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Showing posts with label Max limit of Income Tax Section 80U. Show all posts
Showing posts with label Max limit of Income Tax Section 80U. Show all posts

Saturday, 7 January 2017

Download the Automated Form 16 Part B and Part A&B for the Financial Year 2016-17 ( This Excel Utility can prepare Form 16 One by One Form 16 Part B & Part A&B)


A. Section 80C:- Entitles an employee to deductions for the whole of amounts paid or deposited in the current financial year in the following schemes, subject to a limit of Rs.1,50,000/-: 

(1) Payment of insurance premium to effect or to keep in force an insurance on the life of the individual, the spouse or any child of the individual.

(2) Any payment made to effect or to keep in force a contract for a deferred annuity, not being an annuity plan as is referred to in item (7) herein below on the life of the individual, the spouse or any child of the individual, provided that such contract does not contain a provision for the exercise by the insured of an option to receive a cash payment in lieu of the payment of the annuity;

1) Provident Fund
2) Saving certificates
3) Unit-linked insurance plan of the LIC Mutual Fund referred to section 10 (23D) and as notified by the Central Government
4) Any sums paid by an assessee for the purpose of purchase or construction of a residential house property
5) Tuition fees
6) Term deposit for a fixed period not below 5 Years
8) Deduction in respect of contribution to certain pension funds (Section 80CCC)
9) Deduction in respect of contribution to pension scheme of Central Government
10) Deduction U/s 80CCD(1) Max Limit Rs.1.5 Lakh
11) Deduction U/s 80CCD(2) deduction made by the employer to the employee ( this amount this amount calculated out of 1.5 Lakh)
12) Deduction U/s 80CCD(1B) Max Limit Rs. 50,000/- as additional deduction out of 80C 1.5 Lakh.

(Section 80CCD):  Section 80CCD(1) & 80CCD(1B):- allows an employee, being an individual employed by the Central Government or any other employer, on or after the 01.01.2004, a deduction of an amount paid or deposited out of his income chargeable to tax under a pension scheme as notified vide

Notification F. N. 5/7/2003- ECB&PR dated 22.12.2003 or as may be notified by the Central
Government. However, the deduction shall not exceed an amount equal to 10% of his salary(includes Dearness Allowance but excludes all other allowance and perquisites).

As per Section 80CCD(2), where an employee receives any contribution in the said pension scheme from the Central Government or any other employer then the employee shall be allowed a deduction from his total income of the whole amount contributed by the Central Government or any other employer subject to limit of 10% of his salary of the previous year. However, if any amount is standing to the credit of the employee in the pension scheme referred above and deduction has been allowed as stated above and the employee or his
nominee receives this amount together with the amount accrued thereon, due to the reason of

(i) Closure or opting out of the pension scheme or
(ii) Pension received from the annuity plan purchased and taken on such closure or opting out then the amount so received during the FYs shall be the income of the employee or his nominee for that Financial Year and accordingly will be charged to tax.

Where any amount paid or deposited by the employee has been taken into account for the purposes of this section, a deduction with reference to such amount shall not be allowed under section 80C.

Further, it has been specified that w.e.f 01.04.09 that any amount received by the employee from the new pension scheme shall be deemed not to have received in the previous year if such the amount is used for purchasing an annuity plan in the previous year.

It is emphasized that as per the section 80CCE the aggregate amount of deduction under sections 80C, 80CCC and Section 80CCD(1) shall not exceed Rs.1,50,000/-. However, the contribution made by the Central Government or any other employer to a pension scheme u/s 80CCD(2) shall be excluded from the limit of Rs.1,50,000/- provided under this Section. And also new additional Section 80CCD(1B) Max Limit Rs.50 thousand can be excluding the limit of 80C 1.5 lakh.

Sunday, 23 October 2016

Under section 80U, in computing the total income of an individual, being a resident, who, at any time during the previous year, is certified by the medical authority to be a person with a disability, there shall be allowed a deduction of a  sum of fifty thousand rupees. However, where such individual is a person with severe disability, a higher deduction of one lakh rupees shall be allowable. DDOs should note that 80DD deduction is in the case of the dependent of the employee whereas 80U deduction is in the case of the employee himself. However, under both the Sections the employee shall furnish to the DDO following:
As the Tax Benefits can be availed by the Phy.disable person below 80% Rs. 75,000/- & above 80% Rs. 1,25000/- for the F.Y.2016-17

Click here to Download the Automatic Master of 100 employees Form 16 Part B for the Financial Year 2016-17 and Assessment Year 2017-18 (This Excel Based Software can prepare at a time 100 employees Form 16 Pat B , You can also prepare more than 1000 employees Form 16 Part B by this One Software)

 1. A copy of the certificate issued by the medical authority as defined in Rule 11A(1) in the prescribed form as per Rule 11A(2) of the Rules. The DDO has to allow deduction only after seeing that the Certificate  furnished is from the Medical Authority defined in this Rule and the same is  in the form as mentioned therein.


2. Further in cases where the condition of disability is temporary and requires reassessment of its extent after a period stipulated in the aforesaid certificate, no deduction under this section shall be allowed for any subsequent period unless a new certificate is obtained from the medical authority as in 1 above and furnished before the DDO.

Thursday, 24 September 2015

Download & Prepare at a time Tax Computed Sheet + Individual Salary Structure + Individual Salary Sheet + Automatic HRA Exemption Calculation + Form 16 Part A&B and Part B for Only West Bengal Govt Employees for Financial Year 2015-16     

W.B.Govt Employees Salary Structure

                                                

Details of tax deductions as per Budget 2015-16 are as follows:

Deduction u/s 80C Rs 1,50,000 is same.

Deduction u/s 80CCD has been increased by Rs 50,000 towards New Pension Scheme. The total contribution has been increased from Rs 1 Lakh to Rs 1.5 Lakh

Deduction on account of interest on house property loan (Self occupied property) Rs 2,00,000.
Deduction u/s 80D on health insurance premium Rs 25,000, increased from Rs 15000. For Senior Citizens it has been increased to Rs 30,000 from the existing Rs 20,000. For very senior citizen above the age of 80 years, not eligible to take health insurance, deduction is allowed for Rs 30,000 toward medical expenditure.

Exemption of transport allowance Rs 19,200 (Increased from Rs 800 pm to Rs 1600 pm). & Phy. Disable Persons Rs. 3200/- P.M.

Payments (Interest & maturity amounts) on Sukanya Samriddhi Account Deposit Scheme is exempted from Income Tax Under Section 80c. So it comes under Exempt – Exempt – Exempt tax category. It looks better than PPF (Public Provident Fund) now.

Other deduction except U/s 80C

Tax-free infra bonds proposed for funding irrigation, rail & road infrastructure projects.
100% TAX DEDUCTION on contributions made to SWACHH BHARAT & CLEAN GANGA initiatives

      Additional deduction of Rs 25,000 is allowed for Phy-disabled persons, increasing the             limit from Rs 50,000 to Rs 75,000 (under Section 80 U) .

   It is also increase the limit of eduction from Rs 1 lakh to Rs 1.25 lakh in case of severe  disability.

     Deduction limit of Rs 60,000 on expenditure on account of specified diseases is enhanced to Rs 80,000 in the case of senior citizens (Under Section 80DD of the Income Tax Act).