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Income Tax Rules 2013-14

S.K. Sinha, Faculty


STC Patna

Heads of Income

Income from Salary


Income from House Property
Income from Profit in Business/ Profession
Income from Capital Gain
Income from Other Sources

07/19/15

S K Sinha, Faculty, STC P


atna

India Income tax slabs 2013-14


for Male tax payers

0 to 2,20,000
2,20,001 to 5,00,000
5,00,001 to 10,00,000
Above 10,00,000
Education Cess:-

07/19/15

No tax
10%
20%
30%
@3% on Tax

S K Sinha, Faculty, STC P


atna

India Income tax slabs 2013-14


for Female tax payers

0 to 2,20,000
2,20,001 to 5,00,000
5,00,001 to 10,00,000
Above 10,00,000
Education Cess:@3% on Tax

07/19/15

S K Sinha, Faculty, STC P


atna

No tax
10%
20%
30%

Senior citizens (Aged 60 years


but less than 80 years)

0 to 2,50,000
2,50,001 to 5,00,000
5,00,001 to 10,00,000
Above 10,00,000

07/19/15

S K Sinha, Faculty, STC P


atna

No tax
10%
20%
30%

Very senior citizens


(Aged 80 and above)

0 to 5,00,000
5,00,001 to 10,00,000
Above 10,00,000

07/19/15

S K Sinha, Faculty, STC P


atna

No tax
20%
30%

Income Tax exemptions


under Section 80 C

DEDUCTION FOR INVESTMENT IN CERTAIN


SCHEMES:

ELSS-Mutual Funds
NSC
LIFE INSURANCE
PPF
PF

07/19/15

S K Sinha, Faculty, STC P


atna

Section 80 C

ULIP
STAMP DUTY PAID ON PURCHASE OF HOUSE
FIXED DEPOSIT FOR 5 Yrs
BONDS
POST OFFICE TIME DEPOSIT ACCOUNT
TUITION FEE- (Up to 2 children)
Max. Limit Rs.100000/-.

07/19/15

S K Sinha, Faculty, STC P


atna

Income Tax exemptions


under Section 80 CCC

Section 80 CCC is for deduction in respect of


contribution to certain Pension Fund in respect to
Interest on certain Securities, Dividends, etc.
Surrender Value or employer contribution is
considered income.
Max.Limit- Rs.100000/-

07/19/15

S K Sinha, Faculty, STC P


atna

Income Tax exemptions


under Section 80 CCD

Deduction in respect to contribution to new


pension scheme (NPS). Employees of Central
and others are eligible
Contribution to NPS and Returns are Tax Free.
Withdrawals are Taxable.
Max. 10% of Salary.

07/19/15

S K Sinha, Faculty, STC P


atna

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Exemptions under
Section 80 D
Medical Insurance on Self, spouse, children or
parents
Rs.15000 for self, spouse, children.
An additional deduction of Rs.15000/- in respect
of premium paid for parents.
If parents are more than 60 Yrs extra sum will
be 20,000/-.
Thus Max.Rs.35000/07/19/15

S K Sinha, Faculty, STC P


atna

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Exemptions under
Section 80 DD

Medical Expenses for dependents who are


disabled.
Dependents Spouse, Children, brothers,
sisters.
Also includes LIC/Insurance Premium Paid
towards maintenance of such dependents.
Deduction-Rs.50000/ If the disability is severe- Rs.100000/07/19/15

S K Sinha, Faculty, STC P


atna

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Exemptions under
Section 80 E

Interest payment on loan taken for higher


studies for self or education of spouse or
children
All education after 12th Class are considered.
Rebate- Actual Amount Paid.

07/19/15

S K Sinha, Faculty, STC P


atna

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Exemptions under
Section 80 G

Donations to Charitable Institutions100% on Prime Minister Relief Fund


Rebate will be at Source
Donations to Other Institutions:
Rebate @ 25/50/75, depending on the
charity and as per approved.
Rebate will not be given at source

07/19/15

S K Sinha, Faculty, STC P


atna

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Tax on Leased Accommodation/


Staff Quarter

Taxable Amount: Lease Rent Paid by LIC License fee


deducted from salary.
Tax @ eligible slab rate
Add: Tax on tax @ eligible slab rate
Tax will be borne by LIC
A/c Code-113015 (Other Staff Amenities)
07/19/15

S K Sinha, Faculty, STC P


atna

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Exemption under
Sec.80 GG

For Rent Paid by employee:


(i) 50% of Annual Basic

(40% in case of non metro)


(ii) Actual HRA Received
(iii) Rent Paid- 10% of Annual Basic
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S K Sinha, Faculty, STC P


atna

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Tax on Meal Coupons

Taxable Amount:
Actual Amount Paid per day less Rs.100/per day.
Tax @ eligible Slab Rate
Add: Tax on tax @ eligible Slab Rate
Tax will be borne by LIC
A/c Code-113015 (Other Staff Amenities)
07/19/15

S K Sinha, Faculty, STC P


atna

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Tax on Reimbursement of
News Paper/ Magazine

Taxable Amount:Actual Amount Reimbursed to employee


Tax@ eligible Slab Rate
Add Tax on the tax @ eligible slab rate
(tax will be born by LIC)

07/19/15

S K Sinha, Faculty, STC P


atna

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Treatment of Housing Loan


Calculation of Perquisite Amount: Prescribed Rate on Housing Loan by
SBI- Less rate on which loan
sanctioned.
This amount will be treated as income
and will be taxable as per eligible slab
rate.

07/19/15

S K Sinha, Faculty, STC P


atna

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Sect. 24 (I) (vi) Housing Loan

Housing Loan Intt.


Max. Investment Limit 150000/-,
(for loan taken after 01.04.1999, loan
taken before that 30000/-)
Principal portion exempted u/s 80 C
Interest Portion exempted u/s 24(b)
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S K Sinha, Faculty, STC P


atna

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Conveyance Allowance
paid to employees

Tax Free up to 9600/- per annum


No supporting bill required

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S K Sinha, Faculty, STC P


atna

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Medical Allowance
given to employees

Tax Free up to 15000/ Supporting Bills required

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S K Sinha, Faculty, STC P


atna

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Professional Tax

Professional Tax deducted from Salary


will be reduced from the annual Salary
income to arrive at Taxable Income.

07/19/15

S K Sinha, Faculty, STC P


atna

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Treatment of Car Loan

Calculation of Perquisite Amount: Prescribed Rate on Vehicle Loan by SBI- Less


rate on which loan sanctioned
This amount will be treated as income and will
be taxable as per eligible slab rate.

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S K Sinha, Faculty, STC P


atna

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Treatment of Car Maintenance Expenses

1800 *12= 21600


Tax @ eligible slab rate
Add: Tax on tax @ eligible slab rate.

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S K Sinha, Faculty, STC P


atna

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Thank you
07/19/15

S K Sinha, Faculty, STC P


atna

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