Showing posts with label Automated Income Tax Form 16 for Assessment Year 2016-17. Show all posts
Showing posts with label Automated Income Tax Form 16 for Assessment Year 2016-17. Show all posts
Friday, 15 July 2016
Wednesday, 4 May 2016
Download Automatic Master of Form 16 Part B and Part A&B which can prepare at a time 50 employees OR 100 employees for Financial Year 2015-16 from the below link :-
Click here to Download Master of Form 16 Part B which can prepare at a time 50 employees Form 16 Part B for F.Y. 2015-16
Click here to Download Master of Form 16 Part A&B which can prepare at a time 100 employees Form 16 Part A&B for F.Y.2015-16
Click here to Download Master of Form 16 Part B which can prepare at a time 100 employees Form 16 Part B for F.Y.2015-16
Click here to Download Master of Form 16 Part A&B which can prepare at a time 50 employees Form 16 Part A&B for F.Y.2015-16
We all share a love-hate relationship with taxes. We know it has to be paid, we know it is used for the benefit of society as a whole, we know its role in the economy, but we still are uncomfortable paying it. As our income increases, the discomfort with rising taxes also goes up. This is where tax saving investments come in. There are a plethora of schemes available, that help you save taxes. Traditionally, Insurance has been known as an important medium to save taxes. So, where does Health Insurance fit in? Let’s see.
Health Insurance and Taxes
The tax exemptions available to Medical Insurance schemes is summed up in Section 80D of the Income Tax Act. For any health insurance policy bought, a policyholder can claim deduction on premium paid for up to Rs. 25,000 (according to Budget 2015). The deduction for senior citizens is Rs. 30,000.
For those very senior citizens (80 years and above) to whom health insurance is not available, any payment made on the account of medical expenditure for such people shall be allowed as a deduction under Section 80D, subject to a maximum limit of Rs. 30,000. This deduction will be given subject to the fact that any premium towards any health insurance is not being paid for such person.
However, total deduction for health insurance premium and medical expenses for parents shall be limited to Rs 30,000.
Section 80D allows for tax deduction from the total taxable income for the payment of medical insurance premium paid by an individual or a Hindu undivided Family (HUF), in any mode other than cash. This deduction is over and above the normal deduction of Rs. 1,50,000 allowed under Section 80C.
The deduction under Sec 80D is allowed for making a payment towards maintaining an insurance policy which:-
In case of an Individual:- Is for the health of the self or the spouse, dependent parents or dependent children, or
In case of HUF:- Is for any Member of the Family.
Amount of Deduction Available
The deduction is to be claimed while filing income tax returns. The deduction is the sum of the following amounts –
In case the payment of medical insurance premium is for self, spouse, dependent children or parents (dependent or not) – Rs. 25000. In case the person insured is a Senior Citizen, the deduction allowed should be Rs. 30,000.
So, the total deduction that can potentially be claimed by a family under Section 80D is as below:
Criteria for claiming deductions
The criteria for claiming deductions under Section 80D by way of health insurance premiums is as outlined below:
* The said policyholder/ tax payer is an individual or HUF (Resident or NRI)
* The insurance premium paid is in accordance with the schemes framed by General Insurance Corporation of India & approved by Central Government.
* The premium has been paid by any mode other than cash.
* It is paid out of taxable income
Proof of payment
As proof of payment, mediclaim receipt has to be furnished while claiming the deduction.
Tuesday, 3 May 2016
TDS Form 16 Part B will be issued by the persons responsible for deducting tax at source. When TDS is deducted it's important to issue TDS certificate so that the payee knows how much tax he has paid. Many institutions and individuals may not issue TDS certificates, unless you ask for the same. Therefore, it's important that you ask for the TDS certificate, so you know exactly how much tax has already been paid and deposited with the government.
1) Download Automated Form 16 Part B forF.Y.2015-16 which can prepare at a time 50 employees Form 16 Part B
2) Download Automated Form 16 Part B For F.Y.2015-16 which can prepare at a time 100 employees Form 16 Part B
3) Download Automated Form 16 Part A&B forF.Y.2015-16 which can prepare at a time 100 employees Form 16 Part A&B
4) Download Automated Form 16 Part A&Bwhich can prepare at a time 50 employees Form 16 Part A&B for F.Y.2015-16
An example
Let's say you have a fixed deposit that gives you an interest of Rs 11,000. Now, the bank would deduct Rs 1100 on this amount, so your tax deducted at source would be Rs 1100. It's necessary for the bank to issue a TDS certificate for Rs 1100. It informs you that tax has been deducted from your fixed deposit and the same has been paid to the government.
Now, if your income is not more then Rs 2.5 lakh, you can get back the Rs 1100 deducted, when you file your income tax returns.
Of course, nowadays it is possible to view how much TDS has been deducted online. However, there maybe many individuals who are not net savvy. For them getting a TDS certificate and calculating their own tax liability would be better.
If you do not want TDS to be deducted and your income is below the threshold limit of Rs 2 lakhs, you can submit form 15G or 15H, so the bank/companies would not deduct TDS.
The government has from this budget onwards made it compulsory for deduction of TDS even on real estate transactions. This means that if you sell a property in excess of Rs 50 lakhs you now have to pay TDS.
In any case remember that collecting a TDS certificate is important and giving one, if your the deductor is also important.
Wednesday, 20 April 2016
The salary persons always ask from us that tell all the deductions which we can claim from salary for A.Y. 2016-2017. So we are giving the list of all the deductions which you can claim while calculating taxable salary income or net total income after adding other sources incomes as per the Finance Budget 2015-16. The deductions are given along with the income tax sections. So you can get all the complete details by going to that particular section in case of any doubt.
Entertainment Allowance: The first deduction which you claim from salary is Entertainment Allowance. Entertainment allowance received is first included in the employee’s income and then a deduction is allowed in case of government employees, for a sum equal to 1/5th of salary (excluding all allowances, benefits and other perquisites) or Rs. 5,000, whichever is less.
1) Download 100 employees Master of Form 16 Part B forF.Y.2015-16 [ This Excel Utility can prepare at a time 100 employees Form 16 Part B ]
2) Download 50 employees Master of Form 16 Part B forF.Y.2015-16 [ This Excel Utility can prepare at a time 50 employees Form 16 Part B ]
Professional Tax (P.Tax): Tax on employment by whatever name called, levied by a State under Article 80C 276 of the Constitution shall be allowed as a deduction. [Sec. 16(iii)]
House Building Loan Interest (U/s 24B):- House Building Loan Interest ( Loss of House Property) U/s 24B, Max. Rs. 2 Lakh.
Travelling/Conveyance Allowances (U/s 10):- Max Rs. 1600/-P.M. and Phy.disable persons Rs. 3200/- P.M.
Deductions Permissible under Chapter VI-A: Certain deductions are available from the gross taxable income, under sections 80C to 80U. Important deductions are:
Deposit/Contribution to Life Insurance Premia, deferred annuity, contributions to provident fund, subscription to certain equity shares or debentures, bank deposits under notified scheme, 5 years POTD, Senior Citizen Saving Scheme, etc. [Sec. 80C]
Contribution to a LIC Pension Plan (Jeevan Suraksha) or Pension Fund of other insurance companies. [Sec. 80CCC]
Contribution to notified Pension Scheme by employees of Central Government or any other employer or by any other individual. [Sec. 80CCD]
1) Download 100 employees Master of Form 16 Part A&B forF.Y.2015-16 [ This Excel Utility can prepare at a time 100 employees Form 16 Part A&B ]
2) Download 50 employees Master of Form 16 Part A&B forF.Y.2015-16 [ This Excel Utility can prepare at a time 50 employees Form 16 Part A&B ]
Rajiv Gandhi Equity savings Scheme Investment in listed equity shares (w.e.f 1-4-2014) A.Y.2014-15 [or listed units of equity-oriented mutual funds] under. [Sec. 80CCG]
Payment of Medical Insurance Premia (Mediclaim) or contribution to Central Government Health Scheme. [Sec. 80D]: Deductible upto a maximum of Rs. 25,000 (Rs. 30,000 in case the person insured is a senior citizen
Expenditure on medical Treatment etc. and deposit for maintenance of handicapped dependents. [Sec. 80DD]: A deduction is allowed to compensate for any expenditure incurred by an assesses, during a year, for the medical treatment (including nursing), training and rehabilitation of one or more handicapped relatives wholly dependent on him, and for amount deposited in an approved scheme of LIC or UTI, for the benefit of a handicapped dependent. A fixed deduction of Rs. 50,000 is allowable, in aggregate for any or both the purpose specified above, irrespective of the actual amount of expenditure incurred.
Download Master ofForm 16 Part B with 12 BA for F.Y.2015-16 [ This Excel Utility can prepare at a time 50 employees Form 16 with 12 BA ]
Expenditure or Medical Treatment of assess/dependant relative [Sec. 80DDB]:Deduction for the amount of expenditure incurred or Rs. 40,000, whichever is less, is allowable for any year during which expenditure is actually incurred for the medical treatment of specified diseases or ailments for the assesses himself or a dependent relative. If the patient is a senior citizen the deduction allowable shall be the expenditure incurred or Rs. 80,000 whichever is less. Besides, any amount received under a medical insurance policy shall be reduced from the amount of deduction allowable.
Interest on Loan taken for Higher Education. [Sec. 80E]: Any amount paid by way of interest on a loan taken from any financial institution or any approved charitable institution for the purpose of pursing his higher education, is deduction without any limit.
Interest on Loan taken for first residential house. [Sec. 80EE]: Deduction is allowable for interest on housing loan from a bank/housing finance company, for allowable is Rs. 1, 00,000, subject to specified conditions. The deduction is allowable for A.Y. 2014-15 and A.Y. 2015-16 only.]
Donation for Charitable Purposes [Sec. 80G]: There are a number of donations in respect of which deduction is permissible under Sec. 80G. Deduction @ 50% is available for donation to Jawaharlal Nehru Memorial Fund, Prime Minister Drought Relief Fund, [National Children’s Fund] Indira Gandhi Memorial Trust or Rajiv Gandhi Foundation etc. 100% deduction is allowed for donations to National Defense Fund, Prime Minister’s National Relief Fund, [National Children’s Fund,]National Foundation for Communal Harmony, Chief Minister’s/Lt. Governor’s Relief Fund etc. Deduction is granted subject to the prescribed maximum ceiling and on furnishing of appropriate certificate from the done organization.
Donation of a sum exceeding Rs. 10,000 shall be eligible for deduction, only if it paid by a mode other than cash.
Expenditure on Rent. [Sec. 80GG]: Rent paid by an assesses not owning a house and not in receipt of house rent allowance u/s 10(13A) for residential accommodation whether furnished or unfurnished, is deductible subject to the prescribed ceilings. [w.e.f 1-4-2014, for A.Y. 2014-15]
Physical Disability [Sec. 80U]: Rs. 75,000 for disability and Rs. 1, 25,000 for severe disability.
Savings Bank Interest [Sec. 80TTA]: Exemption up to Rs. 10,000/- who’s Taxable Income less than 5 Lakh.
Tax Rebate Rs.2,000/-[Sec. 87A]: Tax Rebate can be allowed Max Rs. 2,000/- who’s Taxable Income less than 5 Lakh.
Friday, 12 February 2016
Budget 2015 provided for additional exemption of Rs 50,000 for investing in NPS (National Pension Scheme) Tier 1 account u/s 80CCD(1B). This was to encourage NPS as popular retirement planning option. And we all know anything related to tax saving automatically becomes a popular investment avenue. In an earlier post we had highlighted why you should invest in equity mutual funds than NPS, but still I got people who were interested in opening NPS account and take advantage of Section 80CCD(1B).
This post tells you how to open and invest in NPS?
Download Automated One by One Prepare Form 16 Part A&B and Part B for F.Y.2015-16 [This Excel Utility can prepare automatic at a time Form 16 Part A&B and Part B with all new feature of Income Tax Amended by the Finance Budget 2015]
Eligibility for NPS Account:
NPS account can be opened by anyone with age between 18 to 60 years. Even NRIs are eligible to open NPS accounts. NRIs can invest through normal banking channels or out of funds held in their NRE/FCNR/NRO account.
NPS Account Tiers:
NPS has two tiers.
1. Tier -I account is the primary account and the contribution to this account is locked till retirement.
2. Tier- II account is optional saving account and deposit and withdrawal to this account can be done anytime.
Type of NPS Account:
There are 4 types of account depending on type of subscriber.
1. Government Sector – this account is opened for Government employees by their respective employers
2. Corporate Sector – this account is opened for Private Sector employees by their respective employers
3. All Citizen Model – for all citizens who are not covered in above two categories
4. NPS Lite / Swavalamban – this is Government sponsored NPS scheme with some subsidy from government
How to open NPS Account?
The good news is opening NPS account is relatively simple. You can download the NPS application form by clicking here.
After filling the form you can submit it to your nearest Point Of Presence – Service Provider (POP-SP) along with yourPAN card, address proof, cancelled cheque and cheque for initial deposit.
How to fill NPS Account Opening Form?
The NPS account opening form is 4 page simple form. The first page asks for Personal Details, Address, contact details and bank details.
Page 2 has nomination details, NPS option, Pension Fund Selection and investment option selection.
Page 3 is just KYC verification by POP-SP.
Page 4 is the instruction page.
Select your Pension Fund
There are total of 7 pension fund managers
1. LIC Pension Fund Limited
2. SBI Pension Funds Private Limited
3. UTI Retirement Solutions Limited
4. ICICI Prudential Pension Funds Management Company Limited
5. Kotak Mahindra Pension Fund Limited
6. Reliance Capital Pension Fund Limited
7. HDFC Pension Management Company Limited
Out of the above 7 only LIC, SBI and UTI are available for Government employees while all 7 are available for all other NPS accounts.
Asset Investment Options:
There are 3 types of assets you can invest into.
1. Asset Class E– Investment in predominantly equity market instrument.
2. Asset Class C-Investment in fixed income instruments other than Government Securities
3. Asset Class G– Investment in Government Securities/Bonds
Active Vs Auto Choice:
You need to select between active and auto investment choice.
Active Choice – in this case you can select the allocation between the above 3 asset classes. You can invest maximum of 50% in Asset Class E.
Auto Choice – in case of auto choice the allocation between assets happen based on the age of the subscriber. Till the age of 35 years the allocation is 50% in Class E, 30% in Class C and 20% in Class G. every year the asset distribution is changed such that Class E is reduced by 2%, Class C reduced by 1% and Class G increased by 3%. At the age of 55, there is only 10% invested in Class E and C each and rest 80% is in Class G. The above asset distribution is done to keep the volatility to the minimum as the subscriber reaches withdrawal stage.
Download Automated Form 16 Part B which can prepare Form 16 Part B One by One for Financial Year 2015-16 with all Amended by the Finance Budget 2015-16
How to Open NPS Account Online?
You can also open NPS account online if you have internet banking enabled for any of the 10 participating banks –Allahabad Bank, Bank of India, Bank of Maharashtra, Oriental Bank of Commerce, South Indian Bank, State Bank of Travancore, State Bank of Hyderabad, State Bank of Patiala, Tamilnadu Mercantile Bank and United Bank of India. .
Just go to eNPS website, fill up the form and make the initial contribution.
Next take a printout of the form, paste your photograph (do NOT sign across the photograph) & affix signature. The form should be sent within 90 days from the date of allotment of PRAN to CRA at the following address:
Central Recordkeeping Agency (eNPS)
NSDL e-Governance Infrastructure Limited,
1st Floor, Times Tower,
Kamala Mills Compound, Senapati Bapat Marg,
Lower Parel, Mumbai – 400 013
NSDL e-Governance Infrastructure Limited,
1st Floor, Times Tower,
Kamala Mills Compound, Senapati Bapat Marg,
Lower Parel, Mumbai – 400 013
What after NPS Form Submission?
On submission of NPS form, a 17 digit Permanent Retirement Account Number (PRAN) will be allotted to you. Within 2-3 weeks you would get welcome kit containing a PRAN Card, IPIN/TPIN, Subscriber Master Report, Scheme Information Booklet along with a Welcome Letter through post.
Subsequent Contributions:
All the active NPS account holders can do subsequent contributions online. For every contribution, you need to authenticate PRAN using the OTP sent on the registered mobile number. Next you can pay using your debit card or internet banking.
Investment Limit in NPS:
The initial contribution has to be made at the time of submitting the form at the POP-SP. The initial contribution should be minimum Rs 500 for Tier-I account and Rs 1,000 for Tier-II account.
Thereafter you should contribute at least once every year in both Tier-I and Tier-II (if opened) account. The minimum contribution should be rs 500 for Tier-I account and Rs 250 for Tier-II account.
Overall the minimum contribution should be Rs 6,000 for Tier-I account and there is no maximum investment limit. The minimum balance for Tier-II account should be at least Rs 2,000 at the end of each financial year.
There is no limit to the number of times you can make deposit.
Penalty for not making minimum Contribution:
If the subscriber fails to make the above minimum contribution, a default penalty of Rs. 100 per year of default is levied and the account would become dormant. In order to reactivate the account, the subscriber would have to submit form Form UOS-S10 pay the minimum contributions (Rs 500), along with penalty (Rs 100), due for the period of dormancy. The dormant account will be closed if the account value falls to zero.
Charges for NPS:
NPS charges can be classified into 4 headers:
1. Point of presence (PoP) charges
2. Central record-keeping agency (CRA) charges
3. Pension fund management charges and
4. Custodian charges
NPS Tax Benefits:
NPS Tier -I account has tax benefit under 3 sections:
1. Section 80CCD(1) – Employee contribution up to 10% of basic salary and dearness allowance (DA) up to 1.5 lakh is eligible for tax deduction. [This contribution is part of Sec 80C 1.5 Lakh investment limit]. Self employed can also claim this tax benefit. However the limit is 10% of their annual income up to maximum of Rs 1.5 Lakhs.
2. Section 80CCD(1B) – Additional exemption up to Rs 50,000 in NPS is eligible for income tax deduction. This was introduced in Budget 2015.
3. Section 80CCD(2) – Employer’s contribution up to 10% of basic plus DA is eligible for deduction under this section above the Rs 1.5 lakh limit in Sec 80CCD(1). This is also beneficial for employer as it can claim tax benefit for its contribution by showing it as business expense in the profit and loss account. Self employed cannot claim this tax benefit.
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