Due-Date for filing income tax returns & various reports of audit prescribed under the it act, 1961 has been extended to October 31, 2017

Due-Date for filing income tax returns & various reports of audit prescribed under the it act, 1961 has been extended to October 31, 2017

New process of refund under the Income tax Act

new process of refund under the Income tax Act

Click Here to Apply It Return http://goo.gl/forms/rxLDtf74To

Refund process under the Income tax becomes more stricter than earlier through the amended Section 143 (1) A of the Income Tax Act,

The Income tax department is suspecting that most of the taxpayers are getting refunds by declaring the taxable income comparatively lesser than the issued Form 16/16A. The Income tax department also find out that most of the salaried employees are taking credit of House Rental Allowances, Leave Travel Allowances and deductions under 80C to 80U without supporting evidences or supporting with fake documents.

To come over from this issue, the Income tax department amended section 143(1) A, where the tax payer will get intimation from the department regarding the deviation from their salary shown as per filed Income tax returns with the calculated salary as per Form 16 issued by the company or deviation from the income shown as per the Form 16 A or as per the 26 AS.

The taxpayer who gets the intimation notice u/s 143(1) A should reply to the notice within 30 days along with the supporting documents in the Income tax portal. It is mandatory that the scan copies of genuine documents are available with them at the time of filing income tax returns or within 30 days from the date of notice. The actual amount of taxable income as per the Form 16 or Form 16 A will be taken for the computation and it will be processed further by the income tax department if the taxpayer not replies to the notice within the prescribed time.

The taxpayers can verify the Part –A of Intimation u/s 143 (1) A, it will be very clear about the mismatches happened with your filed Income Tax return and Form 16.

Let us know the steps to be followed for replying to the notice u/s 143(1) A to get the refunds or to agree to the additions,

Steps to be followed to reply:
Step 1: Log on to https://www.incometaxindiaefiling.gov.in/
Step 2: Login through your User ID (PAN) and Password
Step 3: Choose E-Proceedings and then Click on e-Assessments/Proceedings
Step 4: Click on the link placed under Proceeding Name
Step 5: Click on the link placed under Reference ID to verify once with your return
Step 6: Click on the option ‘Submit’ to respond for the intimation u/s 143(1) A
Step 7: In the response column you can choose 'Agree for Addition'

***** You can choose the above option if  Income tax return filed with unintentional errors, further your total income will be considered with the actual additions as per the intimation and you have to file Revised return within 15 days from the date of response.
Step 8: In the response column you have to choose 'Disagree to the addition'

***** If your form 16/form 16 A does not given effects to the deductions what actually it supposed to be then you can choose this option, further the relevant documents also to be upload for getting refunds along with the proper reason to be chosen from the drop box. Here no need to file a revised return after a given response.
For Example: (If Salaried employees)

** Choose 'Allowances exempt claimed under Return not in form 16' for the below
Conveyance Allowance - To the maximum of Rs.19200 per Annum
HRA not clamed under Form 16 - But it should be under section 10(13A) of the Income tax Act

** Choose 'Deductions claimed under return not in Form 16' for the below
LIC Premium, Medical Insurance, Recurring Deposits, House loan Repayments, Fixed Deposits above 5 Years, PPF and other 80C to 80U deductions

It is always better to file the tax returns with proper income as per your Form 16/Form 16A, the taxpayer can check 26 As once before filing their Income tax returns for better ideas. Even we can get refunds if there are genuine documents as per law. It’s always better to consult with an Expert before giving any response to the process mentioned above.

What to do when you receive an Income Tax notice?

What to do when you receive an Income Tax notice? Click Here to Apply It Return http://goo.gl/forms/rxLDtf74To

✔ Check the basics • Is it really your name on the notice? • Is your PAN number mentioned correctly? • Which assessment year is it meant for? • Who is the issuing officer? What is their designation? • Is there a document identification number? What is it? ✔ Figure out the discrepancy • If a particular row shows different amounts in these two columns, that is the source of your discrepancy When can you expect to hear from the IT department? ✔ TDS Amount Error  The most common issue with returns filed is often a mismatch in the TDS amounts. Sometimes your employer or deductor may have delayed or made a mistake filing their TDS returns. If that is the problem with your return too, request your employer to revise the TDS amount credited to you. ✔ Discrepancy in Return Filed by you  If the discrepancy is with the amounts declared by you in the returns you filed, try to understand the difference.  Differences may arise because: • You may have forgotten to declare some incomes, like Interest from FDs

Due Dates for Month of August - 2017

07th August 2017
Last Date of Payment of TDS Of Month July.
Due date for deposit of Tax deducted/collected for the month of July,
2017. However, all sum deducted/collected by an office of the
government shall be paid to the credit of the Central Government on
the same day where tax is paid without production of an Income-tax
Challan


14th August 2017 Due date for issue of TDS Certificate for tax deducted under section
194-IA in the month of June, 2017


16th August 2017
Due date for furnishing of Form 24G by an office of the Government
where TDS for the month of July, 2017 has been paid without the
production of a challan.
Quarterly TDS certificate (in respect of tax deducted for payments
other than salary) for the quarter ending June 30, 2017


20th August 2017 Pay tax and Upload GSTR-3B for July (Self declaration form)


30th August 2017 Due date for furnishing of challan-cum-statement in respect of tax
deducted under Section 194-IA in the month of July, 2017

Deductions on Section 80C, 80CCC & 80CCD

Click Here to Apply It Return Or IEC

Section 80CCC: Deduction for Premium Paid for Annuity Plan of LIC or Other Insurer

This section provides a deduction to an Individual for any amount paid or deposited in any annuity plan of LIC or any other insurer. The plan must be for receiving a pension from a fund referred to in Section 10(23AAB).

If the annuity is surrendered before the date of its maturity, the surrender value is taxable in the year of receipt.

Section 80CCD: Deduction for Contribution to Pension Account

Employee’s contribution – Section 80CCD (1) Allowed to an individual who makes deposits to his/her pension account. Maximum deduction allowed is 10% of salary (in case the taxpayer is an employee) or 10% of gross total income (in case the taxpayer being self-employed) or Rs 1, 50,000,whichever is less.

From FY 2017-18 – In the case of a self-employed individual, maximum deduction allowed is 20% of gross salary instead of 10% (earlier subject to a maximum of Rs1, 50,000).

However, the combined maximum limit for section 80C, 80CCC and sec 80CCD (1) deduction is Rs 1, 50,000, which can be availed.

Deduction for self-contribution to NPS – section 80CCD (1B) A new section 80CCD (1B) has been introduced for an additional deduction of up to Rs 50,000 for the amount deposited by a taxpayer to their NPS account. Contributions to Atal Pension Yojana are also eligible.

Employer’s contribution to NPS – Section 80CCD (2) Additional deduction is allowed for employer’s contribution to employee’s pension account of up to 10% of the salary of the employee. There is no monetary ceiling on this deduction.

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Deductions on Interest on Savings Account

Section 80 TTA: Deduction from Gross Total Income for Interest on Savings Bank Account

A deduction of maximum Rs 10,000 can be claimed against interest income from a savings bank account. Interest from savings bank account should be first included in other income and deduction can be claimed of the total interest earned or Rs 10,000, whichever is less. This deduction is allowed to an individual or an HUF. And it can be claimed for interest on deposits in savings account with a bank, co-operative society, or post office. Section 80TTA deduction is not available on interest income from fixed deposits, recurring deposits, or interest income from corporate bonds.

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Deductions on House Rent

Section 80GG: Deduction for House Rent Paid Where HRA is not Received

• This deduction is available for rent paid when HRA is not received. The taxpayer, spouse or minor child should not own residential accommodation at the place of employment.
• The taxpayer should not have self-occupied residential property in any other place.
• The taxpayer must be living on rent and paying rent.

Deduction available is the minimum of:

1. Rent paid minus 10% of total income
2. Rs 5000/- per month
3. 25% of total income

For the financial year 2016-17 – Deduction calculation has been raised to Rs 5,000 a month from Rs 2,000 per month. Therefore a maximum of Rs 60,000 per annum can be claimed as a deduction.

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Deductions on Education Loan for Higher Studies

Section 80E: Deduction for Interest on Education Loan for Higher Studies

A deduction is allowed for interest on loan taken for pursuing higher education. This loan may have been taken for the taxpayer, spouse or children or for a student for whom the taxpayer is a legal guardian. The deduction is available for a maximum of 8 years or till the interest is paid, whichever is earlier. There is no restriction on the amount that can be claimed.

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Deduction for First Time Home Owners

Section 80EE: Deductions on Home Loan Interest for First Time Home Owners
For Financial Year 2013-14 and Financial Year 2014-15

This section provides a deduction on the home loan interest paid. The education under this section is available only to individuals for the first house purchased where the value of the house is Rs 40 lakh or less. And the loan taken for the house is Rs 25 lakh or less. The loan has to be sanctioned between 01.04.2013 to 31.03.2014. The aggregate deduction allowed under this section cannot exceed Rs 1,00,000 and is allowed for financial years 2013-14 & 2014-15 (Assessment year 2014-15 and 2015-16).
This deduction is not available for the financial year 2015-16 (Assessment year 2016-17).

For Financial Year 2016-17:

This section was revived in Budget 2016 and is applicable starting FY 2016-17. The deduction under this section is available only to an individual who is a first time home owner. The value of the property purchased must be less than Rs 50 lakh and the home loan must be less than Rs 35 lakh. The loan must be taken from a financial institution and must have been sanctioned between 01.04.2016 to 31.03.2017.

Under this section, an additional deduction of Rs 50,000 can be claimed on home loan interest. This is in addition to deduction of Rs 2,00,000 allowed under section 24 of the Income Tax Act for a self-occupied house property.

If you’re claiming this deduction in FY 2016-17, then you can continue to claim this deduction till the loan is repaid.

For Financial Year 2017-18:

This deduction is not available for the running FY 2017-18.

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Deductions on Rajiv Gandhi Equity Saving Scheme (RGESS)

Section 80CCG: Rajiv Gandhi Equity Saving Scheme (RGESS)

The Rajiv Gandhi Equity Saving Scheme (RGESS) was launched after the 2012 Budget. Investors whose gross total income is less than Rs. 12 lakhs can invest in this scheme. Upon fulfillment of conditions laid down in the section, the deduction is lower of, 50% of the amount invested in equity shares or Rs 25,000 for three consecutive Assessment Years.

Rajiv Gandhi Equity Scheme has been discontinued starting from April 1, 2017. Therefore, no deduction under section 80CCG will be allowed from AY 2018-19.

However, if you have invested in the RGESS scheme in FY 2016-17 (AY 2017-18), then you can claim deduction under Section 80CCG until AY 2019-20.

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Deductions on Medical Insurance

Section 80D: Deduction for premium paid for Medical Insurance

Deduction is available up to Rs. 25,000/- to a taxpayer for insurance of self, spouse and dependent children. If individual or spouse is more than 60 years old the deduction available is Rs 30,000. An additional deduction for insurance of parents (father or mother or both) is available to the extent of Rs. 25,000/– if less than 60 years old and Rs 30,000 if parents are more than 60 years old. For uninsured super senior citizens (more than 80 years old) medical expenditure incurred up to Rs 30,000 shall be allowed as a deduction under section 80D.  Therefore, the maximum deduction available under this section is to the extent of Rs. 60,000/-. (From AY 2016-17, within the existing limit a deduction of up to Rs. 5,000 for preventive health check-up is available).

PAN card will be cancelled if not linked with Aadhaar on time:

   PAN card will be cancelled if not linked with Aadhaar on time: Hasmukh Adhia

   The Revenue Secretary said that the deadline for linking Aadhaar to PAN will be announced shortly.



   Revenue Secretary Hasmukh Adhia has said that an individual's PAN card will be cancelled if not linked with their Aadhaar number within the stipulated time.

   Adhia said that the deadline for linking Aadhaar to PAN will be announced shortly.

   Finance Minister Arun Jaitley had made an amendment to tax proposals in the Finance Bill for 2017-18 to make Aadhaar mandatory for filing income tax returns. The amendment also provided for the linking of PAN with Aadhaar to check tax evasion through the use of multiple PAN cards.

Requirement of Aadhaar number for Registration of Death of an Individual.

 The Aadhaar number will be required for the purpose of establishing the identity of the deceased for the purpose of Death registration w.e.f 1^st October, 2017. In a notification issued today the Registrar General India (RGI), Ministry of Home Affairs has said the use of Aadhaar for the applicants of Death Certificate will result in ensuring accuracy of the details provided by the relatives/ dependents / acquaintances of the deceased. It will provide an effective method to prevent identity fraud. It will also help in recording the identity of the deceased person. Further, it will obviate the need for producing multiple documents to prove the identity of the deceased person.





 The RGI has further directed concerned Department in the respective State/UT responsible for registration of birth and death to ensure compliance by concerned registration authorities and a confirmation to this effect by on or before 1^stSeptember 2017.

 The above provisions shall come into effect immediately for residents of all States except J&K, Assam & Meghalaya for which a date will be notified separately.

 The RGI, in exercise of powers conferred under Section 3(3) of the Registration of Birth and Death Act, 1969, directed that the Aadhaar number will be required for the purpose of establishing the identity of the deceased for the purpose of Death registration in the following manner:

 An Applicant applying for death certificate is required to provide Aadhaar number or Enrolment ID Number (EID) of the deceased and other details as sought in the application for death certificate for the purpose of establishing the identity of the deceased.


 An Applicant who is not aware of the Aadhaar number or Enrolment ID Number (EID) of the deceased will be required to provide a certificate that the deceased person does not possess Aadhaar number to the best of his/her knowledge and it should be duly informed and also prescribed that any false declaration given by the applicant in this regard will be treated as an offence as per the provisions of the Aadhaar Act, 2016 and also Registration of Birth and Death Act, 1969. Applicant’s Aadhaar number shall also be collected along with the Aadhaar number of the spouse or parents.

 The RGI notification follows provisions of the Aadhaar Act and Regulations framed there under that have come into effect from 14th September 2016 and notifications to this effect have been published in the Official Gazette. Section 57 of the Aadhaar Act 2016 permits the use of Aadhaar number for establishing the identity of an individual for any purpose pursuant to any law or any contract to this effect.

 The registration of births and deaths are being done under the provisions of Registration of Births and Deaths (RBD) Act, 1969 and the corresponding Rules made thereunder by the State Governments. The office of the RGI is the central authority to coordinate and unify the activities of Chief Registrar of birth and deaths of States/UT’s in respect of registration of births and deaths. The extract/certificate of birth and death are issued by the registering authority notified by the State/UT Governments under section 12 and 17 of the RBD Act, 1969. These are issued on the basis of entries collected through birth and death reporting forms prescribed by the State Government.