Vinod M. Manik & Associates

12/05/2025

26/05/2024

Analysis of 2 scheme

21/04/2024

Knowledge update

17/03/2024

Last chance to file updated Income tax return for FY 2020-21/AY 2021-22 by 31-3-2024. Non filers can also take advantage.

01/01/2022

Happy New Year Everyone !!

31/05/2021

Today is the Last day to file Belated Return as well as Revised Return for FY 2019-20 AY 2020-21

25/05/2021

31/05/2021 is the last date to file Belated return as well as Revised return for FY 2019-20 AY 2020-21.

01/02/2021

Union Budget 2021 - Key Highlights of Direct Tax Proposal

28/05/2020

We will be operational in new office from 1st week of June

23/07/2019

Income Tax India Extends the due date for filing the returns from 31/7/2019 to 31/8/2019

02/02/2019

BUDGET 2019 key highlights From Income Tax point of view

1. There is a misunderstanding going on from yesterday that the Basic Exemption limit has been increased from Rs 250000 to Rs 500000.

The Basic exemption limit has not increased to Rs 500000. But the rebate which was earlier allowed u/s 87A of Rs 2500 to people having Net total income after availing all deductions upto Rs 350000 has now been increased to Rebate of Rs 12500 to people have Net total income after availing deductions upto Rs 500000

So let me help u with 2 examples

A.
Suppose person VM has Gross total income of Rs 900000 and has made investments under section 80C of Rs 150000. Hence Net total income comes down to after availing deductions = Rs 900000-Rs150000=Rs750000

Hence here VM will not be able to claim rebate of section 87A as his income crossed Rs 500000

So his tax liability will be as under

Tax slabs
Upto Rs 250000. =Rs 0
Rs250000-Rs500000 =Rs 12500
ie Rs250000*5%
Rs500000-Rs750000=Rs50000
ie Rs250000*20%

Tax liability=Rs12500+Rs50000
=Rs62500
Add
Health & Edu
cation cess=Rs 2500
@4%

Tax Payable=Rs62500+Rs2500
=Rs 65000

B.
Suppose person KM has Gross total income of Rs 640000 and has made investments under section 80C of Rs 150000. Hence Net total income comes down to after availing deductions = Rs 640000-Rs150000=Rs490000

Hence here KM will be able to claim rebate of section 87A as his income under Rs 500000

So his tax liability will be as under

Tax slabs
Upto Rs 250000. =Rs 0
Rs250000-Rs490000 =Rs 12000

Tax liability=Rs 12000

Tax Payable=Rs 12000
Less
Rebate 87A =Rs 12000
Net tax payable=Rs 0

2. The Threshold for Deduction of Tax u/s 194A ie Interest other than Interest on securities ie only relating to Interest on Bank and post office deposits has been increased from Rs 10000 to Rs 40000

3. The Threshold for Deduction of Tax u/s 194I ie Rent paid by any person other than individual or HUF not subject to tax audit has been increased from Rs 180000 to Rs 240000

4. Standard Deduction for salaried employees enhanced from Rs 40000 to Rs 50000

5. No Notional rent income to be calculated for ascertaining tax liability of the 2nd house property if it is not let out apart from the 1st self occupied property.

6.Once in a lifetime opportunity for Individual and HUF to sell 1 house property and to avail capital gain tax exemption by investing in 2 residential house subject to capital gain tax upto Rs 2 crores.

7. Processing of Income Tax Returns within 24hours within 2years

8. Scrutiny Assessments will be made online too.