Tips to save on taxes| With Automated Income Tax Preparation Software in Excel for the Govt and Non-Govt Employees for the F.Y.2022-23

 1. Rent paid but HRA not received:

 

You typically receive an HRA as part of your paycheck and treat the HRA as a primary tax-saving plan while you file taxes. However, there may also be a situation where it is not part of the employee's salary. In such a situation, the standard HRA deduction cannot be claimed and the taxpayer will not be able to claim benefits even if they are paying rent. Also, in such cases, the taxpayer must claim a tax benefit under Section 80GG.

 

To provide taxpayer benefits even when they did not receive an HRA, Section 80GG was introduced. Under this section, a taxpayer can claim a rent deduction even if they have not received an HRA. As per the following conditions:

 

That the individual is self-employed or receives a salary.

The HRA was not received at any time during the year for which the Section 80GG deduction was claimed.

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You, your spouse, or the HUF of which you are a member do not own any accommodation where you currently reside.

 

To claim the deduction under Section 80GG, you must file a 10BA form for the rent payment. Less of the following will be considered a deduction under this section:

rupee. 5000 per month.

 

25% of total income (excluding long-term capital gains and short-term capital gains under Section 111A and income under Section 115A or 115D and deductions under 80°C at 80 units).

 Real income is less than 10% of income

 

2. Interest paid on the mortgage loan

To claim the interest component of a home loan as a tax deduction, you must meet the following conditions:

You must obtain a loan to buy or build a house.

The construction of the house must be completed within 5 years after the end of the financial year in which the loan was taken.

 

The interest component paid as part of the loan can be claimed as a deduction under section 24 up to Rs. 2 lakhs This applies in the case of self-occupied properties. In the case of rental property, there is no maximum limit for claiming interest.

In the event that interest is paid on a mortgage loan obtained during the pre-construction period, the pre-construction interest paid may be claimed as a deduction. The discount is available in five equal instalments beginning with the year the property was purchased or construction was completed. However, the maximum is Rs. 2 lakhs

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3- Bank Savings Account Benefits:

The Income Tax Act of 1961 provides for deductions in respect of interest earned on bank savings accounts. Undivided Hindu individuals and families can claim a tax deduction under Section 80TTA on interest earned. This deduction applies to non-senior taxpayers. In the case of the elderly, article 80 TTB applies.

The maximum limit u/s 80TTA is Rs. 10,000. Limit Rs. 10,000 is applied to the total interest earned on the savings bank account held by the resident. No interest above and above Rs. 10,000 is taxed under the heading “Income from other sources”. The tax rate will correspond to the applicable tax bracket. For example, the total interest Amit earned from his savings bank account was Rs. 15,000. But allowed under Section 80TTA will be Rs. 10,000/-

 

On April 1, 2018, Section 80TTB for the elderly appeared. Under the 80TB section, seniors can claim discounts of up to Rs. 50,000 or a specified amount of gross gross receipts.

 

4- Medical expenses for disabled dependents:

Under the provisions of Section 80DD, a taxpayer can claim a deduction if they are caring for disabled dependents. This tax benefit will help reduce the tax liability of a person caring for a disabled person in their dependent family.

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 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

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Tax Saving Tips| With automated income tax software All in One for the West Bengal Govt Employees for the 2022-23 tax year.

 Tax Saving Tips|

 

1. Tuition fees:

The Income Tax Act of 1961 provides for a deduction under section 80C of the Income Tax Act for the payment of children's schooling. This tax savings option is available in Section 80C as well as other investments such as PPF, NSC, ELSS, etc. Tuition fees paid to any registered university, college, school or educational institution are deductible up to Rs. 1.5 thousand.

 

In addition, only tuition fees are deductible under the Income Tax Act. Any other fee such as a donation, development fee, etc., even if paid to such an institution, is non-deductible.

The income tax law allows both parents to claim a deduction up to the amount they paid. Thus, if the total amount paid by the parents is 1 Lakh rupees, of which the father paid 40,000 rupees and the mother paid 60,000 rupees, then both of them can claim this amount individually as they pay.

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2. National Pension Scheme (NPS)

The NPS or National Pension Scheme has become a popular investment product for income tax savings. This is a tax-saving option that is available to both public and private employees. This allows the contributor to building retirement housing along with a regular monthly income. The amount invested by the depositor is invested in various schemes, including stock markets.

 

There are two types of NPS accounts: level 1 and level 2. A level 1 account has a lockout period until the subscriber reaches the age of 60. Contributions made by a Tier 1 subscriber are deductible in accordance with sections 80CCD(1) and 80CCD(1B). Level 2 accounts are voluntary, allowing the subscriber to withdraw money at any time. However, contributions to Tier 2 accounts are not tax-deductible.

 

Under the provision of Section 80CCD, an individual may claim a deduction of up to Rs. 1.5 Lakh investment in NPS. In addition, a new section 80CCD(1B) was introduced which offered an additional deduction of up to Rs. 50,000/- for contributions made by individual contributors to the NPS.

 

3. Section 80D health insurance premiums:

You can claim a tax deduction of up to 10,000,000 rubles. 25,000 in respect of the following contributions:

The premium is paid to maintain health insurance covering yourself, your spouse, or dependent children.

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Any contribution to central government health programs.

Any other scheme may be notified by the central government as eligible for the deduction.

To take care of emergency medical care, health insurance is considered the safest investment option. This allows the taxpayer to enjoy benefits on two fronts. First, have an insurance policy in case of a medical emergency. Secondly, the tax relief is in accordance with the income tax law for investing in an investment product.

 

In addition to the above, an additional deduction for parents' insurance of Rs. 25,000 if under 60 or Rs. 50,000 if they are over 60. If an individual and their parents are over 60 years of age, the maximum deduction available under this section will be Rs. 100000.

 

4. Student loan repayment

The Income Tax Act provides a tax credit for repaying a loan as a tax deduction under section 80E of the Act. You must remember that this tax savings option is available to the payer of the loan. After using the student loan, the interest paid on the student loan is tax-deductible for a maximum period of 8 years or the interest is refunded, whichever comes first.

 

Depending on who pays the EMI for student loans, the parent or child may qualify for the deduction. The Section 80C deduction is only available if you take out a loan from a financial institution and not from family members. You can claim a tax deduction from the year the return began.

 

The tax authorities grant the borrower a moratorium for up to one year from the date of completion to start repaying the loan. This gives the taxpayer enough time to manage their finances and claim the deduction once they start paying off the loan.

 

For example, if a taxpayer repays their student loan within 5 years of the due date, the tax credit will only be available during that 5-year period. Under section 80E, this relief must be claimed for 8 years before taxpayers can take advantage of it. Borrowers should note that their repayment may exceed 8 years, but in such cases, they will not receive a Section 80E tax credit after the 8th year.

Download Automated Income Tax Preparation Excel-Based Software All in One for the West Bengal Government Employees for the F.Y.2022-23As per New Section 115 BAC (New and Old Tax Regime)

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 New or Old Tax Regime

 

3) This Excel Utility has a unique Salary Structure W.B.Govt Employee’s Salary Structure.

 

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

 

7) Individual Salary Sheet

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Form 16 Issuance to Employees | With Automated Income Tax Form 16 for the F.Y.2021-22

 Form 16 Issuance to Employees | Form 16 is a certificate that employers issue to their employees. It is

 a validation that the TDS has been deducted and deposited with the government authorities on behalf

 of the employee of the organization.

 

Form 16 gives a detailed summary of the salary paid to the employees and the deducted TDS. TDS Form 16 contains all the information that an individual needs to prepare and file the income tax return.

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

The employers are required to issue a Salary TDS certificate every year on or before the 15th of June of the coming year immediately after the financial year in which the tax is deducted. There are two components of Form 16 Part A and Part B. If an individual loses Form 16 he can request a duplicate Form from the employer.

 

Structure of Form 16

 

Part A of Form 16

It provides the details of the TDS that is deducted and deposited. This form can be generated by the employers through the TRACES portal.

The employer must verify the contents before issuing the certificate. Here are a few components of Part A of the salary TDS certificate. 

1. Name and address of the employer
2. TAN and PAN of employer
3. PAN of the employee
4. Summary of tax deducted and deposited quarterly, which is certified by the employer.

 

Part B of Form 16

 

It is an annexure to Part A, Part B is prepared by the employer for its employees and it contains details of the breakup of the salary deductions approved under Chapter VI-A. In case of a job change in one financial year, Form 16 should be obtained by both employers. Some of the components of Part B are:

1. Detailed breakup of salary
2. Detailed breakup of exempted allowances under Section 10
3. Deductions that are allowed under Income Tax Act (Under Chapter VIA)

Here is the list of deductions

 

• Deduction for life insurance premium paid, contribution to PPF, etc. under Section 80C
• Deduction for contribution to pension funds under Section 80CC
• Deduction for employee's contribution to a pension scheme under Section 80CCD(1)
• Deduction for taxpayer's self contribution to a notified pension scheme under Section 80CCD(1B)
• Deduction for employer's contribution to a pension scheme under Section 80CCD(2)
• Deduction for health insurance premium paid under Section 80D
• Deduction for interest paid on loan taken for higher education under Section 80E
• Deduction for donations made under Section 80G
• Deduction for interest income on savings account under Section 80TTA

 

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

Issuance of Form 16 to Employees

After the TDS returns are filed by the employer, the Government would issue TDS certificates to the employer - which in turn is provided to the employees.

 

Form 16A provides details about TDS from salary. Form 16B provides details of TDS Other than salary, Form 16C for TDS under Section 194-IB, Form 16A for TDS from other than salary, and Form 27Dfor TCS.

 

The due date for issuance of Form 16 is on or before June 15th of the financial year immediately following the financial year in which the tax is deducted. In the case of Form 16A, the same should be issued every quarter.

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