Tax service
What documents one needs to submit while filing tax returns?
No document is needed to be submitted while filing income tax returns. However, one should keep basic documents like Form 16, balance sheet and P and L accounts of the business, shreds of investment evidence, audit reports and so on ready with him/herself. Because in some cases when the income tax department sends notice, these documents are required to be presented before the tax authorities on a later date.
What are the heads under which Pension and family pension are taxable?
Income from salary is the head for levying a tax on pension whereas family pension is taxable under the head ‘Income from other sources.
Who is eligible to file return via paper form rather than e-filing an ITR?
Every income tax assessee has to mandatorily e-file income tax returns. However, there are some exceptions to the standard rule wherein they can submit paper ITR forms and they do not have to file the ITRs online. They are as follows: At present, Super senior citizens who are above 80 years of age.
What amount will attract tax if the value of the gift is more than Rs. 50,000?
When the value of the gifts received from friends on any event except the wedding during a year is Rs 50,000 then the whole amount will attract tax under the head ‘Income from Other Sources’ head.
How bank accounts are reported in ITR-1?
Details of savings and current accounts which are held during any time of the previous year must be reported in Part E of the ITR form which seeks – other information. The account number must comply with the Bank’s Core Banking Solution (CBS) system. However, one need not provide details of dormant accounts which is not working since 3 years.
Can ITR-1 be filed in case of exempt agricultural income?
Yes, one can file ITR-1 when the agricultural income is not more than Rs 5000. But when it exceeds Rs 5000, one needs to file ITR 2.
Is it necessary to file an ITR if the annual income does not exceed Rs 250,000?
No, it is not necessary to file an ITR if the annual income is less than Rs 250,000. But in this case, a ‘Nil Return’ should be filed to upkeep a record which is an employment proof required while applying for a passport or loan.
Does dividend income from Mutual Funds need to be included in it?
Yes, dividend income from mutual funds should be included under the head ‘Exempt Income(others)’ as it is an exempt income u/s 10(35).
Can I file ITR-1 if I have a House Property loan?
Yes, you can file ITR-1 if you have a house property loan.