Section 80DDB | With Auto fill Income Tax Preparation Software All in One in Excel for the Government and Non-Government Employees for the F.Y.2022-23

 Section 80DDB | Who can claim deductions under Section 80DDB?

 

Section 80DDB is Income Tax Rules 11DD. Under the Income Tax Act, of 1961, taxpayers can claim deductions for certain specified benefits for themselves or their dependents. This type of exemption is covered under Chapter VIA of the Income Tax Act, 1961. Individuals and HUFs who are residents of India can claim an exemption under this section. In other words, this means that a tax deduction can be claimed, if the relevant entity resided in the country during that tax year and the medical-related expenses are incurred for themselves or a family member, such as a spouse, parent, or dependent brother or sister.

 

How many deductions can be claimed under section80DDB?

 

Deductions corresponding to the following amounts can be claimed under section 80DDB:

For the financial year 2021-22 (the review year 2022-23)

• A person is eligible for a tax of Rupees 40,000/-(Forty Thousand) or the amount actually paid, whichever is less.

• Senior citizens, above 60 years of age, are eligible for a tax deduction of Rupees 60,000/-(Sixty Thousand) or the amount actually paid, whichever is less.

From the fiscal year 2022-23 (the tax year 2023-24)

 

• A Person is eligible for a tax of Rupees 40,000/-(Forty Thousand) or the actual medical expenses, whichever is less.

• Senior citizens between 60 and 80 years of age can claim tax exemption of Rupees 60,000/-(Sixty Thousand) or the actual amount spent on health care, whichever is less.

 

• Super seniors, above 80 years of age, are eligible for tax exemption of Rupees 80,000/-(Eighty Thousand) or the actual medical expenses, whichever is less.

From the financial year 2018-19 (The assessment year 2019-20)

 

• A Person is eligible for a tax of Rupees 40,000/-(Forty Thousand) or the amount actually paid, whichever is less.

• Senior citizens, above 60 years of age, are eligible for a tax deduction of Rupees 100,000/-(One Lakh) or the amount actually paid, whichever is less.

 

Diseases or medical conditions specified in section 80DDB

 

According to the Income Tax Department, the following diseases or circumstances may require tax exemption under Section 80DDB:

 

(1) Neurological disease, whose disability level is 40% and greater -.

• Dementia

• Dystonia Musculorum Deforms

• Aphasia

• Motor neuron diseases

• Ataxia

• chorée

• Hemiballism

• Parkinson’s disease

(2) Malignant cancers

(3) Entirely acquired immunodeficiency syndrome (AIDS).

(4) Chronic renal failure

(5) Hematologic disorders

Haemophilia

Thalassemia of the body

 

Papers are required for claiming deductions under Section 80DDB

 

To claim deductions under section 80DDB of the Income Tax Act, 1961, the assessee has to furnish evidence that medical treatment has actually been provided. It is mandatory to obtain a certificate from the prescribed authority, who has benefited from the medical treatment if a person wants to claim a deduction under this section.

Download Automated Income Tax Preparation Excel-Based Software All in One for the Government & Non-Government (Private) Employees for the F.Y.2022-23 and A.Y.2023-24

 

Feature of this Excel Utility:-

 

1) This Excel utility prepares and calculates your income tax as per the New Section 115 BAC (New and Old Tax Regime)

 

2) This Excel Utility has an option where you can choose your option as a New or Old Tax Regime

 

3) This Excel Utility has a unique Salary Structure for Government and Non-Government Employees Salary Structure.

 

4) Automated Income Tax Arrears Relief Calculator U/s 89(1) with Form 10E from the F.Y.2000-01 to F.Y.2022-23 (Update Version)

 

5) Automated Income Tax Revised Form 16 Part A&B for the F.Y.2022-23

 

6) Automated Income Tax Revised Form 16 Part B for the F.Y.2022-23

Read More

Income tax exemptions under head salary| With Auto Calculate Income Tax Arrears Relief Calculator U/s 89(1) with Form 10 E for the F.Y.2022-23

 

Income tax exemptions under head salary | Income tax exemption below Rs.2.5 Lakh | Salary-Based Income Tax Exemption Individuals who choose to tax income under the new tax regime will not be able to take advantage of some of the popular exemptions under the Income Tax Act, 1961. For the new tax system U/s 115 BAC

 

Section 80C - Rs. 1.50.000/- (For example Insurance, PPF (General Insurance Fund), National Conservation Certificate, etc.)

Section 80D - Rs. 25.000-50.000/- (doctor)

Standard discount - 50.000 /

Discount allowance (LTA)

House rental allowance (HRA)

Housing Interest 24 (B)

Download Auto Calculate Income Tax Revised Form 16 Part B for the F.Y.2021-22 which can prepare at a time 50 Employees Form 16 Part B Accurately

Various tax saving methods:

1) House rental allowance (HRA)

Paid persons living in a rented house/apartment can apply for a reduced amount of the rental benefit tax or HRA.

Discounts are available in quantities lower than the following amounts:

Actual HRA receipts;

50% of the base salary of those living in a metropolitan city (40% non-metropolitan); OR

Rent pays less than 10% of base rent base salary

You can apply for a discount on a home loan and HRA interest together.

You can apply for an HRA while you are with your parents.

 Example: Rahul works in a multinational company in Gurgaon and receives a monthly salary. 12,000,000 per year and lives in his parents' house in Delhi. Even if he lives in a private home, he can get income tax benefits from the company to pay for housing allowances. All he had to do was pay his parents' monthly rent and send the rent receipt to HRT. His parents must show the rent he paid on his tax return. But they can save a lot as a family.

2) Tax relief at home

Each borrower provides interest and principal material for the loan. The Income Tax Act provides benefits to both components

 

Interest Share: You can claim a maximum of Rs. 2,000,000 / - deducted (expense) interest on home loans Homes owned or in an empty position. However, if the house is rented, you can ask for a discount on the unlimited amount of interest paid mentioned above. This discount can be adjusted to match your wage income, reducing your overall tax liability.

Download Auto Calculate Income Tax Revised Form 16 Part A&B for the F.Y.2021-22 which can prepare at a time 50 Employees Form 16 Part A&B Accurately

 

Main components: You can request a maximum of Rs. 2,000 / -. 1.50.000/- as an exception under section 80C for original components. This is consistent with overall revenue and consequently reduces the overall tax burden.

Facts about tax sellers: If the co-loans are taken together, the holders can apply for a discount of up to Rs 10,000 each. 200,000/- each as well as Rs. 1.50.000/- each in a separate SPT.

 

3) Discounts under Sections 80C, 80CCC, 80CCD and 80D Investment-Discounted Investments on 80C Maximum limit Rs. 1.50.000/-: 80C PPF, EPF, LIC accepted as a gift, principal stamp duty and registration fee for property purchase, Sukanya Smriti Yojana (SSY), National Savings Certificate (NSC) allows for investment discount, Senior Citizen Savings Exemption Scheme (SCSS), ULIP, FD tax savings for 5 years, infrastructure bonds etc. NPS: 80 CCD (2) Additional limit Rs. 50,000/-: 60 CCD (2) allows an additional discount of Rs. 50.000/- for the money deposited into the employee's NPS account. Discount for Mediclaim: 80D You can request a discount of Rs 25000/- under 60 years old and Rs. 50,000/- over the last 60 years

 

Additional discount for parental medical visits is available up to Rs 25,000 if they are under 60 years old. Maximum exclusion limit of Rs. 50,000 for Seniors over 60 years old.

Download Auto Calculate Income Tax Arrears Relief Calculator U/s 89(1) with Form 10 E from the F.Y.2000-01 to F.Y.202-23(Updated Version)

Read More

Section 10 Income Tax Act | With Automatic Income Tax Arrears Relief Calculator U/s 89(1) with Form 10 E from the F.Y.2000-01 to F.Y.2022-23

 Section 10 Income Tax Act | Under the Income Tax Act, 1961, any citizen of India whose income

 exceeds a certain threshold is liable to pay taxes. Therefore, when collecting each fiscal year, taxpayers

 look for ways to minimize their tax liability.

 

To ease the burden on taxpayers by encouraging them to save, invest, and pay taxes, the law listed some income as tax-exempt.

Download and prepare at a time 50 Employees Form 16 Part B for the F.Y.2021-22

Deduction under Section 10 of the Income Tax Law

Exemption from the category of sections and subsections

10 (1) Agricultural income of the self-employed No tax

10 (2) Income of a Hindu family member is indivisible Without tax

10 (10C) Voluntary Retirement Benefit Exempt up to Rs. 5 lakh

10 (10D) Life insurance claims including bonus No tax

10 (11) (12) Amount withdrawn from the pension fund Without tax

10 (10BC) State Disaster Damage Compensation No tax

Download and prepare One by One Income Tax Form 16 Part A&B and Part B for the F.Y.2021-22 in Excel

10 (13A) Rental Housing Benefit (HRA) At a minimum, the following are exempt: Actual HRA 40% of salary or 50% of salary if you live in metropolitan areas Rent paid less than 10% of salary

10 (15) Income from securities not taxed not taxed

Other exclusions under section 10

Employees receive a number of benefits in addition to their regular income. Most of these benefits are considered part of general income, and some are exempt under Section 10.

Download and prepare at a time 50 Employees Form 16 Part A&B for the F.Y.2021-22

 

1. Special compensation under section 10 (14):

Some allowances are classified as special benefits under Section 10 and are tax-free. The exception depends on the amount allowed or the money actually used for a particular purpose, whichever is less.

Grants under subsection (14) of section 10 of the Income Tax Act include:

2. Per diem: includes per diem provided to cover expenses incurred during a business trip or when moving/moving to a new job.

3. Travel Allowance: Provided to employees to cover travel expenses during official travel or when moving to another job. Including expenses incurred in connection with the transfer of personal belongings, etc.

Download and prepare at a time 100 Employees Form 16 Part B for the F.Y.2021-22

 

4. Adjutant's allowance: This exemption applies to the salary of an assistant assigned to assist in the performance of official duties.

5. Uniform allowance: Where the office requires you to wear a uniform while on duty, an allowance is offered to cover the cost of purchasing and maintaining a uniform.

6. Travel expenses: This subsidy is provided to cover expenses related to official travel. It does not cover travel expenses from home to work.

7. Research or Academic Scholarship: This exception is provided by educational and research institutions to encourage research or academic training, education, etc.

8. U/S 10(14)(i) exemption: -

A) Per Diem

B) Travel allowance

9. Specific compensation under Article 10(14)(ii):

Compensation excluded pursuant to paragraph (14)(ii) of Section 10 of the Income Tax Act

• Weather benefits: including compensation for work in the highlands or hills.

• Up to 800 for the hills of Himachal Pradesh, Uttar Pradesh Jammu and Kashmir and the northeast.

• Discount up to 7000 per month for Siachen.

• Discount up to 300 for other high altitude locations.

• Tribal Areas Allowance: 200 grants for those working in tribal areas, registered or pre-classified agencies such as Karnataka, West Bengal, Madhya Pradesh, Assam, Orissa, Tamil Nadu, Bihar, Uttar Pradesh and Tripura.

• Border Area Benefits: Pursuant to section 10(14)(ii) 2BB, military personnel serving in border areas, remote areas, or disturbed areas receive benefits ranging from 200 to 1,300 per month.

Download and prepare at a time 100 Employees Form 16 Part A&B for the F.Y.2021-22

 

• Compensation in the field: a grant of 2600 per month is permitted under section 10(14)(ii) provided that it is given to individuals for tasks in unusual areas.

• Children's Education Fund: Exceptions to Section 10(14)(ii) are available for a benefit of Rs.100 per child for up to 2 children. Boarding allowance can also be claimed in the amount of 300 / month/child up to 2 children.

• Counterinsurgency allowance: The Section 10(14)(ii) allowance of $3,900 per month is for those who work in the armed forces in counterinsurgency.

• Island Service Allowance: An exemption under Section 10(14)(ii) of 3250 per month for military personnel serving in the Andaman and Nicobar Islands or the Lakshadweep Island Group.

• Other benefits under paragraph (14) (ii) of Section 10 of the Income Tax Act include:

• 800/month for underground miners.

• 4,200 per month for employees in high activity areas.

• 1000 per month for workers in certain modification areas.

• 3,200 per month in travel allowance for employees travelling between home and work

Download Automated Income Tax Arrears Relief Calculator U/s89 (1) with Form 10 E from the F.Y.2000-01 to F.Y.2022-23(Up-to-date Version)

Read More

Disability Tax Exemption U/s 80U | With Automatic Income Tax Arrears Relief Calculator U/s 89(1) with Form 10 E for the F.Y.2022-23(Up-to-date Version)

 Disability Tax Exemption U/s 80U| There are certain sections in the income tax laws of India which

 provide tax benefits to people if they or any of their family members suffer from a certain disability.

 

Section 80U offers tax credits if an individual has a disability and Section 80DD offers tax credits if the taxpayer's dependent family member has a disability. This article is about a discussion of the tax credits available in section 80U.

 

Who Can Apply for a Section 80U Deduction

A resident who has been certified as disabled by a medical authority is eligible for a tax credit under section 80U. For the purposes of this section, a person with a disability of at least 40% as established by the health authorities is considered disabled.

Download and prepare at a time 50 Employees Form16 Part B for the Financial Year 2021-22

For the purposes of this section, disability is defined as one of the following:

• Blindness

• Poor eyesight

• Healing from leprosy

• Hearing problem

• Motor disability

• Mental delay

• Mental disease

 

The section also defines a major disability, which refers to a condition where the disability is 80% or more. Severe disability also includes multiple disabilities, autism and cerebral palsy.

 

Quantum deduction up to 80U

Deduct Rs. 75,000 is allowed for people with disabilities, Rs. 1.25.000 deductions for people with severe disabilities.

 

Section 80U Requirements for Requesting Deduction

No documentation other than a certificate of disability issued by a recognized medical institution on Form10-IA is required. There is no need to submit invoices for expenses incurred in connection with treatment or other similar expenses.

 

To apply under this section, you must submit a medical certificate certifying your disability along with your Section 139 tax return for the applicable. In the event that the certificate of invalidity has expired, you can still request these deductions in the year the certificate expires.

Download and prepare at a time 50 Employees Form 16 Part A&B for the Financial Year 2021-22

However, a new certificate will be required next year to receive the benefits. Certifications can be obtained from medical authorities, which can be a neurologist with a doctorate of medicine (MD) in neurology (in the case of children, a pediatric neurologist with an equivalent degree) or a civil surgeon or medical director of a hospital public.

Note. If the invalidity is temporary and requires re-evaluation after a certain period, the certificate will start in the assessment year corresponding to the fiscal year in which it was issued and will end in the assessment year corresponding to the fiscal year in which the certificate expires.

 

Difference between 80U partition and 80DD partition

Section 80DD provides tax credits to family members and relatives of a taxpayer with a disability, while Section 80U provides tax credits to the taxpayer with a disability.

Section 80DD applies if a taxpayer pays a certain amount as an insurance premium for the care of a dependent person with a disability. Under section 80DD, the deduction limits are the same as in section 80U. Here dependent refers to siblings, parents, spouse, children, or a member of the same Hindu family as the taxpayer.

Download Automated Income Tax Arrears ReliefCalculator U/s 89(1) with Form 10 E from the F.Y.2000-01 to F.Y.2022-23(Up-to-date Version)

Read More