|
| Help | |
| You are here: Rediff Home » India » Business » Report |
|
Ask a question
Get latest news on your desktop
| ||||||||||||||||||||||||||||||||||||||||||||
| Advertisement | ||||||||||||||||||||||||||||||||||||||||||||
Were you prudent with your investments last year? Did they help you save tax? Or did you end up paying more than you could afford?
What investment mistakes did you make last year? Are their ways to rectify them? What investment options should you go for this year? What should you do to bring your tax liability to the minimum level?
In an hour-long chat on rediff.com on Thursday, direct tax expert Vikas M Gandhi replied to many such readers' queries. Here is the transcript:
Vikas Gandhi says, Good evening friends and welcome back to the tax chat session.
harshad asked, Hi, I was working till august 2008. Then I left the job & came to USA for doing my MS. Am I still required to file the tax return in India? I am filing the tax return here in USA since I get monthly stipend.
Vikas Gandhi answers, at 2008-04-10 15:49:15Yes, you will have to file tax return in India
Prit asked, Hi, I have a property in Bangalore bought on loan. Yearly interest repayment is 115000. I have recently bought another property in Kolkata for my parents to stay - on loan and yearly interest is 36000. My question is, Can I claim 150000 tax benefit under section 24 since adding both interest repayments cross that limit ?
Vikas Gandhi answers, By purchasing another flat in Kolkatta, you are now owning two residential properties. Both these properties you are using for own residence. By law only one own only one property as using for own residence. the other property will be considered As Deemed Let out property and notional rent will be charged to tax. You have option to claim any of the property as Self Occupied and other will be treated as Deemed let out. as regards interest is concerned, against notional rent, you can claim entire interest payment as deduction against notional rent.
dkcs asked, is tax savings investments have to be made from the income for that respective year only or one can make investment out of previuos year also
Vikas Gandhi answers, You can make investments out of earlier year income also. However you deduction will be restricted to current years taxable income only.
ashok_sampat@rediffmail.com asked, in claiming hra exemption as per it rules, can unmarried son/daughter can pay rent to his/her mother?
Vikas Gandhi answers, Yes. if the property is in the name of mother, a son deaughter can pay rent and claim HRA benefits
vinodraina asked, Sir, my name is Vinod, working in a Central PSU,recently our wage agreement was finalized which was pending since 2002.We got arrears from 2002 to Sept.07 (Rs.1.50 lakhs)pls advise whethe it is taxable income.Previously I am not a tax payer. Regards vinod
Vikas Gandhi answers, Yes since this income is recieved in current year and you have not paid tax on such income in earlier year, you will have to pay tax on such income. However since you have received arrears of salary, you will be able to claim Relief u/s 89 from the tax calculated.
subhro asked, Hi, I am staying with my parents in a flat. The flat is owned by my mother. Can I claim HRA from my office by showing rent receipts from my mother, as if I am staying in her apartment and paying her rent. If this is possible as per rules of Income tax dept., this income of my mother will be regarded as Income from house property. How will the tax on house property be calculated? Say I pay rent of Rs.120000 per year and my mothers salary is Rs. 300000 per annum. How is the tax calculated for the rent as well as the salary. please explain in details. thanks in advance.
Vikas Gandhi answers, If you actually pay rent through cheque to your mother, you will be able to claim HRA benefit. As far as your mother is concerned, youy understanding is correct. This will be treated as her income from house property. Against the rent income of Rs.1,20,000/- she will be able to claim municipal taxes, interest (if any) and a Standard deduction of 30% from the rent income. The balance will be charged to tax.
venkata009 asked, for returns what is the last date
Vikas Gandhi answers, For the year ended on 31/03/2008, the last date of filing returns is 31/07/20008. However if you are required to get your account audited under the law, then the due date is proposed to be 30/9/2008.
Puja asked, Who is eligible to pay wealth tax?
Vikas Gandhi answers, An individual is required to pay wealth tax when his / her wealth exceed Rs.15,00,000/- as on the last date of the financial year.
nitin asked, nitin here again , want to know can i save the tax by issuing certain amount like 2 lakh rupees to my retired father aged 68,?
Vikas Gandhi answers, No there is no such provision in our Income Tax Act as yet.
MAK asked, I had a agricultural land about 15 KMs away from Nagar Palika boundary. Do I need to pay any Income Tax?
Vikas Gandhi answers, If you are earning any income by carrying out agricultural activities on such land, then you need to add such income to your normal income. Although income from agricultural activities is exempt from tax, a person will have to first add this income for calculating tax and then proportionate rebate is given from tax.
Champak asked, Can you elaborate on the tax benefits for medical insurance for assessee and his parents ?
Vikas Gandhi answers, As per the new budget proposal an individual can deduction on account of mediclaim premium in following manner - a) Premium paid for self, spouse, and children --- Maximum Rs.15,000/- b) Premium paid for parents --- Maximum Rs,15,000/-. However if such parents are senior citizen the limit increases to Rs.20,000/-. Thus an individual can claim deduction on a/c of mediclaim premium to the extent of Rs.35,000/- (maximum)
parry asked, Hi, what is "filing of tax return"? I have just started working and completed 1 yr.. paid my taxes for 07-08.. Now what is filing of tax return?? and do i have to do it compulsory?
Vikas Gandhi answers, A Tax Return is a statement of your income earned during the year and taxes paid. You earn income from various sources and hence a Tax Return shows a summary of such income. Although you have paid entire tax during the year, a person has to file income tax return. It is his obligation. By law, every perosn whose income exceeds the exemption limit provided has to compulsorily file an income tax return, irresoective of the fact whether any tax is payable or not.
asu asked, Is defence pension taxable?
Vikas Gandhi answers, Monthly pension recieved by any employee whether a Governemnt or Non-Government is fully taxable.
sid asked, hey i m doin articleship student under a CA, i m not sure about me stipend income, is it exempt from tax?and if yes how much? if any limits??????
Vikas Gandhi answers, In my view the stipend is given to the articled clerk to meet his day to day expenses and is not given as any income. Hence in my view the same is not taxable. There are Tribual judgements available on this issue, whcih may be referred before taking any decision.
s_gaur1979 asked, hi..I purchased shares of app.50000 and sold them at app 60000rs before 12 months. whould i pay short term capital gain on the rs. 10000 or this rs.10000 can be added to my "salary" for the financial year?
Vikas Gandhi answers, You have to pay short term capital gain tax on this sale.
Richard asked, Hi, I have bought a property in India using the funds which my friends abroad gifted me. The property is an empty piece of land, should I declare the same as my asset when I file my returns?
Vikas Gandhi answers, Yes you have to show this property as your asset in the financial statements.
virendra asked, hi, last year i' working in two companies. working in first co. upto Aug.'07 and second co. upto present. how i'm the return file . pl tell me the procdure.
Vikas Gandhi answers, You have to add salary income from both the employers and then calculate tax and file your income tax return.
nav asked, I have earned Rs. 2000 as dividend income. Under what section this income is exemppted? Do I need to show it as income first in ITR 2 and then I will get a rebate? There is no such column in ITR 2 I belive.
Vikas Gandhi answers, Dividend income is exempt u/s 10(34). You don't have to show this as your income and then claim exemption. In ITR-2, there is Schedule-EI (Exempt Income) whertein specific column for Dividend is given. Kindly fill in the amount in the respective column.
aman asked, I am paying rent of Rs. 30,000 to my landlord who is a senior citizen. Am I required to deduct tds
Vikas Gandhi answers, The answer depends on your income. If you are carrying business / profession income and the same is subject to tax audit, only then you are required to deduct TDS. In other case an individial is not required to deduct any tax while making any such payment.
Vikas Gandhi says, That's all for the day friends. Good bye.
Chat with Vikas Gandhi every Thursday at 4 pm
| © 2009 Rediff.com India Limited. All Rights Reserved. Disclaimer | Feedback |