'Which Tax Regime For Rs 2 Lakhs Short Term Gains?'

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Abraham: I am Sr citizen, my income from other sources Rs 2 lakh after 80c deduction, but STCG is around Rs 6 lakh, which regime is beneficial old/new to file ITR?

For FY 2024-25, assuming STCG is from listed shares/MF, etc, total income is Rs 8 lakh.

Under the new tax regime, you will have to pay tax of Rs 1,04,000.

Under the old tax regime, after claiming 80C (already mentioned by you) and additional exemption of Rs 50,000 under section 80 TTB, your tax outgo shall be Rs Rs 93,600.

Vilas: My income projection for 25-26 is as below.
Pension + interest = Rs 11 lakh
LTCG equity MF = Rs 2 lakh
LTCG Debt MF = Rs 3 lakh
Debt MF held since 2020.
Will I get S87A rebate for the FY 25-26?

Under the new regime, total income works out to Rs 16,00,000.

You get rebate of Rs 50,000 under 87A and tax liability shall be around Rs 48,750.

However, it is strongly recommended you consult a CA since taxation of capital gain involves various factors.

Anonymous: I have a special child aged 10 yrs, I have read somewhere that the FDs in the name of that child, the FD interest can be exempted from parents' income and the interest can be treated as their income and accounted in their IT. Is that so?

There is no such facility allowed.

However, deduction can be claimed for expenditure made on ad hoc basis based on the medical certificate from government-recognised medical practitioner.

Anonymous: My wife who is a resident Indian and aged 34 earned Rs 4 lakh in FY 23-24.
Under 44ADA, I believe her profit would be counted as Rs 2 lakh.
She has also booked profit of Rs 2.25 lakh this year from listed equities where STT has been paid. She held the shares for more than a year so it is LTCG.
Will she be expected to pay any taxes this year? Also, what happens if she has the same income next year also? Can she book more profit next year without paying taxes?
I read somewhere that income from LTCG where special tax rates are applicable cannot be exhausted against Rs 4 lakh (new regime) and Rs 2.5 lakh (old regime) limit from next financial year onwards?

For FY 2024-25, her total income is Rs 4,25,000 (Rs 2 lakhs + Rs 2.25 lakhs) so there is no tax liability in this case under new regime.

Anonymous: How much and tax does a homemaker needs pay earning STCG of Rs 40,000 and LTGC of Rs 70,000 yearly and interest income of Rs 2,000 and no other income apart from this?

No tax.

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