For FY 2011-12, there is no tax exemption available on saving bank interest, so whole 15K would be taxable.
For FY 2012-13, only amount above 10K (Rs 5K in your case) would be taxable.
Pankaj Batra also commented
- @P K Haridas
HRA exemption would also depend on basic salary and city of residence.
Income tax exemption for HRA will be least of following:
1. The actual amount of HRA received as a part of salary.
2. 40% (if living in non-metro area) or 50% (if living in metro area) of (basic salary+Dearness allowance (DA)).
3. Rent paid minus 10% of (basic salary+DA).
1. Yes, you need to file income tax returns for earnings in FY 2011-12 in next FY year (2012-13). So for FY 2011-12, Assessment year (AY) is 2012-13.
2. In case you were consultant in FY 2010-11, your income may not be from salary, but from profession. You may have to file ITR4 for that year. Yes, you can file returns for that year even now. If there is taxes payable, penalty may be payable for that. IT department may also ask Rs 5000 for late filing.
3. Due date for FY 2011-12 or AY 2012-13 was 31st Aug, 2012. But you can still file it before 31st March 2013 without any late filing penalty.
You can only get Form-16 from employer in case you are on their payrolls and they have deducted taxes (as TDS) from your salaries.
Form-16A is issued where payments are done for other than salaries like bank interest, payment to consultants etc.
You can also see tax deposits on your behalf on your PAN in Form 26AS(https://incometaxindiaefiling.gov.in/portal/form26ASInfo.do)
Company deduct TDS on basis of your overall tax liability.
They consider income for 12 months and computes taxes after deducting necessary deduction (as per declaration and proofs provided by employee). The pending amount for year is divided into equal portion for remaining months and deducted from salary as TDS.
In case of extra bonus and one time payments, tax is deducted on amount in that month only as per slab rate.
You can compute income tax using income tax calculator provided here by providing monthly salary figures. If total amount payable is more than total paid, you would need to pay that before filing income tax return.
If pending amount is less than 10,000 you won’t need to pay any penalty for late payment.
If you only have income from salaries and bank interests, then you can file income tax return using form ITR1 (Sahaj).
Even if you file return with this one rupee pending, there won’t be any issue.
Recent comments by Pankaj Batra
- Emigration clearance not required (ECNR)
It would be better to get passport reissued before procedures.
There is no issue in transferring amount to bank from PayPal.
If you declare this income in ITR, there would not be any issue.
- Pay Your Electricity Bills Online In Haryana
There is a minimum charge per KVA for electricity connections. If main meter is of 10 KVA capacity and three houses are using it through sub meter, each should pay 1/3rd of minimum charge, even if no electricity is consumed.
- Emigration clearance not required (ECNR)
Visa on old passport would be valid. You need to carry both passports together.
While applying for passport reissue, you should give matriculation certificate and B.Com degree copy. Emigration clearance certificate is not needed.
Bima policy and affidavit is needed in case of emigration clearance from PoE. This is one time clearance for those who cannot get ECNR status on passport (because of time or eligibility issue)
Tax rates for professionals are also same as that of salaried class. They also have deductions like 80C, 80D etc applicable.
Only difference is professional may deduct all business expenses from income to compute net profit. This net profit part would only be taxable in that case.
Say, your wife earns 5 lakhs in a year, but has also incurred expenses towards internet bills, telephone bills, server/domain name cost, laptop/hardware purchase etc. Say expense is 1 lakh. Then total taxable income would only be 4 lakhs. Now if she invests 1 lakh into 80C products (like insurance, tax saving mutual fund, tax saving fixed deposits etc), Taxable income would further reduce by 1 lakh and she has to only pay 10% tax on remaining 1 lakh (no tax is payable for first 2 lakhs).
She would need to file income tax returns after year end by 31st July using ITR4 form. This form is a bit complex and common man cannot understand those financial terminology of profit/loss etc.