Relief is allowed under section 89 to a salaried person when Salary or family pension is received in advance Salary or family pension is received in arrears and income is assessed at a rate higher at which it would otherwise have been assessed. For eg – A person’s salary is
Applicability Alternate minimum tax under this section is applicable on all assesses other than company. Also this section doesn’t apply to assesses whose adjusted total income doesn’t exceeds Rs. 20 lakhs. Conditions for payment of Alternate Minimum Tax Where regular income tax payable by an assesse is less than the
Case 1 – Computation of Income of a house property which is self occupied for residential purposes Case 2 – Computation of Income of a house property which could not actually be self occupied owing to employment at other place Case 3 – Where assessee has more than one house for self occupation
A) Fair Rent XXX B) Municipal Value XXX C) Higher of A or B XXX D) Standard Rent XXX E) Expected Rent (Lower of C or D) XXX F) Actual Rent XXX G) Gross Annual Value (higher of E or F ) XXX H) Less: Municipal Tax XXX I) Annual Value (G – H)
Any taxes levied by any local authority in respect of the house property is to be deducted from the gross annual value, if the following conditions are fulfilled:- a) Municipal taxes have been borne by the owner, and b) These have been actually paid during the previous year. Notes:- a)
Section 23 – Income from house property is taxable on the basis of annual value. Even if the property is not let out during the year or let out only for a part of the year, notional rent receivable is taxable as its annual value. Annual value of the house
National Pension Scheme (NPS) is launched with the objective of providing retirement income to the government employees on 01st January 2004. It is a government sponsored pension scheme initially launched for Government employee but from 01st May 2009 the scheme was opened for all the citizens of India. NPS aims