Due date for filing of Income Tax Return ---------- 31.07.2010
Friends,
Due date to file Income tax for Non -audit cases for assessment year 2010-11 is 31.07.2010.But many of us has not filed their return And few person have a impression that there is no need to do so If their employer has deducted the TDS from Salary Income or their taxable Income is less than the exemption limit after taking the benefit of Section 80C to 80U benefit.
But leagal position is different.As per section 139(1) proviso ,income tax return is to be filed if person gross total income not net taxable income , is More than exemption limit means if you have earned 2,50000 in Fy 2009-10 and saved 100000(u/s 80C) and your net taxable income is 250000-100000=150000 Rs even then as per Income tax act,you have to file return as your Gross total income(250000) is more than 160000 .
So as per above rule to check whether Income is more than exemption limit or not for Income Tax return filing purpose ,we should consider income before giving effect to deduction under Chapter VIA ie deduction u/s 80C to 80U.
More over while considering income for Income tax tax return purpose person should not give effect to exemption under section 10A and 10B and 10BA.
So be ready for filing of return if your Gross total Income Is more than exemption limit or even your employer has deducted due tds on your income. As it is mandatory to file retrun of income to such persons .
Relevant rule is reproduced hereunder
Provided also that every person, being an individual or a Hindu undivided family or an association of persons or a body of individuals, whether incorporated or not, or an artificial juridical person, if his total income or the total income of any other person in respect of which he is assessable under this Act during the previous year, without giving effect to the provisions of section 10A or section 10B or section 10BA or Chapter VI-A exceeded the maximum amount which is not chargeable to income-tax, shall, on or before the due date, furnish a return of his income or the income of such other person during the previous year, in the prescribed form and verified in the prescribed manner and setting forth such other particulars as may be prescribed.
Read without giving effect to the provisions of section 10A or section 10B or section 10BA or Chapter VI-A
For Assessment year 2010-11 Exemption Limit for Individual is given below
1. For Male Resident =160000
2. For Female resident=190000
3. For senior citizen resident =240000
4. For Huf=160000
5. For other Individuals =160000
You can download all forms of Income Tax FROM HERE
But leagal position is different.As per section 139(1) proviso ,income tax return is to be filed if person gross total income not net taxable income , is More than exemption limit means if you have earned 2,50000 in Fy 2009-10 and saved 100000(u/s 80C) and your net taxable income is 250000-100000=150000 Rs even then as per Income tax act,you have to file return as your Gross total income(250000) is more than 160000 .
So as per above rule to check whether Income is more than exemption limit or not for Income Tax return filing purpose ,we should consider income before giving effect to deduction under Chapter VIA ie deduction u/s 80C to 80U.
More over while considering income for Income tax tax return purpose person should not give effect to exemption under section 10A and 10B and 10BA.
So be ready for filing of return if your Gross total Income Is more than exemption limit or even your employer has deducted due tds on your income. As it is mandatory to file retrun of income to such persons .
Relevant rule is reproduced hereunder
Provided also that every person, being an individual or a Hindu undivided family or an association of persons or a body of individuals, whether incorporated or not, or an artificial juridical person, if his total income or the total income of any other person in respect of which he is assessable under this Act during the previous year, without giving effect to the provisions of section 10A or section 10B or section 10BA or Chapter VI-A exceeded the maximum amount which is not chargeable to income-tax, shall, on or before the due date, furnish a return of his income or the income of such other person during the previous year, in the prescribed form and verified in the prescribed manner and setting forth such other particulars as may be prescribed.
Read without giving effect to the provisions of section 10A or section 10B or section 10BA or Chapter VI-A
For Assessment year 2010-11 Exemption Limit for Individual is given below
1. For Male Resident =160000
2. For Female resident=190000
3. For senior citizen resident =240000
4. For Huf=160000
5. For other Individuals =160000
You can download all forms of Income Tax FROM HERE
Furnishing/Filing of eTDS/TCS return
Friends,
After verifing your Etds/TCS return you have to file it through a nodal center created by the NSDL. There are following steps/queries to file the return.
Where can I file my TDS/TCS return?
You can file your TDS/TCS return at any of the TIN-FCs managed by NSDL. TIN-FCs are set-up at specified locations across the country. Details are given in the NSDL-TIN website. These can also be furnished directly at NSDL-TIN web-site.
Will annual returns/quarterly statements furnished by entities who are eligible to file the same in physical form be accepted by the Income Tax Department?
No. Physical TDS/TCS returns/statements will be received at TIN-FCs
What are the basic details that should be included in the of e-TDS/TCS return?
Following information must be included in the e-TDS/TCS return for successful acceptance. If any of these essential details is missing, the returns will not be accepted at the TIN-FCs:
1. Correct Tax-deduction/collection Account Number (TAN) of the deductor/collector should be clearly mentioned in Form No. 27A as also in the e-TDS/TCS return, as required by sub-section (2) of section 203A of the Income-tax Act.
2. The particulars relating to deposit of tax deducted at source in the bank should be correctly and properly filled.
3. The data structure of the e-TDS/TCS return should be as per the structure prescribed by the e-Filing Administrator.
4. The Control Chart in Form No. 27A (enclosed in paper form with the e-TDS/TCS return on CD/floppy) should be duly filled and signed.
What are the charges for filing e-TDS/TCS return with TIN-FCs?
You have to pay charges as mentioned below:
No. of deductee records in e-TDS/TCS return Upload charges (inclusive of service tax)
Returns having up to 100 records Rs.30
Returns having 101 to 1000 records Rs.182
Returns having more than 1000 records Rs.606
Is the procedure for filing of e-TCS different from that of filing e-TDS return?
The procedure for filing of e-TCS return is the same as that of e-TDS return except the forms to be used are different. The relevant forms for filing the e-TCS return are:
a) Annual return: Form No. 27E, 27B (Control Chart)
b) Quarterly statement: Form No 27EQ, 27A (Control Chart).
The e-TCS returns are also to be filed with NSDL at the various TIN-FCs.
Should I file TDS certificates and bank challans along with the e-TDS/TCS return?
No, you need not file TDS certificates and bank challans for tax deposited along with the e-TDS/TCS return.
Can more than one e-TDS/TCS return be filed in a single computer media (CD/floppy)?
No, each e-TDS/TCS return should be in a separate CD/floppy along with separate Form No. 27A for each return.
Can a single e-TDS/TCS return be filed in two or more floppies?
No, if the size of the return is more than what can be stored in one floppy then it should be stored in a CD.
Can e-TDS/TCS return be filed in compressed form?
Yes, if e-TDS/TCS return file is filed in compressed form, it should be compressed using Winzip 8.1 or ZipItFast 3.0 (or higher version compression utility only), so as to ensure quick and smooth acceptance of the file.
Do I have to affix a label on the e-TDS/TCS return CD/floppy? What do I mention on the label affixed on the e-TDS/TCS return CD/floppy?
Yes, you should affix a label on the e-TDS/TCS CD/floppy for identification purpose. You should mention your PAN, TAN, name, Form No., Financial Year and period to which return pertains on the label affixed on the e-TDS/TCS return CD/floppy.
What if e-TDS/TCS return does not contain PANs of all deductees?
In case PANs of some of the deductees are not mentioned in your e-TDS/TCS return, the Provisional Receipt will contain the count of missing PANs in the e-TDS/TCS return. You may file the details of missing PANs within seven days of the date of Provisional Receipt to TIN-FC as a corrected e-TDS/TCS return.
If a deductor faces any difficulty in filing of e-TDS return where can it approach for help?
The details regarding the help required for filing of e-TDS are available on the Income-Tax Department website and the NSDL-TIN website. The TIN-FCs are also available for all related help in the e-filing of TDS returns.
Verification of eTDS/TCS return
After preparing your eTDS/TCS return one can check his return whether it filed correctly or not by using the following way :-
After I prepare my e-TDS/TCS return, is there any way I can check/verify whether it conforms to the prescribed data structure (file format)?
Yes, after you have prepared your e-TDS/TCS return you can check/verify the same by using the File Validation Utility (FVU). This utility is freely downloadable from the NSDL-TIN website.
What is File Validation Utility (FVU)?
FVU is a program developed by NSDL, which is used to ascertain whether the e-TDS/TCS return file contains any format level error(s). When you pass e-TDS/TCS return through FVU, it generates an 'error/response file'. If there are no errors in the e-TDS/TCS return file, error/response file will display the control totals. If there are errors, the error/response file will display the error location and error code along with the error code description. In case you find any error, you can rectify the error and pass the e-TDS/TCS return file again through the FVU till you get an error-free file.
What is the 'Upload File' in the new File Validation Utility?
Earlier the e-TDS/TCS return file after validating using File Validation Utility (FVU) had to be filed with TIN-FC. Now 'Upload File' that is generated by the FVU when the return is validated using the FVU has to be filed with TIN-FC. This 'upload file' is a file with the same filename as the 'input file' but with extension .fvu. Example 'input file' name is 27EQGov.txt, the upload file generated will be 27EQGov.fvu.
What are the platforms for execution of FVU?
For Annual Returns, FVU can be executed on any of the Windows platforms mentioned below: Win 95/Win 98/Win 2K Professional/Win 2K Server/Win NT 4.0 Server/Win XP Professional.
For Quarterly Returns, Java has to be installed to run FVU. Details are given in FVU section of NSDL-TIN website.
What are the Control Totals appearing in the Error/Response File generated by validating the text file through File Validation Utility (FVU) of NSDL?
The Control Totals in Error/Response File are generated only when a valid file is generated. Otherwise, the Error/Response File shows the nature of error. The control totals are as under:
* Number of deductee/party records: In case of Form 24/24Q, it is equal to the number of employees for which TDS return is being prepared. In case of Form 26/27/26Q/27Q, it is equal to the total number of records of tax deduction. 10 payments to 1 party would mean 10 deductee records.
* Amount Paid: This is the Total Amount of all payments made on which tax was deducted. In case of Form 24/24Q, it is equal to the Total Taxable Income of all the employees. In case of Form 26/27/26Q/27Q, this is equal to the total of all the amounts on which tax has been deducted at source.
* Tax Deducted: This is the Total Amount of tax actually deducted at source for all payments.
* Tax Deposited: This is the total of all the deposit challans. This is normally the same as Tax Deducted but at times may be different due to interest or other amount.
Are the control totals appearing in Form 27A same as that of Error/Response File?
Yes, the control totals in Form 27A and in Error/Response File are same.
What if any of the control totals mentioned in Form No. 27A do not match with that in e-TDS/TCS return?
In such a case the e-TDS/TCS return will not be accepted by the TIN-FC. You should ensure that the control totals generated by FVU and that mentioned on Form No. 27A match. In case of any difficulties/queries, you should contact the TIN-FC or TIN Call Centre at NSDL.
Wednesday, July 28, 2010
Prepare eTDS/eTCS return Free of Cost
Friends,
Now a days Income Tax Department is making it compulsory to file your tax retruns in electronics mode in the way of eTDS/eTCS statements. For that purpose one have to go to his nearby NSDL authorised centre for preparatipon of that return. Here are some helpful question answers with the help of these queries one can file its eTDS/eTCS return by it self and save money.
Read the following and make the difference :-
Preparation of e-TDS/TCS return
How should the e-TDS/TCS return be prepared?
e-TDS/TCS return has to be prepared in the data format issued by e-Filing Administrator. This is available on the Income Tax Department website (www.incometaxindia.gov.in) and NSDL-TIN website (www.tin-nsdl.com). There is a validation software (File Validation Utility) available along with the data structure which should be used to validate the data structure of the e-TDS/TCS return prepared. The e-TDS/TCS return should have following features:
1. Each e-TDS/TCS return file should be in a separate CD/floppy.
2. Each e-TDS/TCS return file should be accompanied by a duly filled and signed (by an authorised signatory) Form No. 27A in physical form.
3. Each e-TDS/TCS return file should be in one CD/floppy. It should not span across multiple floppies.
4. In case the size of an e-TDS/TCS return file exceeds the capacity of one floppy, it should be filed on a CD.
5. If an e-TDS return file is required to be compressed, it should be compressed using Winzip 8.1 or ZipItFast 3.0 compression utility (or higher version thereof) to ensure quick and smooth acceptance of the file.
6. Label should be affixed on each CD/floppy mentioning name of the deductor, his TAN, Form no. (i.e. 24, 26 or 27) and period to which the return pertains.
7. There should not be any overwriting/striking on Form No. 27A. If there is any, then the same should be ratified by an authorised signatory.
8. No bank challan or copy of TDS/TCS certificate should be filed alongwith e-TDS/TCS return file.
9. In case of Form Nos. 26 & 27, deductor need not file physical copies of certificates of no deduction or lower deduction of TDS received from deductees.
10. In case of Form 24, deductor should file physical copies of certificates of no deduction or deduction of TDS at lower rate, if any, received from deductees. However, there is no such requirement in case of Form 24Q.
11. e-TDS/TCS return file should contain TAN of the deductor/collector without which, the return will not be accepted.
12. CD/floppy should be virus-free.
In case any of these requirements are not met, the e-TDS/TCS return will not be accepted at TIN-FCs.
There is a software available for preparation of e-TDS/TCS return on NSDL site. NSDL has made available a freely downloadable return preparation utility for preparation of e-TDS/TCS returns. Additionally, you can develop your own software for this purpose or you may acquire software from various third party vendors. A list of vendors, who have informed NSDL that they have developed software for preparing e-TDS/TCS returns, is available on the NSDL-TIN website.
Are the forms used for e-TDS/TCS return same as for physical returns?
Forms for filing TDS/TCS returns were notified by CBDT. These forms are same for electronic and physical returns. However, e-TDS/TCS return is to be prepared as a clean text ASCII file in accordance with the specified data structure (file format) prescribed by ITD.
What are the forms to be used for filing annual/quarterly TDS/TCS returns?
Following are the forms for TDS/TCS returns and their periodicity:
Form No. Particulars Periodicity
Form No. 24 Annual return of 'Salaries' under Section 206 of Income Tax Act, 1961 Annual
Form No. 26 Annual return of deduction of tax under section 206 of Income Tax Act, 1961 in respect
How should the e-TDS/TCS return be prepared?
e-TDS/TCS return has to be prepared in the data format issued by e-Filing Administrator. This is available on the Income Tax Department website (www.incometaxindia.gov.in) and NSDL-TIN website (www.tin-nsdl.com). There is a validation software (File Validation Utility) available along with the data structure which should be used to validate the data structure of the e-TDS/TCS return prepared. The e-TDS/TCS return should have following features:
1. Each e-TDS/TCS return file should be in a separate CD/floppy.
2. Each e-TDS/TCS return file should be accompanied by a duly filled and signed (by an authorised signatory) Form No. 27A in physical form.
3. Each e-TDS/TCS return file should be in one CD/floppy. It should not span across multiple floppies.
4. In case the size of an e-TDS/TCS return file exceeds the capacity of one floppy, it should be filed on a CD.
5. If an e-TDS return file is required to be compressed, it should be compressed using Winzip 8.1 or ZipItFast 3.0 compression utility (or higher version thereof) to ensure quick and smooth acceptance of the file.
6. Label should be affixed on each CD/floppy mentioning name of the deductor, his TAN, Form no. (i.e. 24, 26 or 27) and period to which the return pertains.
7. There should not be any overwriting/striking on Form No. 27A. If there is any, then the same should be ratified by an authorised signatory.
8. No bank challan or copy of TDS/TCS certificate should be filed alongwith e-TDS/TCS return file.
9. In case of Form Nos. 26 & 27, deductor need not file physical copies of certificates of no deduction or lower deduction of TDS received from deductees.
10. In case of Form 24, deductor should file physical copies of certificates of no deduction or deduction of TDS at lower rate, if any, received from deductees. However, there is no such requirement in case of Form 24Q.
11. e-TDS/TCS return file should contain TAN of the deductor/collector without which, the return will not be accepted.
12. CD/floppy should be virus-free.
In case any of these requirements are not met, the e-TDS/TCS return will not be accepted at TIN-FCs.
There is a software available for preparation of e-TDS/TCS return on NSDL site. NSDL has made available a freely downloadable return preparation utility for preparation of e-TDS/TCS returns. Additionally, you can develop your own software for this purpose or you may acquire software from various third party vendors. A list of vendors, who have informed NSDL that they have developed software for preparing e-TDS/TCS returns, is available on the NSDL-TIN website.
Are the forms used for e-TDS/TCS return same as for physical returns?
Forms for filing TDS/TCS returns were notified by CBDT. These forms are same for electronic and physical returns. However, e-TDS/TCS return is to be prepared as a clean text ASCII file in accordance with the specified data structure (file format) prescribed by ITD.
What are the forms to be used for filing annual/quarterly TDS/TCS returns?
Following are the forms for TDS/TCS returns and their periodicity:
Form No. Particulars Periodicity
Form No. 24 Annual return of 'Salaries' under Section 206 of Income Tax Act, 1961 Annual
Form No. 26 Annual return of deduction of tax under section 206 of Income Tax Act, 1961 in respect
of all payments other than 'Salaries' Annual
Form No. 27 Statement of deduction of tax from interest, dividend or any other sum payable to certain
Form No. 27 Statement of deduction of tax from interest, dividend or any other sum payable to certain
persons Quarterly
Form No. 27E Annual return of collection of tax under section 206C of Income Tax Act, 1961 Annual
Form No. 24Q Quarterly statement for tax deducted at source from 'Salaries' Quarterly
Form No. 26Q Quarterly statement of tax deducted at source in respect of all payments other than
Form No. 27E Annual return of collection of tax under section 206C of Income Tax Act, 1961 Annual
Form No. 24Q Quarterly statement for tax deducted at source from 'Salaries' Quarterly
Form No. 26Q Quarterly statement of tax deducted at source in respect of all payments other than
'Salaries' Quarterly
Form No. 27Q Quarterly statement of deduction of tax from interest, dividend or any other sum payable
Form No. 27Q Quarterly statement of deduction of tax from interest, dividend or any other sum payable
to non-residents Quarterly
Form No. 27EQ Quarterly statement of collection of tax at source Quarterly
What is Form No. 27A?
Form No. 27A is a control chart of quarterly e-TDS/TCS statements to be filed in paper form by deductors/collectors alongwith quarterly statements. It is a summary of e-TDS/TCS returns which contains control totals of 'amount paid' and 'income tax deducted at source'. The control totals of 'amount paid' and 'income tax deducted at source' mentioned on Form No. 27A should match with the corresponding control totals in e-TDS/TCS return. A separate Form No. 27A is to be filed for each e-TDS/TCS return.
In case of Annual Returns the relevant control charts are Form 27A for e-TDS and Form 27B for e-TCS.
What are the precautions to be taken while submitting Form No. 27A/B?
While submitting Form No. 27A/B, one should ensure that:
a) There is no overwriting/striking on Form No. 27A/B. If there is any, then the same should be ratified (signed) by the authorised signatory.
b) Name and TAN of deductor and control totals of 'amount paid' and 'income tax deducted at source' mentioned on Form No. 27A/B should match with the respective totals in the e-TDS/TCS return.
c) All the fields of Form No. 27A/B are duly filled.
What is the data structure (file format) for preparing e-TDS/TCS return?
e-TDS/TCS return should be prepared in accordance with the data structure (File Format) prescribed by the e-filing administrator. Separate data structure has been prescribed for each type of form whether it is annual return (up to FY 2004-05) or Quarterly return (FY 2005-06 onwards).
What is Challan Serial Number given by the Bank?
Bank Challan Number is a receipt number given by the bank branch where TDS is deposited. A separate receipt number is given for each challan deposited. You are required to mention this challan number in the e-TDS/TCS return and not the preprinted numbers on the bank challan form i.e. ITNS 269 or ITNS 271.
What is 'Bank Branch Code'? Where do I get it from?
Reserve Bank of India has allotted a unique seven-digit code to each bank branch. You are required to mention the code of the bank branch where TDS is deposited in the e-TDS/TCS return. You can get this code from the bank branch where TDS amount is deposited.
Is it mandatory to mention Tax Deduction Account Number (TAN) in e-TDS/TCS return?
Yes, it is mandatory to mention the 10 digit reformatted (new) TAN in your e-TDS/TCS return.
Can I file Form No. 26Q separately for contractors, professionals, interest etc.?
No. A single Form No. 26Q with separate annexures corresponding to each challan payment for each type of payment has to be filed for all payments made to residents.
I do not know the Bank Branch Code of the branch in which I deposited tax. Can I leave this field blank?
Bank Branch code or BSR code is a 7-digit code allotted to banks by RBI. This is different from the branch code, which is used for bank drafts etc. This number is given in the OLTAS challan or can be obtained from the bank branch or from the search facility at NSDL-TIN website. It is mandatory to quote BSR code both in challan details and deductee details. Hence, this field cannot be left blank. Government deductors transfer tax by book entry, in which case the BSR code can be left blank.
What should I mention in the field 'paid by book entry or otherwise' in deduction details?
If payment to the parties (on which TDS has been deducted) has been made actually i.e. by cash, cheque, demand draft or any other acceptable mode, then 'otherwise' has to be mentioned in the specified field. But if payment has not been actually made and merely a provision has been made on the last date of the accounting year, then the option 'Paid by Book Entry' has to be selected.
By whom should the control chart Form 27A be signed?
Form 27A is the summary of the TDS/TCS statement. It has to be signed by the same person who is authorized to sign the TDS/TCS statement in paper format.
What if e-TDS/TCS return does not contain PANs of all deductees?
In case PANs of some of the deductees are not mentioned in the e-TDS/TCS return, the Provisional Receipt will mention the count of missing PANs in the e-TDS/TCS return. The details of missing PANs (to the extent it can be collected from the deductees) may be filed within seven days of the date of Provisional Receipt to TIN-FC. e-TDS/TCS return will be accepted even with missing PANs. However, if PAN of deductees is not given in the TDS return, tax deducted from payment made to him cannot be posted to the statement of TDS to be issued to him u/s 203AA.
Is the Challan Identification Number compulsory?
Yes. Challan Identification Number is necessary for all non-Government deductors.
Is PAN mandatory for deductors and employees/deductees?
PAN of the deductors has to be given by non-Government deductors. It is essential to quote PAN of all deductees failing which credit of tax deducted will not be given.
I am a deductor having more than one office/branch, do I file separate e-TDS/TCS returns for each office/branch or can I file a consolidated return for all offices/branches? Can I quote the same TAN for filing e-TDS/TCS returns for each branch?
If you have more than one office/branch you can file a consolidated e-TDS/TCS return for all offices/branches. In this case you should quote the same TAN. You can also file e-TDS/TCS returns office/branch-wise individually. In such cases you need to have separate TAN for every branch. In case you do not have separate TAN for each branch then you should apply for TAN for each of the branches filing separate e-TDS/TCS return.
Should I file copies of certificate for no deduction or concessional deduction of tax along with the e-TDS/TCS return?
In case of salary e-TDS/TCS return (Form No. 24), you have to file certificate for no deduction or concessional deduction of TDS alongwith the e-TDS/TCS return. In case of non-salary (Form No. 26/27) you need not file certificates for no deduction or concessional deduction of TDS alongwith the e-TDS/TCS return. This is not required in case of any quarterly statements.
Form No. 27EQ Quarterly statement of collection of tax at source Quarterly
What is Form No. 27A?
Form No. 27A is a control chart of quarterly e-TDS/TCS statements to be filed in paper form by deductors/collectors alongwith quarterly statements. It is a summary of e-TDS/TCS returns which contains control totals of 'amount paid' and 'income tax deducted at source'. The control totals of 'amount paid' and 'income tax deducted at source' mentioned on Form No. 27A should match with the corresponding control totals in e-TDS/TCS return. A separate Form No. 27A is to be filed for each e-TDS/TCS return.
In case of Annual Returns the relevant control charts are Form 27A for e-TDS and Form 27B for e-TCS.
What are the precautions to be taken while submitting Form No. 27A/B?
While submitting Form No. 27A/B, one should ensure that:
a) There is no overwriting/striking on Form No. 27A/B. If there is any, then the same should be ratified (signed) by the authorised signatory.
b) Name and TAN of deductor and control totals of 'amount paid' and 'income tax deducted at source' mentioned on Form No. 27A/B should match with the respective totals in the e-TDS/TCS return.
c) All the fields of Form No. 27A/B are duly filled.
What is the data structure (file format) for preparing e-TDS/TCS return?
e-TDS/TCS return should be prepared in accordance with the data structure (File Format) prescribed by the e-filing administrator. Separate data structure has been prescribed for each type of form whether it is annual return (up to FY 2004-05) or Quarterly return (FY 2005-06 onwards).
What is Challan Serial Number given by the Bank?
Bank Challan Number is a receipt number given by the bank branch where TDS is deposited. A separate receipt number is given for each challan deposited. You are required to mention this challan number in the e-TDS/TCS return and not the preprinted numbers on the bank challan form i.e. ITNS 269 or ITNS 271.
What is 'Bank Branch Code'? Where do I get it from?
Reserve Bank of India has allotted a unique seven-digit code to each bank branch. You are required to mention the code of the bank branch where TDS is deposited in the e-TDS/TCS return. You can get this code from the bank branch where TDS amount is deposited.
Is it mandatory to mention Tax Deduction Account Number (TAN) in e-TDS/TCS return?
Yes, it is mandatory to mention the 10 digit reformatted (new) TAN in your e-TDS/TCS return.
Can I file Form No. 26Q separately for contractors, professionals, interest etc.?
No. A single Form No. 26Q with separate annexures corresponding to each challan payment for each type of payment has to be filed for all payments made to residents.
I do not know the Bank Branch Code of the branch in which I deposited tax. Can I leave this field blank?
Bank Branch code or BSR code is a 7-digit code allotted to banks by RBI. This is different from the branch code, which is used for bank drafts etc. This number is given in the OLTAS challan or can be obtained from the bank branch or from the search facility at NSDL-TIN website. It is mandatory to quote BSR code both in challan details and deductee details. Hence, this field cannot be left blank. Government deductors transfer tax by book entry, in which case the BSR code can be left blank.
What should I mention in the field 'paid by book entry or otherwise' in deduction details?
If payment to the parties (on which TDS has been deducted) has been made actually i.e. by cash, cheque, demand draft or any other acceptable mode, then 'otherwise' has to be mentioned in the specified field. But if payment has not been actually made and merely a provision has been made on the last date of the accounting year, then the option 'Paid by Book Entry' has to be selected.
By whom should the control chart Form 27A be signed?
Form 27A is the summary of the TDS/TCS statement. It has to be signed by the same person who is authorized to sign the TDS/TCS statement in paper format.
What if e-TDS/TCS return does not contain PANs of all deductees?
In case PANs of some of the deductees are not mentioned in the e-TDS/TCS return, the Provisional Receipt will mention the count of missing PANs in the e-TDS/TCS return. The details of missing PANs (to the extent it can be collected from the deductees) may be filed within seven days of the date of Provisional Receipt to TIN-FC. e-TDS/TCS return will be accepted even with missing PANs. However, if PAN of deductees is not given in the TDS return, tax deducted from payment made to him cannot be posted to the statement of TDS to be issued to him u/s 203AA.
Is the Challan Identification Number compulsory?
Yes. Challan Identification Number is necessary for all non-Government deductors.
Is PAN mandatory for deductors and employees/deductees?
PAN of the deductors has to be given by non-Government deductors. It is essential to quote PAN of all deductees failing which credit of tax deducted will not be given.
I am a deductor having more than one office/branch, do I file separate e-TDS/TCS returns for each office/branch or can I file a consolidated return for all offices/branches? Can I quote the same TAN for filing e-TDS/TCS returns for each branch?
If you have more than one office/branch you can file a consolidated e-TDS/TCS return for all offices/branches. In this case you should quote the same TAN. You can also file e-TDS/TCS returns office/branch-wise individually. In such cases you need to have separate TAN for every branch. In case you do not have separate TAN for each branch then you should apply for TAN for each of the branches filing separate e-TDS/TCS return.
Should I file copies of certificate for no deduction or concessional deduction of tax along with the e-TDS/TCS return?
In case of salary e-TDS/TCS return (Form No. 24), you have to file certificate for no deduction or concessional deduction of TDS alongwith the e-TDS/TCS return. In case of non-salary (Form No. 26/27) you need not file certificates for no deduction or concessional deduction of TDS alongwith the e-TDS/TCS return. This is not required in case of any quarterly statements.
FAQ's regarding eTDS/eTCS Income Tax Return
Friends,
Here are some general questions and there answers regarding filing of Income Tax Return :-
What is annual e-TDS/TCS Return?
Annual e-TDS/TCS return is the TDS return under section 206 of the Income Tax Act (prepared in Form Nos. 24, 26 or 27) or TCS return under section 206C of the Income Tax Act (prepared in Form No. 27E), which is prepared in electronic media as per prescribed data structure. Such returns furnished in a CD/floppy should be accompanied by a signed verification in Form No. 27A in case of Annual TDS returns or Form No. 27B in case of Annual TCS return.
What is quarterly e-TDS/TCS statement?
TDS/TCS returns filed in electronic form as per section 200(3)/206C, as amended by Finance Act, 2005, are quarterly TDS/TCS statements. As per the Income Tax Act, these quarterly statements are required to be furnished from FY 2005-06 onwards. The forms used for quarterly e-TDS statements are Form Nos. 24Q, 26Q and 27Q and for quarterly e-TCS statement is Form No. 27EQ. These statements filed in CD/floppy should be accompanied by a signed verification in Form No. 27A in case of both e-TDS/TCS statements.
Who is required to file e-TDS/TCS return?
As per Income Tax Act, 1961, all corporate and government deductors/collectors are compulsorily required to file their TDS/TCS returns on electronic media (i.e. e-TDS/TCS returns). However, deductors/collectors other than corporate/government can file either in physical or in electronic form.
e-TDS/TCS returns have been made mandatory for Government deductors. How do I know whether I am a Government deductor or not?
All Drawing and Disbursing Officers of Central and State Governments come under the category of Government deductors.
Under what provision should e-TDS/TCS returns be filed?
An e-TDS return should be filed under Section 206 of the Income Tax Act in accordance with the scheme dated August 26, 2003 for electronic filing of TDS return notified by the Central Board of Direct Taxes (CBDT) for this purpose. CBDT Circular No. 8 dated September 19, 2003 may also be referred.
An e-TCS return should be filed under Section 206C of the Income Tax Act in accordance with the scheme dated March 30, 2005 for electronic filing of TCS return notified by the CBDT for this purpose.
As per section 200(3)/206C, as amended by Finance Act 2005, deductors/collectors are required to file quarterly TDS/TCS statements from FY 2005-06 onwards.
Who is the e-Filing Administrator?
CBDT has appointed the Director General of Income Tax (Systems) as e-Filing Administrator for the purpose of electronic filing of TDS/TCS returns.
Who is an e-TDS/TCS Intermediary?
CBDT has appointed National Securities Depository Limited, (NSDL), Mumbai, as e-TDS/TCS Intermediary. NSDL has established TIN Facilitation Centres (TIN-FCs) across the country to facilitate deductors/collectors file their e-TDS/TCS returns.
Monday, July 26, 2010
LapTop for Rs. 1500/- only ($ 35)
Friends,
After Reading the above heading you might think that I have missed one zero after the cost and exact cost must be $350 or 15000 Indian Rupee.But my dear friend it is true that now lap top will be available at Just For Rs 1500/- only that is a Initiative has been taken by Union Ministry for human Resource Development, India has taken to provide such a low cost Laptop which have following feature.
1. Cost Just $35 or 1500/- Appox
2. Single unit based device
3. Inbuilt Keyboard
4. Touch screen
5. 2 GB ram
6. Internet and Wifi enabled
7. usb drive port.
8. Available in market :Next year
Press release is given below
The Union Minister for human Resource Development, Shri Kapil Sibal unveiled a low cost computing-cum-access device, here today. The price of the device exhibited today is expected to be around $35 per piece, gradually dropping down to $20 and ultimately to $10 a piece. Since this effort of continuous reduction in price and enhancement in capabilities would require a constant endeavour for R&D, IIT Rajasthan and some other IITs and technical institutions are setting up research teams to cover a wide range of issues in achieving our ultimate goal in terms of price and quality.
The three cardinal principles of the Education Policy viz., access, equity and quality could be served well by providing connectivity to all colleges and universities, providing low cost and affordable access cum computing devices to students and teachers and providing high quality e-content free of cost to all learners in the Country. National Mission on Education through ICT (NMEICT) encompasses all the three elements. Connectivity to Universities and Colleges has already started. Nearly 8500 Colleges in the country have already been connected, high quality e-content in various subjects is being created and under the National Programme on Technology Enhanced Learning (NPTEL), nearly 500 web based and video courses are available and uploaded on “sakshat”, YouTube and NPTEL portals and another 1100 courses in various disciplines of engineering and science are getting generated in 4 quadrant approach.
The ministry started its efforts , subsequent to lukewarm response from known corporates in this sector, by holding discussions on this concept with a group of Professors / experts at IISc, Bangalore, IIT Kanpur, IIT Kharagpur, IIT Madras and IIT Bombay. B.Tech and M.Tech students were guided to produce the mother board for such low cost devices with ample flexibility to change components. One mother board design was generated under Ministry’s guidance in the B.Tech project of a student at VIT, Vellore. The cost of bill of material worked to 47 $ at that point of time. The PCB of the mother board was got fabricated at IIT Kanpur. It could be seen that by customising the device to the needs of learners across the country, and utilizing the processor capabilities of processors suitable for the purpose, it was possible to substantially reduce the prices of such access-cum-computing devices. Then started a wave of collaboration with such interested partners.
. A number of teams have been moving back and forth independently but constantly interacting with the HRD Ministry and improving upon design parameters and customization guidance for Indian students. The efforts of some of the teams working with those design philosophies were presented today. The aim is to reach such devices to the students of colleges and Universities and to provide these institutions a host of choices of low cost access devices around Rs. 1500/- ($35) or less in near future
1. Cost Just $35 or 1500/- Appox
2. Single unit based device
3. Inbuilt Keyboard
4. Touch screen
5. 2 GB ram
6. Internet and Wifi enabled
7. usb drive port.
8. Available in market :Next year
Press release is given below
The Union Minister for human Resource Development, Shri Kapil Sibal unveiled a low cost computing-cum-access device, here today. The price of the device exhibited today is expected to be around $35 per piece, gradually dropping down to $20 and ultimately to $10 a piece. Since this effort of continuous reduction in price and enhancement in capabilities would require a constant endeavour for R&D, IIT Rajasthan and some other IITs and technical institutions are setting up research teams to cover a wide range of issues in achieving our ultimate goal in terms of price and quality.
The three cardinal principles of the Education Policy viz., access, equity and quality could be served well by providing connectivity to all colleges and universities, providing low cost and affordable access cum computing devices to students and teachers and providing high quality e-content free of cost to all learners in the Country. National Mission on Education through ICT (NMEICT) encompasses all the three elements. Connectivity to Universities and Colleges has already started. Nearly 8500 Colleges in the country have already been connected, high quality e-content in various subjects is being created and under the National Programme on Technology Enhanced Learning (NPTEL), nearly 500 web based and video courses are available and uploaded on “sakshat”, YouTube and NPTEL portals and another 1100 courses in various disciplines of engineering and science are getting generated in 4 quadrant approach.
The ministry started its efforts , subsequent to lukewarm response from known corporates in this sector, by holding discussions on this concept with a group of Professors / experts at IISc, Bangalore, IIT Kanpur, IIT Kharagpur, IIT Madras and IIT Bombay. B.Tech and M.Tech students were guided to produce the mother board for such low cost devices with ample flexibility to change components. One mother board design was generated under Ministry’s guidance in the B.Tech project of a student at VIT, Vellore. The cost of bill of material worked to 47 $ at that point of time. The PCB of the mother board was got fabricated at IIT Kanpur. It could be seen that by customising the device to the needs of learners across the country, and utilizing the processor capabilities of processors suitable for the purpose, it was possible to substantially reduce the prices of such access-cum-computing devices. Then started a wave of collaboration with such interested partners.
. A number of teams have been moving back and forth independently but constantly interacting with the HRD Ministry and improving upon design parameters and customization guidance for Indian students. The efforts of some of the teams working with those design philosophies were presented today. The aim is to reach such devices to the students of colleges and Universities and to provide these institutions a host of choices of low cost access devices around Rs. 1500/- ($35) or less in near future
Last date of filing Income Tax Return for the F/Y 2009-10
Friends,
Now A days all tax consultant ,business man,specially persons who have Earned salary income ,are in rush so that they can file their income tax return by due date i.e 31st July 2010 .we are also one of them.Due date of filing of income tax return for Assessment Year 2010-11 (financial year 2010-11)
1. In case of person who are not liable to get their accounts audited is 31.07.2010
2. In case of person who's accounts are liable to be audited under any law is 30.09.2010 and partner of such firms and all companies.
In first case(31.07.2010) person who has earned income from salary ,pension, interest income ,capital gain , house property and person owning small business and not liable to get their accounts audited are covered.
So in net shell every body is trying to meet the deadline ie 31.07.2010 ,I and you are also doing efforts in this direction ,but do you know what is the penalty if some one has not filed his return by due date.................i.e 31st July 2010.
any guesses..........
no guess ,I will tell you ,In fact there is no penalty as such for this fault ,absolutely no penalty ,do you believe ,I have said that there is no penalty on late filing of return as such.But this is the fact .Specific penalty for late filing of return is prescribed u/s 271F which is briefed here under
"if a person failure to furnish return of income as required by section 139 before the end of relevant assessment year ,the assessing officer may impose a penalty of Rs 5000/-"
so this section says end of relevant assessment year ,as for previous year 2009-10, assessment year is 2010-11 and its end on 31.03.2011 ,means there is no liability for late filing of income tax return up to 31.03.2011 and after that assessing officer can impose a penalty of 5000,and that is also his(AO) power which he may or may not exercise after giving due hearing to the assessee.
Now you would like to know why people are so much worried about the due date ,the reason is that as due date has been linked with various other section of the income tax act ,so it is significant in that manner .
so I have given some of impact of late filing of the Income tax return and issues related to due date of income tax.
Impact of late filing of Income tax return & issue related to due date(The List is not exhaustive)
1. Interest u/s 234A:If there is tax due after deducting advance tax ,TDS and self assessment tax than interest will be applicable @1% per month and part thereof up to the date of filing of the return besides interest applicable u/s 234B or 234C.Means this interest is applicable only if there is any tax payable in your return .
2. Loss of Interest on refund:You may loose interest on refund u/s 244A as delay in filing is attributable to assessee for the period by which you have filed late return.
3. Audit Report:Person who are liable to get their accounts audited should get the audit report on or before the due date of filing return i.e 30.09.2010.Audit repot is only to be prepared and not to be filed any where.In simple word or boldly we can say that if audit report has been signed before 30.09.2008 that is enough,you can file return late and report particulars will be filled when ever you filed your income tax return.This is as income tax circular no 5/2007 point no 6 (read full circular)
4. Revised return :Late /belated return can not be revised .
5. Some of deduction under subsection 80 are not available for late return.
6. Due date of income tax return is related to TDS deposite and disallowance u/s 40A(ia).
7. Due date of Income Tax return is related to tax saving u/s 54,54B,54F and some other issues in capital gain saving account deposit scheme.
8. Not able to carry forward the losses under various heads:you are not able to carry forward following type of losses if file return after due date
* Speculation loss
* business loss excluding loss due to unabsorbed depreciation and capital exp on scientific research
* short term capital loss
* long term capital loss
* loss due to owning and maint. of horse races
However there is no impact on following type of losses even if return is furnished after the due date
* loss from house property
* business loss on account of unabsorbed depreciation and capital expenditure on scientific research.
(though delay can be condoned as per circular 8/2001 DT 16.5.2001 on fulfilling of certain condition)
so if you are ambit of the above points then you should furnish your return up to 31.07.2010 or 30.09.2010 as the case may be without any penalty.
Person who can afford to file late return
If you have
* already deposited due tax or due taxes has been deducted by your employer and nothing is due or
* you are not claiming a Major amount as refund or
* you have no losses to be carried forward
then you can fill return up to the end of the assessment year ie 31.03.2011 without any penalty.
Person who should file return on time.
If you have
* balance tax to be deposited or short fall of tax or
* huge amount of refund due to you or
* you have losses to be carried forwarded as explained above
then rush to the department asap so that return can be filled on time.
NOTE:Friends the all things as explained above is to not encourage people to file voluntarily late return but only to inform taxpayers their liability so that they can take informed decision.
Please Comment
1. In case of person who are not liable to get their accounts audited is 31.07.2010
2. In case of person who's accounts are liable to be audited under any law is 30.09.2010 and partner of such firms and all companies.
In first case(31.07.2010) person who has earned income from salary ,pension, interest income ,capital gain , house property and person owning small business and not liable to get their accounts audited are covered.
So in net shell every body is trying to meet the deadline ie 31.07.2010 ,I and you are also doing efforts in this direction ,but do you know what is the penalty if some one has not filed his return by due date.................i.e 31st July 2010.
any guesses..........
no guess ,I will tell you ,In fact there is no penalty as such for this fault ,absolutely no penalty ,do you believe ,I have said that there is no penalty on late filing of return as such.But this is the fact .Specific penalty for late filing of return is prescribed u/s 271F which is briefed here under
"if a person failure to furnish return of income as required by section 139 before the end of relevant assessment year ,the assessing officer may impose a penalty of Rs 5000/-"
so this section says end of relevant assessment year ,as for previous year 2009-10, assessment year is 2010-11 and its end on 31.03.2011 ,means there is no liability for late filing of income tax return up to 31.03.2011 and after that assessing officer can impose a penalty of 5000,and that is also his(AO) power which he may or may not exercise after giving due hearing to the assessee.
Now you would like to know why people are so much worried about the due date ,the reason is that as due date has been linked with various other section of the income tax act ,so it is significant in that manner .
so I have given some of impact of late filing of the Income tax return and issues related to due date of income tax.
Impact of late filing of Income tax return & issue related to due date(The List is not exhaustive)
1. Interest u/s 234A:If there is tax due after deducting advance tax ,TDS and self assessment tax than interest will be applicable @1% per month and part thereof up to the date of filing of the return besides interest applicable u/s 234B or 234C.Means this interest is applicable only if there is any tax payable in your return .
2. Loss of Interest on refund:You may loose interest on refund u/s 244A as delay in filing is attributable to assessee for the period by which you have filed late return.
3. Audit Report:Person who are liable to get their accounts audited should get the audit report on or before the due date of filing return i.e 30.09.2010.Audit repot is only to be prepared and not to be filed any where.In simple word or boldly we can say that if audit report has been signed before 30.09.2008 that is enough,you can file return late and report particulars will be filled when ever you filed your income tax return.This is as income tax circular no 5/2007 point no 6 (read full circular)
4. Revised return :Late /belated return can not be revised .
5. Some of deduction under subsection 80 are not available for late return.
6. Due date of income tax return is related to TDS deposite and disallowance u/s 40A(ia).
7. Due date of Income Tax return is related to tax saving u/s 54,54B,54F and some other issues in capital gain saving account deposit scheme.
8. Not able to carry forward the losses under various heads:you are not able to carry forward following type of losses if file return after due date
* Speculation loss
* business loss excluding loss due to unabsorbed depreciation and capital exp on scientific research
* short term capital loss
* long term capital loss
* loss due to owning and maint. of horse races
However there is no impact on following type of losses even if return is furnished after the due date
* loss from house property
* business loss on account of unabsorbed depreciation and capital expenditure on scientific research.
(though delay can be condoned as per circular 8/2001 DT 16.5.2001 on fulfilling of certain condition)
so if you are ambit of the above points then you should furnish your return up to 31.07.2010 or 30.09.2010 as the case may be without any penalty.
Person who can afford to file late return
If you have
* already deposited due tax or due taxes has been deducted by your employer and nothing is due or
* you are not claiming a Major amount as refund or
* you have no losses to be carried forward
then you can fill return up to the end of the assessment year ie 31.03.2011 without any penalty.
Person who should file return on time.
If you have
* balance tax to be deposited or short fall of tax or
* huge amount of refund due to you or
* you have losses to be carried forwarded as explained above
then rush to the department asap so that return can be filled on time.
NOTE:Friends the all things as explained above is to not encourage people to file voluntarily late return but only to inform taxpayers their liability so that they can take informed decision.
Please Comment
Saturday, July 24, 2010
Refund without matching TDS upto 3 lakh -Fy 2009-10 Instruction 5/2010
As per new rule of Income tax ,Tds claimed in the income tax return must be matched with data uploaded by the Deductor and data posted in form 26AS(Pan ledger) .Due to these instruction ,many refund orders are pending without any fault of assessee. Moreover Income tax rule has not empower deductee to enforce deductor to file revised return or upload the original return so that mismatching can be removed .So department has issued a Internal Instruction to their officer to settle the small cases of refunds without matching the 100% tds details. New rules are reproduced hereunder.
Processing of returns of Assessment Year 2009-10 - Steps to clear backlog
Instruction No. 5/2010 [F.No.225/25/2010-ITA-II], dated 21-7-2010
The issue of processing of returns for Asst. year 2009-10 and giving credit for TDS has been considered by the Board. In order to clear the backlog of returns, the following decisions have been taken:
(i) In all the returns filed in ITR-1 and ITR-2, for the Asst. Year 2009-10, where the aggregate TDS claim does not exceed Rs. Three lakh (3 lacs) and where the refund computed does not exceed Rs. 25,000; the TDS claim of the tax payer shall be accepted at the time of processing of the return.
(ii) In all the returns filed in forms other than ITR-1 and ITR -2, for the Asst. Year 2009-10, where the aggregate TDS claim does not exceed Rs. Three lakh (3 lacs) and the refund computed does not exceed Rs. 25,000 and there is 10% matching of TDS amount claimed, the TDS claim shall be accepted at the time of processing of the return.
(iii) In all remaining cases, TDS credit shall be given after due verification .
Processing of returns of Assessment Year 2009-10 - Steps to clear backlog
Instruction No. 5/2010 [F.No.225/25/2010-ITA-II], dated 21-7-2010
The issue of processing of returns for Asst. year 2009-10 and giving credit for TDS has been considered by the Board. In order to clear the backlog of returns, the following decisions have been taken:
(i) In all the returns filed in ITR-1 and ITR-2, for the Asst. Year 2009-10, where the aggregate TDS claim does not exceed Rs. Three lakh (3 lacs) and where the refund computed does not exceed Rs. 25,000; the TDS claim of the tax payer shall be accepted at the time of processing of the return.
(ii) In all the returns filed in forms other than ITR-1 and ITR -2, for the Asst. Year 2009-10, where the aggregate TDS claim does not exceed Rs. Three lakh (3 lacs) and the refund computed does not exceed Rs. 25,000 and there is 10% matching of TDS amount claimed, the TDS claim shall be accepted at the time of processing of the return.
(iii) In all remaining cases, TDS credit shall be given after due verification .
Wednesday, July 14, 2010
Breaking News - CITIZENS’ CHARTER by INCOME TAX DEPARTMENT issued
Friends,
Income tax department has issued its most awaited Citizen's Charter draft. A DECLARATION OF COMMITMENT TO EXCELLENCE IN SERVICE TO TAX PAYERS. The Citizens’ Charter of the Income Tax Department is the declaration of the mission, vision, values and standards of delivery of various services to achieve excellence in service delivery to its taxpayers.
The process of drafting a new Vision document – Vision 2020 is nearing completion. An important component of the Vision 2020 document is the Citizens’ Charter 2010. As a part of Vision 2020, the Citizens’ Charter 2007 was revisited by a Working Group constituted by the CBDT. A massive exercise was undertaken of conducting interactive sessions with members of trade associations, bodies of industry, chamber of commerce, associations of Chartered Accountants/Advocates, IRS Officers associations, employees and staff associations etc. This had thrown up a plethora of issues relating to the charter and also to the wider Vision 2020. After incorporating the feedback from all stakeholders, the Working Group prepared a draft Citizens’ Charter 2010. The
draft Citizens’ Charter was further modified incorporating the suggestions of the Drafting Committee. Since the Citizens’ Charter is a set of commitments to be adhered to by the entire organization, the final draft Citizens’ Charter 2010 is being brought before the final one.
draft Citizens’ Charter was further modified incorporating the suggestions of the Drafting Committee. Since the Citizens’ Charter is a set of commitments to be adhered to by the entire organization, the final draft Citizens’ Charter 2010 is being brought before the final one.
Tuesday, July 13, 2010
F/y 2010-11, Additional deduction of Rs. 20000 for individuals in respect of long-term infrastructure bonds under section 80CCF of Income-tax Act
In tune with the policy thrust of promoting investment in the infrastructure sector, it is proposed to insert a new section 80CCF in the Income-tax Act to provide that subscription during the financial year 2010-11 made to long-term infrastructure bonds (as may be notified by the Central Government), to the extent of Rs. 20,000, shall be allowed as deduction in computing the income of an individual or a Hindu undivided family. This deduction will be over and above the existing overall limit of tax deduction on savings of upto Rs.1 lakh under section 80C, 80CCC and 80CCD of the Act.
This amendment is proposed to take effect from 1st April, 2011 and will, accordingly, apply in relation to the assessment year 2011-12.
___________
The Central Government have specified bonds to be issued by (i) Industrial Finance Corporation of India; (ii) Life Insurance Corporation of India; (iii) Infrastructure Development Finance Company Limited; and (iv) a Non-Banking Finance Company classified as an infrastructure finance company by the Reserve Bank of India; as “Long-term Infrastructure Bond” for the purpose of section 80CCF of the Income Tax Act, 1961.
Investment in these bonds up to rupees twenty thousand will be eligible for deduction from the total income of the assessee. The deduction will be in addition to the deduction of rupees one lakh allowed under sections 80C, 80CCC and 80CCD of the Act.
The tenure of the Bonds shall be a minimum of ten years with a lock-in period of five years for an investor. It will be mandatory for the subscriber to furnish permanent account number to the issuer for investment in the bonds.
This amendment is proposed to take effect from 1st April, 2011 and will, accordingly, apply in relation to the assessment year 2011-12.
___________
The Central Government have specified bonds to be issued by (i) Industrial Finance Corporation of India; (ii) Life Insurance Corporation of India; (iii) Infrastructure Development Finance Company Limited; and (iv) a Non-Banking Finance Company classified as an infrastructure finance company by the Reserve Bank of India; as “Long-term Infrastructure Bond” for the purpose of section 80CCF of the Income Tax Act, 1961.
Investment in these bonds up to rupees twenty thousand will be eligible for deduction from the total income of the assessee. The deduction will be in addition to the deduction of rupees one lakh allowed under sections 80C, 80CCC and 80CCD of the Act.
The tenure of the Bonds shall be a minimum of ten years with a lock-in period of five years for an investor. It will be mandatory for the subscriber to furnish permanent account number to the issuer for investment in the bonds.
Monday, July 12, 2010
FIFA WORLD CUP- Spain is the New Champ, Dutch dreams ends ...
Spain midfielder Andres Iniesta's nerveless finish in extra time delivered a knockout blow to Netherlands in a bruising final to clinch a 1-0 win and their first World Cup triumph at the first African finals.
With a shootout looming, the peerless Iniesta controlled a ball from substitute Cesc Fabregas four minutes from time and found the coolness that had eluded forwards on both sides to fire the ball past the helpless Maarten Stekelenburg.
The Dutch, who ran fuming to referee Howard Webb convinced the goal was illegal on at least two counts, were already down to 10 men following John Heitinga's red card seven minutes earlier and there was little realistic hope of a comeback.
Spain succeeded in keeping their opponents at arm's length and their players wept with joy as they celebrated becoming the first European team to win the World Cup on another continent and the first to triumph after losing their opening game.
"Euphoria, joy, everything positive," Spain midfielder Xabi Alonso told reporters. "The only thing that counts in finals is to win them."
There followed a firework celebration but the soccer itself had fizzled rather than sparkled as Spain became the lowest scoring team to win the World Cup.
They managed only eight goals in their seven games -- three fewer than the previous lowest total in a winning campaign.
For the Dutch, who knocked Spain out of their cultured stride for long periods and should have taken the lead with one glorious chance for Arjen Robben in the second half of normal time, defeat was an all too familiar disappointment.
While Spain were triumphant in their first final, the Dutch have now lost three, following defeats in 1974 and 1978.
BRUTAL TACKLING
The Dutch tactic on Sunday was clearly to frustrate the superior Spanish midfield with some brutal tackling.
There were 13 yellow cards as well as the red, eight of the cautions for the Dutch and five for Spain, who got dragged into a street fight in front of a raucous crowd when they would have preferred a more gentlemanly contest.
So a match billed as one for the purists turned out to be anything but -- it was tense, bad-tempered and had little of the skill the two technically accomplished sides had demonstrated throughout the tournament.
Spain briefly showed some of the precision passing and artful movement that made them such worthy European champions two years ago, Xavi, Iniesta and forward David Villa combining effortlessly in what was a nightmare start for every Dutch fan.
The standard was soon a distant memory, though, as the rest of the first half degenerated into an ugly affair.
Bert van Marwijk's Netherlands side had chances to take the lead, notably when Robben cut in and tested Spain's captain and goalkeeper Iker Casillas with a low shot to his near post.
Robben missed a better chance from Wesley Sneijder's precise pass, Casillas saving with a foot, and the winger appeared to be manhandled by Carles Puyol when racing through again.
Robben stayed on his feet when he might have gone down. Center-back Puyol, already yellow-carded, escaped what might easily have been a sending-off and Spain breathed again.
MORE DANGEROUS
The Spaniards had been creating a few problems themselves following the introduction of Jesus Navas for Pedro after an hour and they looked even more dangerous once Fabregas replaced Xabi Alonso toward the end of normal time.
However, Fabregas missed a great chance to put Spain ahead when Stekelenburg made a vital save in an echo of Robben's earlier miss before central defender Heitinga's sending off finally tilted the game Spain's way late in extra time.
With forwards on both sides failing to deal with the intense pressure, it was almost inevitable that it would fall to a midfielder or defender to break the deadlock.
Iniesta, a candidate for player of the tournament, found the calm head and dead aim required to settle the match.
The Dutch were angry there had been no offside call and could not understand why a deflected free kick moments earlier had not resulted in a corner in their favor.
English referee Webb waved away their claims and was booed by the huge orange-clad contingent in the crowd, scarcely able to believe they had come so near and yet so far once again.
"That decision should have been a corner for us," said Netherlands midfielder Nigel de Jong. "The goal resulted from the next attack. That's football. We're very disappointed."
Victory sees Spain join Brazil (five times winners), Italy (four), Germany (three), Uruguay (two), Argentina (two), England and France as world champions and they are only the third side to hold the European Championship at the same time.
They were not able to produce the metronomic passing of previous performances but that scarcely matters to the millions of fans back home who were ecstatic that their team of talents had finally made an indelible mark on the World Cup.
Sunday, July 11, 2010
Income Tax Calculator for the Financial Year 2010-11
Friends,
Here is the most wanted Income Tax Calculator for the F/Y 2010-11
Please read the instructions first and then enjoy it.
Thanks.
Here is the most wanted Income Tax Calculator for the F/Y 2010-11
Please read the instructions first and then enjoy it.
Thanks.
Wait is OVER for FIFA 2010 World Cup
Friends,
Today at 12.oo p.m. the world will get its new Champion of Football. The wait is over now. Serial under performers in the World Cup, Spain and Holland will meet here on Sunday for a final fling, after which one of them will be called chokers no more.
And the world will all-hail a new champion. One that will join the group of seven previous World Cup winners. Spain had never got past the quarter-final stage in the World Cup. Holland made it to the finals in 1974 and 1978 but lost on both occasions.
In Shakira, Spain have already got one famous cheerleader.
“I wish Spain the very best. Hope the octopus (Paul) is right. I have to confess that, Hispanic as I am, it is my moral duty to support the Spanish team,” the Colombian singer said at Soccer City on Saturday.
“It’s an even final between two teams that deserve to be here. We’ve got good players but so do they,” said Spain coach Vicente del Bosque. “It’s going to be great propaganda for world football.”
Holland will be boosted by the return of midfielder Nigel de Jong and defender Gregory van der Wiel from suspensions. And they will hope that the curse of 1974 and 1978, when they finished runners-up, is laid to rest.
At least this time, they are not facing the hosts in the final.
“That game [the 1974 final] is precisely what I mean when I say that, too often in the past, the team has started well and then become too complacent,” said Holland coach Bert van Marwijk.
For all the popularity of the English Premier League in India, there will possibly be only two players, Holland’s Dirk Kuyt and Robin van Persie, from that competition starting on football’s biggest stage.
Before we forget about them, here’s a final chance to see Wesley Sneijder, Arjen Robben and all those stars from Barcelona and Real Madrid, who play for Spain.
And the world will all-hail a new champion. One that will join the group of seven previous World Cup winners. Spain had never got past the quarter-final stage in the World Cup. Holland made it to the finals in 1974 and 1978 but lost on both occasions.
In Shakira, Spain have already got one famous cheerleader.
“I wish Spain the very best. Hope the octopus (Paul) is right. I have to confess that, Hispanic as I am, it is my moral duty to support the Spanish team,” the Colombian singer said at Soccer City on Saturday.
“It’s an even final between two teams that deserve to be here. We’ve got good players but so do they,” said Spain coach Vicente del Bosque. “It’s going to be great propaganda for world football.”
Holland will be boosted by the return of midfielder Nigel de Jong and defender Gregory van der Wiel from suspensions. And they will hope that the curse of 1974 and 1978, when they finished runners-up, is laid to rest.
At least this time, they are not facing the hosts in the final.
“That game [the 1974 final] is precisely what I mean when I say that, too often in the past, the team has started well and then become too complacent,” said Holland coach Bert van Marwijk.
For all the popularity of the English Premier League in India, there will possibly be only two players, Holland’s Dirk Kuyt and Robin van Persie, from that competition starting on football’s biggest stage.
Before we forget about them, here’s a final chance to see Wesley Sneijder, Arjen Robben and all those stars from Barcelona and Real Madrid, who play for Spain.
FIFA WORLD CUP - Third Place goes to Germany
Germany rounded off an impressive World Cup with a thrilling 3-2 win over a stubborn Uruguay on Saturday in a playoff for third place in Port Elizabeth.
Midfielder Sami Khedira headed in a corner after a goalmouth scramble eight minutes from time to give the three-times champions a well-deserved victory and deny Uruguay their best World Cup finish since lifting the trophy 60 years ago.
It was the second tournament in a row Germany finished third after they won the playoff game as hosts at the last finals.
Germany went ahead in the 19th minute with Thomas Mueller's fifth goal of the tournament but Uruguay hit back nine minutes later through Edinson Cavani.
The Uruguayans briefly snatched the lead through striker Diego Forlan, with his fifth goal of the tournament, in the 51st minute but fullback Marcell Jansen equalised five minutes later.
Khedira then popped up with the winner but Uruguay went agonisingly close with the last kick of the game when Forlan's curling freekick from 20 metres rattled the crossbar.
Mueller and Forlan joined Dutch midfielder Wesley Sneijder and Spain striker David Villa at the top of the scoring charts.
Four changes
The Germans made four changes to the side that lost to Spain in the semi-finals and showed touches of the slick style that saw them trounce England and Argentina in the knockout stages.
The Germans went ahead when Uruguay keeper Fernando Muslera pushed Bastian Schweinsteiger's swerving long-range shot into the path of the onrushing Mueller, who slotted calmly into the corner to put himself into the joint lead for the Golden Boot.
Uruguay exposed the German defence in the 28th minute when Diego Perez dispossessed Schweinsteiger on the halfway line and played in Luis Suarez, who threaded the ball to Cavani to level the score with a delightful finish into the far corner.
Uruguay were in attacking mood straight after the break and were denied the lead two minutes later by a fabulous double save by from Hans-Joerg Butt from Cavani then Suarez.
They did go ahead though six minutes after the break with a fantastic volley on the turn from the edge of the area by Forlan, who drove Egidio Arevalo's cross into the far corner.
But the Germans had not given up and levelled the score in the 56th when Jansen got above two defenders and the keeper to head home Jerome Boateng's perfect cross to the far post.
They then withstood a stream of Uruguayan attacks and carved out the winner in the 82nd minute through Khedira before holding their collective breath when Forlan hit the bar.
Midfielder Sami Khedira headed in a corner after a goalmouth scramble eight minutes from time to give the three-times champions a well-deserved victory and deny Uruguay their best World Cup finish since lifting the trophy 60 years ago.
It was the second tournament in a row Germany finished third after they won the playoff game as hosts at the last finals.
Germany went ahead in the 19th minute with Thomas Mueller's fifth goal of the tournament but Uruguay hit back nine minutes later through Edinson Cavani.
The Uruguayans briefly snatched the lead through striker Diego Forlan, with his fifth goal of the tournament, in the 51st minute but fullback Marcell Jansen equalised five minutes later.
Khedira then popped up with the winner but Uruguay went agonisingly close with the last kick of the game when Forlan's curling freekick from 20 metres rattled the crossbar.
Mueller and Forlan joined Dutch midfielder Wesley Sneijder and Spain striker David Villa at the top of the scoring charts.
Four changes
The Germans made four changes to the side that lost to Spain in the semi-finals and showed touches of the slick style that saw them trounce England and Argentina in the knockout stages.
The Germans went ahead when Uruguay keeper Fernando Muslera pushed Bastian Schweinsteiger's swerving long-range shot into the path of the onrushing Mueller, who slotted calmly into the corner to put himself into the joint lead for the Golden Boot.
Uruguay exposed the German defence in the 28th minute when Diego Perez dispossessed Schweinsteiger on the halfway line and played in Luis Suarez, who threaded the ball to Cavani to level the score with a delightful finish into the far corner.
Uruguay were in attacking mood straight after the break and were denied the lead two minutes later by a fabulous double save by from Hans-Joerg Butt from Cavani then Suarez.
They did go ahead though six minutes after the break with a fantastic volley on the turn from the edge of the area by Forlan, who drove Egidio Arevalo's cross into the far corner.
But the Germans had not given up and levelled the score in the 56th when Jansen got above two defenders and the keeper to head home Jerome Boateng's perfect cross to the far post.
They then withstood a stream of Uruguayan attacks and carved out the winner in the 82nd minute through Khedira before holding their collective breath when Forlan hit the bar.
E-filing Mandatory
The summary of the changes effected by the Income-tax (7th Amendment) Rules, 2010 is as under :
1. Now, an individual or HUF required to furnish the return in Form ITR-4 and to whom provisions of section 44AB are applicable shall furnish the return for Assessment Year 2010-11 and subsequent Assessment Years in the manner specified in clause (ii) or clause (iii);
2.Now, a company required to furnish the return in Form ITR-6 shall furnish the return for Assessment Year 2010-11 and subsequent Assessment Years in the manner specified in clause (ii), i.e., electronically under digital signature. In other words, now a company cannot transmit the data in the return electronically and thereafter submit the verification of the return in Form ITR-V.
XXXXXXXXXXXXXXXXXXXXXXXXXX
Income-tax (Seventh Amendment) Rules, 2010 – Amendment in rule 12
Notification No. 49/2010[F.No. 142/15/2010- TPL], dated 9-7-2010
In exercise of the powers conferred by section 295 read with section 139 of Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby makes the following rules further to amend the Income-tax Rules, 1962, namely : -
1. (1) These rules may be called the Income-tax (7th Amendment) Rules, 2010.
(2) They shall come into force from the date of their publication in the Official Gazette.
2. In the Income-tax Rules 1962, in rule 12, in sub-rule (3), in the proviso, for clause (a), the following clauses shall be substituted, namely :-
“(a) a firm required to furnish the return in Form ITR-5 and to whom provisions of section 44AB are applicable shall furnish the return in the manner specified in clause (ii) or clause (iii);
(aa) an individual or HUF required to furnish the return in Form ITR-4 and to whom provisions of section 44AB are applicable shall furnish the return for Assessment Year 2010-11 and subsequent Assessment Years in the manner specified in clause (ii) or clause (iii);
(ab) a company required to furnish the return in Form ITR-6 shall furnish the return for Assessment Year 2010-11 and subsequent Assessment Years in the manner specified in clause (ii)’
1. Now, an individual or HUF required to furnish the return in Form ITR-4 and to whom provisions of section 44AB are applicable shall furnish the return for Assessment Year 2010-11 and subsequent Assessment Years in the manner specified in clause (ii) or clause (iii);
2.Now, a company required to furnish the return in Form ITR-6 shall furnish the return for Assessment Year 2010-11 and subsequent Assessment Years in the manner specified in clause (ii), i.e., electronically under digital signature. In other words, now a company cannot transmit the data in the return electronically and thereafter submit the verification of the return in Form ITR-V.
XXXXXXXXXXXXXXXXXXXXXXXXXX
Income-tax (Seventh Amendment) Rules, 2010 – Amendment in rule 12
Notification No. 49/2010[F.No. 142/15/2010- TPL], dated 9-7-2010
In exercise of the powers conferred by section 295 read with section 139 of Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby makes the following rules further to amend the Income-tax Rules, 1962, namely : -
1. (1) These rules may be called the Income-tax (7th Amendment) Rules, 2010.
(2) They shall come into force from the date of their publication in the Official Gazette.
2. In the Income-tax Rules 1962, in rule 12, in sub-rule (3), in the proviso, for clause (a), the following clauses shall be substituted, namely :-
“(a) a firm required to furnish the return in Form ITR-5 and to whom provisions of section 44AB are applicable shall furnish the return in the manner specified in clause (ii) or clause (iii);
(aa) an individual or HUF required to furnish the return in Form ITR-4 and to whom provisions of section 44AB are applicable shall furnish the return for Assessment Year 2010-11 and subsequent Assessment Years in the manner specified in clause (ii) or clause (iii);
(ab) a company required to furnish the return in Form ITR-6 shall furnish the return for Assessment Year 2010-11 and subsequent Assessment Years in the manner specified in clause (ii)’
Saturday, July 10, 2010
The Race for third place in FIFA 2010
Germany and Uruguay will hope to salvage some pride in their third-place playoff match on Saturday after devastating semifinal defeats earlier this week.
The two teams were largely written-off in the run-up to the finals but can hold their heads high after some stunning performances against top-ranked sides before their respective exits to Spain and Netherlands in the last four.
Germany's high-scoring young side are determined to cap their impressive World Cup with one last win where coach Joachim Loew promised his bitterly disappointed players will be in the right frame of mind and ready to win.
“The disappointment is there but now we need to build up the team a bit,” he said. “I'm certain we will go into the match with the necessary focus. No one needs to hang their heads low and we want to have a good final match,” said Loew.
History will not favour twice World Cup winners Uruguay after fourth place finishes the last two times they reached the semifinals, losing out in the playoff to Austria in 1954 and the Germans in 1970.
Germany have finished third thrice and lost the playoff only once in 1958, to France.
Two players central to the German and Uruguayan marches through the knockout stages will be available again after suspensions that weighed heavily on both teams in the semis.
Attacking midfielder Thomas Mueller was sorely missed by the Germans on Wednesday and will likely start, as will Uruguay striker Luis Suarez, whose handball on the goal line late in the match against Ghana helped put his team in the last four. Uruguay could be without in-form marksman Diego Forlan on Saturday because of a thigh problem sustained in the semis.
Uruguay striker Diego Forlan has recovered from a thigh injury and will play in the World Cup third-place play-off against Germany, coach Oscar Tabarez revealed on Friday.
The influential Atletico Madrid forward was substituted in the 84th minute of Uruguay's 3-2 semifinal defeat by the Netherlands but Tabarez says he is ready to assume a starting role against Joachim Loew's side on Saturday.
"Yes, he's ready, but that doesn't meant he's only going to play to score and for the top goalscorers standings," said Tabarez of four-goal Forlan, who currently trails Spain's David Villa and Holland's Wesley Sneijder by one goal in the race for the Golden Boot.
"We absolutely want to win this match and it's a collective effort."
Winning the prize for the tournament's most prolific marksman would cap a memorable season for Forlan, who netted twice as Atletico Madrid defeated Fulham in the final of the Europa League in May.
Tabarez is convinced he can be decisive once again against the Germans.
"There are lots of good things to say about Diego," he said.
"He's much more than just an excellent footballer and a great professional; he's there in the big matches."
Forlan will be joined at the point of the attack by strike partner Luis Suarez, who missed the semifinal through suspension after being sent off for a controversial handball in the quarter-final win against Ghana.
Uruguay emerged from a tough group featuring 2006 runners-up France, hosts South Africa and a well-drilled Mexico side before defeating South Korea 2-1 to reach the last eight.
Their victory on penalties against Ghana gave Uruguay their first semi-final appearance since 1970 and Tabarez wants his team to round off their memorable campaign on a high by beating Germany.
"They're a marvellous opponent," said Tabarez.
"They belong to the history of the World Cup, having playing at every finals since 1954 and being three-time world champions.
"It's very motivating to meet one of the best teams of the tournament, who play with lots of young players. But it's not impossible, just as it wasn't impossible against the Netherlands."
As he did prior to the game against Holland, Tabarez named his starting XI for the third-place play-off, with regular captain Diego Lugano set to return from injury at centre-back and left-back Jorge Fucile also available after suspension.
Uruguay team to face Germany
Fernando Muslera, Martin Caceres, Diego Lugano, Diego Godin, Jorge Fucile, Maxi Pereira, Diego Perez, Egidio Arevalo Rios, Edinson Cavani, Diego Forlan (capt), Luis Suarez
Friday, July 9, 2010
TO GET EARLY REFUND/FUNDS Direct into Your Bank Account USE "MICR" CODE
Friends,
Now a days, after computerization of Banks its very important to know about MICR Code. To get refund of Income Tax or funds directly into your account, one can use MICR Codes.
WHAT IS MICR CODE
Full text of MICR code is :
MAGNETIC INK CHARACTER RECOGNITION (MICR)
In MICR technology the information is printed on the instrument with a special type of ink which is made up of magnetic material. On insertion of the instrument in the machine, the printed information is read by the machine. MICR system is beneficial as it minimizes chances of error, clearing of cheques becomes easy and transfer of funds becomes faster in order to facilitate operations.
MICR code consist of 9 digit
First three digit (1-3) denotes city and are same/identical first three digit of your pin code
for example first three digit of Pin code of New Delhi =110 so first three digit of MICR code of all the bank branches located in New Delhi must be 110.
4-6 digit denotes for Bank
each bank has given a three digit code,4-6 digit is= bank code eg. SBI code is "002"so 4-6 digit of MICR code all the the branches of SBI is "002" irrespective of location in the india.
(7-9)Last three digit denotes branch code,it is in serial wise ,means if delhi has only one branch of SBI and its MICR code will be
110(FOR CITY)
002(FOR BANK)
001(FOR BRANCH)
"110002001"
so if you are located in delhi & your client has given you a Micr code of the bank located in New Delhi , doesn't begin with "110",you can easily tell him your Micr code is wrong.
HOW CAN I KNOW MY BANK BRANCH MICR CODE
1. From your bank branch
2. from your cheque book ??
3. excel work book link is given below for Micr code for allmost all the branches located in India.
from cheque book ????yes ,if your bank branch has a Micr code than it is also printed on your cheque book,check your cheque book if there is a nine digit code and first three digit of the code=first three digit of your pin code than you can have got your MICR code.
so please fill MICR code to get the income tax refund directly into bank account.
WHETHER ALL THE BRANCHES IN INDIA HAVE MICR CODE?????
NO.
Is there any benefit for MICR code OTHER than ITR.
yes , now a days it is used by many organistions to send directly funds in customer account.
1. by mutual fund for sending sale receipt of the units to customer account
2.Refund of application money in shares .
3. Refund of taxes by other deptt also.
4. Refund of application money for real state/plot by govt/private organistion.
its use will increase only
Now a days, after computerization of Banks its very important to know about MICR Code. To get refund of Income Tax or funds directly into your account, one can use MICR Codes.
WHAT IS MICR CODE
Full text of MICR code is :
MAGNETIC INK CHARACTER RECOGNITION (MICR)
In MICR technology the information is printed on the instrument with a special type of ink which is made up of magnetic material. On insertion of the instrument in the machine, the printed information is read by the machine. MICR system is beneficial as it minimizes chances of error, clearing of cheques becomes easy and transfer of funds becomes faster in order to facilitate operations.
MICR code consist of 9 digit
First three digit (1-3) denotes city and are same/identical first three digit of your pin code
for example first three digit of Pin code of New Delhi =110 so first three digit of MICR code of all the bank branches located in New Delhi must be 110.
4-6 digit denotes for Bank
each bank has given a three digit code,4-6 digit is= bank code eg. SBI code is "002"so 4-6 digit of MICR code all the the branches of SBI is "002" irrespective of location in the india.
(7-9)Last three digit denotes branch code,it is in serial wise ,means if delhi has only one branch of SBI and its MICR code will be
110(FOR CITY)
002(FOR BANK)
001(FOR BRANCH)
"110002001"
so if you are located in delhi & your client has given you a Micr code of the bank located in New Delhi , doesn't begin with "110",you can easily tell him your Micr code is wrong.
HOW CAN I KNOW MY BANK BRANCH MICR CODE
1. From your bank branch
2. from your cheque book ??
3. excel work book link is given below for Micr code for allmost all the branches located in India.
from cheque book ????yes ,if your bank branch has a Micr code than it is also printed on your cheque book,check your cheque book if there is a nine digit code and first three digit of the code=first three digit of your pin code than you can have got your MICR code.
so please fill MICR code to get the income tax refund directly into bank account.
WHETHER ALL THE BRANCHES IN INDIA HAVE MICR CODE?????
NO.
Is there any benefit for MICR code OTHER than ITR.
yes , now a days it is used by many organistions to send directly funds in customer account.
1. by mutual fund for sending sale receipt of the units to customer account
2.Refund of application money in shares .
3. Refund of taxes by other deptt also.
4. Refund of application money for real state/plot by govt/private organistion.
its use will increase only
Wednesday, July 7, 2010
Know Your PAN
Friends,
Know all about you PAN alloted by the Income Tax Department. The PAN alloted to you have some special things which normally a person does not give attention to that. After reading the following you can check your PAN whether it rightly issued by the department or there is some error. So to KNOW MORE CLICK HERE and ENJOY.
Bye for now and have a NICE day.
Know all about you PAN alloted by the Income Tax Department. The PAN alloted to you have some special things which normally a person does not give attention to that. After reading the following you can check your PAN whether it rightly issued by the department or there is some error. So to KNOW MORE CLICK HERE and ENJOY.
Bye for now and have a NICE day.
Sunday, July 4, 2010
View Your Tax Deposited in Income Tax Department ONLINE (26AS)
Friends
Now onwards Income Tax Department has add a facility to view your tax deducted at any source by any department viz. from Salary, Interest or from any other source the new facility has been added in "My Account" for registered e-filers at www.incometaxindiaefiling.gov.in to view the Tax Credit Statement (Form 26AS) to verify if the tax payments made by you or TDS deducted from salary or interest etc. are correctly reported to the Department.
CLICK HERE TO VIEW 26 AS
Now onwards Income Tax Department has add a facility to view your tax deducted at any source by any department viz. from Salary, Interest or from any other source the new facility has been added in "My Account" for registered e-filers at www.incometaxindiaefiling.gov.in to view the Tax Credit Statement (Form 26AS) to verify if the tax payments made by you or TDS deducted from salary or interest etc. are correctly reported to the Department.
CLICK HERE TO VIEW 26 AS
Saturday, July 3, 2010
Form 16 TDS Certificate by Two Employers
Friends,
It's a very common problem now-a-days due to change in Service form one sector to another for his/her best future and one problem comes there regarding Tax Deducted at Source..... Issuance of Form16.
Click here to know the problem in detail and its solution
It's a very common problem now-a-days due to change in Service form one sector to another for his/her best future and one problem comes there regarding Tax Deducted at Source..... Issuance of Form16.
Click here to know the problem in detail and its solution
Friday, July 2, 2010
26-AS View Your Tax deposited online --New Facility added for Registered E-filers
Friends
Now onwards Income Tax Department has add a facility to view your tax deducted at any source by any department viz. from Salary, Interest or from any other source the new facility has been added in "My Account" for registered e-filers at www.incometaxindiaefiling.gov.in to view the Tax Credit Statement (Form 26AS) to verify if the tax payments made by you or TDS deducted from salary or interest etc. are correctly reported to the Department.
First of all you have to login to incometaxindia.gov.in site as per Picture 1
CLICK ON PICTURE 1 TO VIEW IN LARGE MODE
Under Tab My Account Click on View 26AS Tab as per Picture 2
CLICK ON PICTURE 2 TO VIEW IN LARGE MODE
Some information will be required to fill as per picture no. 3
CLICK ON PICTURE 3 TO VIEW IN LARGE MODE
A confirmation screen will appear as per Picture 4
CLICK ON PICTURE 4 TO VIEW IN LARGE MODE
Finally you will be able to view your tax credited with Income Tax Department from various sources as per Picture 5
CLICK ON PICTURE 5 TO VIEW IN LARGE MODE
Its so easy to view this statement
Enjoy it and take full benefit out of it
Now onwards Income Tax Department has add a facility to view your tax deducted at any source by any department viz. from Salary, Interest or from any other source the new facility has been added in "My Account" for registered e-filers at www.incometaxindiaefiling.gov.in to view the Tax Credit Statement (Form 26AS) to verify if the tax payments made by you or TDS deducted from salary or interest etc. are correctly reported to the Department.
First of all you have to login to incometaxindia.gov.in site as per Picture 1
CLICK ON PICTURE 1 TO VIEW IN LARGE MODE
Under Tab My Account Click on View 26AS Tab as per Picture 2
CLICK ON PICTURE 2 TO VIEW IN LARGE MODE
Some information will be required to fill as per picture no. 3
CLICK ON PICTURE 3 TO VIEW IN LARGE MODE
A confirmation screen will appear as per Picture 4
CLICK ON PICTURE 4 TO VIEW IN LARGE MODE
Finally you will be able to view your tax credited with Income Tax Department from various sources as per Picture 5
CLICK ON PICTURE 5 TO VIEW IN LARGE MODE
Its so easy to view this statement
Enjoy it and take full benefit out of it
TDS Rates for the financial year 2010-11 and assesment year 2011-12 as amended in Union Budget 2010
Friends,
READ MORE
Increase in thresholds limit of deduction of tax from various payments
This bill proposes to increase various thresholds limit for deduction of tax from various payments like Winning from Lottery or Crossword Puzzle, Winning from Horse Race, Payment to Contractors, Insurance Commission, Commission or brokerage, Rent, Fees for Professional and Technical Services. The proposed amendments w.e.f 1st July, 2009 made under the new provision are summarized as under:
READ MORE
Thursday, July 1, 2010
All about Deduction u/s 80C of Income Tax
Section 80C of the Income Tax Act (India) / What are eligible investments for Section 80C:
Section 80C replaced the existing Section 88 with more or less the same investment mix available in Section 88. The new section 80C has become effective w.e.f. 1st April, 2006. Even the section 80CCC on pension scheme contributions was merged with the above 80C. However, this new section has allowed a major change in the method of providing the tax benefit. Section 80C of the Income Tax Act allows certain investments and expenditure to be tax-exempt. One must plan investments well and spread it out across the various instruments specified under this section to avail maximum tax benefit. Unlike Section 88, there are no sub-limits and is irrespective of how much you earn and under which tax bracket you fall.
The total limit under this section is Rs 1 lakh 20 thousand for the financial year 2010-11. Included under this heading are many small savings schemes like NSC, PPF and other pension plans. Payment of life insurance premiums and investment in specified government infrastructure bonds are also eligible for deduction under Section 80C
Most of the Income Tax payee try to save tax by saving under Section 80C of the Income Tax Act. However, it is important to know the Section in toto so that one can make best use of the options available for exemption under income tax Act. One important point to note here is that one can not only save tax by undertaking the specified investments, but some expenditure which you normally incur can also give you the tax exemptions.
Besides these investments, the payments towards the principal amount of your home loan are also eligible for an income deduction. Education expense of children is increasing by the day. Under this section, there is provision that makes payments towards the education fees for children eligible for an income deduction
Sec 80C of the Income Tax Act is the section that deals with these tax breaks. It states that qualifying investments, up to a maximum of Rs. 1 Lakh, are deductible from your income. This means that your income gets reduced by this investment amount (up to Rs. 1 Lakh), and you end up paying no tax on it at all!
This benefit is available to everyone, irrespective of their income levels. Thus, if you are in the highest tax bracket of 30%, and you invest the full Rs. 1 Lakh, you save tax of Rs. 30,000. Isn’t this great? So, let’s understand the qualifying investments first.
Qualifying Investments
Provident Fund (PF) & Voluntary Provident Fund (VPF: PF is automatically deducted from your salary. Both you and your employer contribute to it. While employer’s contribution is exempt from tax, your contribution (i.e., employee’s contribution) is counted towards section 80C investments. You also have the option to contribute additional amounts through voluntary contributions (VPF). Current rate of interest is 8.5% per annum (p.a.) and is tax-free.
Public Provident Fund (PPF): Among all the assured returns small saving schemes, Public Provident Fund (PPF) is one of the best. Current rate of interest is 8% tax-free and the normal maturity period is 15 years. Minimum amount of contribution is Rs 500 and maximum is Rs 70,000. A point worth noting is that interest rate is assured but not fixed.
Life Insurance Premiums: Any amount that you pay towards life insurance premium for yourself, your spouse or your children can also be included in Section 80C deduction. Please note that life insurance premium paid by you for your parents (father / mother / both) or your in-laws is not eligible for deduction under section 80C. If you are paying premium for more than one insurance policy, all the premiums can be included. It is not necessary to have the insurance policy from Life Insurance Corporation (LIC) – even insurance bought from private players can be considered here.
Equity Linked Savings Scheme (ELSS): There are some mutual fund (MF) schemes specially created for offering you tax savings, and these are called Equity Linked Savings Scheme, or ELSS. The investments that you make in ELSS are eligible for deduction under Sec 80C.
Home Loan Principal Repayment: The Equated Monthly Installment (EMI) that you pay every month to repay your home loan consists of two components – Principal and Interest.The principal component of the EMI qualifies for deduction under Sec 80C. Even the interest component can save you significant income tax – but that would be under Section 24 of the Income Tax Act. Please read “Income Tax (IT) Benefits of a Home Loan / Housing Loan / Mortgage”, which presents a full analysis of how you can save income tax through a home loan.
Stamp Duty and Registration Charges for a home: The amount you pay as stamp duty when you buy a house, and the amount you pay for the registration of the documents of the house can be claimed as deduction under section 80C in the year of purchase of the house.
National Savings Certificate (NSC): National Savings Certificate (NSC) is a 6-Yr small savings instrument eligible for section 80C tax benefit. Rate of interest is eight per cent compounded half-yearly, i.e., the effective annual rate of interest is 8.16%. If you invest Rs 1,000, it becomes Rs 1601 after six years. The interest accrued every year is liable to tax (i.e., to be included in your taxable income) but the interest is also deemed to be reinvested and thus eligible for section 80C deduction.
Infrastructure Bonds: These are also popularly called Infra Bonds. These are issued by infrastructure companies, and not the government. The amount that you invest in these bonds can also be included in Sec 80C deductions.
Pension Funds – Section 80CCC: This section – Sec 80CCC – stipulates that an investment in pension funds is eligible for deduction from your income. Section 80CCC investment limit is clubbed with the limit of Section 80C – it maeans that the total deduction available for 80CCC and 80C is Rs. 1 Lakh.This also means that your investment in pension funds upto Rs. 1 Lakh can be claimed as deduction u/s 80CCC. However, as mentioned earlier, the total deduction u/s 80C and 80CCC can not exceed Rs. 1 Lakh.
5-Yr bank fixed deposits (FDs): Tax-saving fixed deposits (FDs) of scheduled banks with tenure of 5 years are also entitled for section 80C deduction.
Senior Citizen Savings Scheme 2004 (SCSS): A recent addition to section 80C list, Senior Citizen Savings Scheme (SCSS) is the most lucrative scheme among all the small savings schemes but is meant only for senior citizens. Current rate of interest is 9% per annum payable quarterly. Please note that the interest is payable quarterly instead of compounded quarterly. Thus, unclaimed interest on these deposits won’t earn any further interest. Interest income is chargeable to tax.
5-Yr post office time deposit (POTD) scheme: POTDs are similar to bank fixed deposits. Although available for varying time duration like one year, two year, three year and five year, only 5-Yr post-office time deposit (POTD) – which currently offers 7.5 per cent rate of interest –qualifies for tax saving under section 80C. Effective rate works out to be 7.71% per annum (p.a.) as the rate of interest is compounded quarterly but paid annually. The Interest is entirely taxable.
NABARD rural bonds: There are two types of Bonds issued by NABARD (National Bank for Agriculture and Rural Development): NABARD Rural Bonds and Bhavishya Nirman Bonds (BNB). Out of these two, only NABARD Rural Bonds qualify under section 80C.
Unit linked Insurance Plan : ULIP stands for Unit linked Saving Schemes. ULIPs cover Life insurance with benefits of equity investments.They have attracted the attention of investors and tax-savers not only because they help us save tax but they also perform well to give decent returns in the long-term.
Others: Apart form the major avenues listed above, there are some other things, like children’s education expense (for which you need receipts), that can be claimed as deductions under Sec 80C.
So, where should you invest?
Like most other things in personal finance, the answer varies from person to person. But the following can be the broad principles:
Provident Fund: This is deducted compulsorily, and there is no running away from it! So, this has to be the first. Also, apart from saving tax now, it builds a long term, tax-free retirement corpus for you.
Home Loan Principal: If you are paying the EMI for a home loan, this one is automatic too! So, it comes as a close second.
Life Insurance Premiums: Every earning person having dependents should have adequate life insurance coverage. (For more on this, please read “Life after life – Why you should buy Life Insurance”) Therefore, life insurance premium payments are the next.
Voluntary Provident Fund (VPF) / Public Provident Fund (PPF): If you think that the PF being deducted from your salary is not enough, you should invest some more in VPF, or in PPF.
Equity Linked Savings Scheme (ELSS): After the above, if you have not reached the limit of Rs. 1,00,000, then you should invest the remaining amount in Equity Linked Savings Scheme (ELSS).
Equities provide the best, inflation-beating return in the long term, and should be a part of everyone’s portfolio. After all, what can be better than something that gives great return and helps save tax at the same time?
When to Invest?
Many of us start looking for investment avenues only in February or March, just before the Financial Year is getting over. This is a big mistake! One, you would end up investing your money without putting proper thought to it. And secondly, you would end up losing the interest / appreciation for the whole year. Instead, decide where you want to make the investments, and start investing right from the beginning of the financial year – from April. This way, you would not only make informed decisions, but would also earn the interest for the full year from April to March.
Section 80C replaced the existing Section 88 with more or less the same investment mix available in Section 88. The new section 80C has become effective w.e.f. 1st April, 2006. Even the section 80CCC on pension scheme contributions was merged with the above 80C. However, this new section has allowed a major change in the method of providing the tax benefit. Section 80C of the Income Tax Act allows certain investments and expenditure to be tax-exempt. One must plan investments well and spread it out across the various instruments specified under this section to avail maximum tax benefit. Unlike Section 88, there are no sub-limits and is irrespective of how much you earn and under which tax bracket you fall.
The total limit under this section is Rs 1 lakh 20 thousand for the financial year 2010-11. Included under this heading are many small savings schemes like NSC, PPF and other pension plans. Payment of life insurance premiums and investment in specified government infrastructure bonds are also eligible for deduction under Section 80C
Most of the Income Tax payee try to save tax by saving under Section 80C of the Income Tax Act. However, it is important to know the Section in toto so that one can make best use of the options available for exemption under income tax Act. One important point to note here is that one can not only save tax by undertaking the specified investments, but some expenditure which you normally incur can also give you the tax exemptions.
Besides these investments, the payments towards the principal amount of your home loan are also eligible for an income deduction. Education expense of children is increasing by the day. Under this section, there is provision that makes payments towards the education fees for children eligible for an income deduction
Sec 80C of the Income Tax Act is the section that deals with these tax breaks. It states that qualifying investments, up to a maximum of Rs. 1 Lakh, are deductible from your income. This means that your income gets reduced by this investment amount (up to Rs. 1 Lakh), and you end up paying no tax on it at all!
This benefit is available to everyone, irrespective of their income levels. Thus, if you are in the highest tax bracket of 30%, and you invest the full Rs. 1 Lakh, you save tax of Rs. 30,000. Isn’t this great? So, let’s understand the qualifying investments first.
Qualifying Investments
Provident Fund (PF) & Voluntary Provident Fund (VPF: PF is automatically deducted from your salary. Both you and your employer contribute to it. While employer’s contribution is exempt from tax, your contribution (i.e., employee’s contribution) is counted towards section 80C investments. You also have the option to contribute additional amounts through voluntary contributions (VPF). Current rate of interest is 8.5% per annum (p.a.) and is tax-free.
Public Provident Fund (PPF): Among all the assured returns small saving schemes, Public Provident Fund (PPF) is one of the best. Current rate of interest is 8% tax-free and the normal maturity period is 15 years. Minimum amount of contribution is Rs 500 and maximum is Rs 70,000. A point worth noting is that interest rate is assured but not fixed.
Life Insurance Premiums: Any amount that you pay towards life insurance premium for yourself, your spouse or your children can also be included in Section 80C deduction. Please note that life insurance premium paid by you for your parents (father / mother / both) or your in-laws is not eligible for deduction under section 80C. If you are paying premium for more than one insurance policy, all the premiums can be included. It is not necessary to have the insurance policy from Life Insurance Corporation (LIC) – even insurance bought from private players can be considered here.
Equity Linked Savings Scheme (ELSS): There are some mutual fund (MF) schemes specially created for offering you tax savings, and these are called Equity Linked Savings Scheme, or ELSS. The investments that you make in ELSS are eligible for deduction under Sec 80C.
Home Loan Principal Repayment: The Equated Monthly Installment (EMI) that you pay every month to repay your home loan consists of two components – Principal and Interest.The principal component of the EMI qualifies for deduction under Sec 80C. Even the interest component can save you significant income tax – but that would be under Section 24 of the Income Tax Act. Please read “Income Tax (IT) Benefits of a Home Loan / Housing Loan / Mortgage”, which presents a full analysis of how you can save income tax through a home loan.
Stamp Duty and Registration Charges for a home: The amount you pay as stamp duty when you buy a house, and the amount you pay for the registration of the documents of the house can be claimed as deduction under section 80C in the year of purchase of the house.
National Savings Certificate (NSC): National Savings Certificate (NSC) is a 6-Yr small savings instrument eligible for section 80C tax benefit. Rate of interest is eight per cent compounded half-yearly, i.e., the effective annual rate of interest is 8.16%. If you invest Rs 1,000, it becomes Rs 1601 after six years. The interest accrued every year is liable to tax (i.e., to be included in your taxable income) but the interest is also deemed to be reinvested and thus eligible for section 80C deduction.
Infrastructure Bonds: These are also popularly called Infra Bonds. These are issued by infrastructure companies, and not the government. The amount that you invest in these bonds can also be included in Sec 80C deductions.
Pension Funds – Section 80CCC: This section – Sec 80CCC – stipulates that an investment in pension funds is eligible for deduction from your income. Section 80CCC investment limit is clubbed with the limit of Section 80C – it maeans that the total deduction available for 80CCC and 80C is Rs. 1 Lakh.This also means that your investment in pension funds upto Rs. 1 Lakh can be claimed as deduction u/s 80CCC. However, as mentioned earlier, the total deduction u/s 80C and 80CCC can not exceed Rs. 1 Lakh.
5-Yr bank fixed deposits (FDs): Tax-saving fixed deposits (FDs) of scheduled banks with tenure of 5 years are also entitled for section 80C deduction.
Senior Citizen Savings Scheme 2004 (SCSS): A recent addition to section 80C list, Senior Citizen Savings Scheme (SCSS) is the most lucrative scheme among all the small savings schemes but is meant only for senior citizens. Current rate of interest is 9% per annum payable quarterly. Please note that the interest is payable quarterly instead of compounded quarterly. Thus, unclaimed interest on these deposits won’t earn any further interest. Interest income is chargeable to tax.
5-Yr post office time deposit (POTD) scheme: POTDs are similar to bank fixed deposits. Although available for varying time duration like one year, two year, three year and five year, only 5-Yr post-office time deposit (POTD) – which currently offers 7.5 per cent rate of interest –qualifies for tax saving under section 80C. Effective rate works out to be 7.71% per annum (p.a.) as the rate of interest is compounded quarterly but paid annually. The Interest is entirely taxable.
NABARD rural bonds: There are two types of Bonds issued by NABARD (National Bank for Agriculture and Rural Development): NABARD Rural Bonds and Bhavishya Nirman Bonds (BNB). Out of these two, only NABARD Rural Bonds qualify under section 80C.
Unit linked Insurance Plan : ULIP stands for Unit linked Saving Schemes. ULIPs cover Life insurance with benefits of equity investments.They have attracted the attention of investors and tax-savers not only because they help us save tax but they also perform well to give decent returns in the long-term.
Others: Apart form the major avenues listed above, there are some other things, like children’s education expense (for which you need receipts), that can be claimed as deductions under Sec 80C.
So, where should you invest?
Like most other things in personal finance, the answer varies from person to person. But the following can be the broad principles:
Provident Fund: This is deducted compulsorily, and there is no running away from it! So, this has to be the first. Also, apart from saving tax now, it builds a long term, tax-free retirement corpus for you.
Home Loan Principal: If you are paying the EMI for a home loan, this one is automatic too! So, it comes as a close second.
Life Insurance Premiums: Every earning person having dependents should have adequate life insurance coverage. (For more on this, please read “Life after life – Why you should buy Life Insurance”) Therefore, life insurance premium payments are the next.
Voluntary Provident Fund (VPF) / Public Provident Fund (PPF): If you think that the PF being deducted from your salary is not enough, you should invest some more in VPF, or in PPF.
Equity Linked Savings Scheme (ELSS): After the above, if you have not reached the limit of Rs. 1,00,000, then you should invest the remaining amount in Equity Linked Savings Scheme (ELSS).
Equities provide the best, inflation-beating return in the long term, and should be a part of everyone’s portfolio. After all, what can be better than something that gives great return and helps save tax at the same time?
When to Invest?
Many of us start looking for investment avenues only in February or March, just before the Financial Year is getting over. This is a big mistake! One, you would end up investing your money without putting proper thought to it. And secondly, you would end up losing the interest / appreciation for the whole year. Instead, decide where you want to make the investments, and start investing right from the beginning of the financial year – from April. This way, you would not only make informed decisions, but would also earn the interest for the full year from April to March.
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