Section 192A- TDS on Payment of accumulated balance to an employee   Applicability Whenever a person makes a premature withdrawal from recognized provident fund, TDS @10% is deductible on the accumulated balance withdrawal. This deduction is made at the time of payment of accumulated balance due to the employees   Non-applicability However, no deduction is … Continue reading “Section 192A- TDS on Payment of accumulated balance to an employee”

Deduction in respect of interest payable on loan taken for the acquisition of Affordable House – Section 80EEA   An individual who has taken a loan for the acquisition of residential house property from any financial institution. Interest payable on such loan would qualify for deduction under this section.   Conditions to be met for … Continue reading “Deduction in respect of interest payable on loan taken for the acquisition of Affordable House – Section 80EEA”

Deduction in respect of medical treatment under section 80DDB   Who is eligible for this deduction? An individual or Hindu undivided family (HUF), who is a resident of India, is eligible for this deduction. Deduction is available for medical expenditure incurred on himself or on dependent, in case of individual assessee In HUF it is … Continue reading “Deduction in respect of medical treatment under section 80DDB”

Deduction in respect of interest on loan taken for higher education – Section 80E   Who is eligible for this deduction? An individual assessee, who has paid interest on loan for the purpose of his higher education or higher education of his relative in previous year out of his income chargeable to tax.   Conditions … Continue reading “Deduction in respect of interest on loan taken for higher education – Section 80E”

Deduction in respect of contribution to pension scheme of Central Government U/s 80CCD(1) and 80CCD(2)   According to ‘Restructured Defined Contribution Pension Scheme’ of government it is compulsory for the person being employed for Central Government on or after 1st April 2004, to contribute 10% of their salary towards their pension account. The same contribution will … Continue reading “Deduction in respect of contribution to pension scheme of Central Government”

Deduction U/s 80D   Who can claim deduction under section 80D? An Individual or HUF can avail the deduction under section 80D. The deduction can be claim in respect of any payment made towards the med-claim insurance policy or any contribution made to the Central Government Health Scheme (CGHS) for: Self, spouse, dependent children, dependent … Continue reading “Deduction in respect of health insurance premium – Section 80D”

Deduction U/s 80TTA   Who is eligible for this deduction? An individual or HUF can avail this deduction from their gross total income who have any income by way of an interest on deposits in saving bank account (excludes fixed deposits) with: A banking company regulated by Banking Regulation Act, 1949 A Co-operative society engaged … Continue reading “Deduction U/s 80TTA & 80TTB”

Deduction U/s 80C   Who can claim deduction under Section 80C? An individual or HUF, who is a resident of India can take benefit of deduction from their Gross Total Income u/s 80C.   What is the quantum of deduction? A person can avail a maximum deduction of Rs. 1, 50,000.   Investments/Contributions eligible for … Continue reading “Deduction U/s 80C”

Extension of Due dates for the AY 2021-22   To provide relief to the taxpayers in the view of severe pandemic, the Ministry of Finance has extended the time limits of certain compliances.   Compliances For the time period Original due Date Extended due Date Return of Income (other than transfer pricing or where audit … Continue reading “Extension of Due dates for the AY 2021-22”

Section 194 J – Fees for Professional or Technical Services   Types of Payments on which section 194 J is Applicable: 194 J is applicable on: Fees for a professional service, or Fees for technical service, or Royalty, or Non-Compete Fees Director Sitting Fees   Who is liable to deduct TDS u/s 194J? Any Person … Continue reading “Section 194 J – Fees for Professional or Technical Services”