Income Tax F.Y. 2016-17 A.Y. 2017-18 Exemptions, Deductions and Rebate for Salaried Employees for F.Y. 2016-17 A.Y. 2017-18, With Automated All in One TDS on Salary for Govt and Non-Govt employees for F.Y.2016-17


Income Tax F.Y.2016-17 A.Y. 2017-18, Exemptions, Deductions and Rebate for Salaried Employees under Section 10, Section 24, Section 89(1), Chapter VIA, and Section 87A as per the Finance Bill 2016-17.

Section 80C – Subject to the overall limit of Rs. 1,50,000 under Section 80CCE.

For investments in specified schemes, saving instruments etc.U/s 80C

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Employee’s Salary Structure 
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Deduction U/s 80C has raised up to Rs.1.5 Lakh with details of U/s 80C + Master of Form 16 Part B (100 Employees) for the Govt & Non-Govt Employees For the Assessment Year 2015-16


Click below link to Download Master of Form 16 Part B ( 100 employees) for the Govt & Non Govt Employees for the Assessment Year 2015-16 ( This Excel Utility can prepare at a time 100 employees Tax Compute + Form 16 Part B )

(100 Employees) Master of Form 16 Part B for AY 2015-16

As per the Income Tax Act and further amended Income Tax Department’s time to time Notification and amended Section Under Section 80C is given below:-

The total limit under this section is Rs 1.5 lakh from the financial Year 2014-15. Included under this heading are many small savings schemes like NSC, PPF and other pension plans. Payment of life insurance premiums and investment in specified government infrastructure bonds are also eligible for deduction under Section 80C Max Limit Rs. 1,50,000/-

 Most of the Income Tax payee try to save tax by saving under Section 80C of the Income Tax Act.  However, it is important to know the Section in to so that one can make best use of the options available for exemption under income tax Act.   One important point to note here is that one can not only save tax by undertaking the specified investments, but some expenditure which you normally incur can also give you the tax exemptions.
 Besides these investments, the payments towards the principal amount of your home loan are also eligible for an income deduction. Education expense of children is increasing by the day. Under this section, there is provision that makes payments towards the education fees for children eligible for an income deduction

Sec 80C of the Income Tax Act is the section that deals with these tax breaks. It states that qualifying investments, up to a maximum of Rs. 1.5 Lakh, are deductible from your income. This means that your income gets reduced by this investment amount (up to Rs. 1.5 Lakh), and you end up paying no tax on it at all!

 This benefit is available to everyone, irrespective of their income levels. Thus, if you are in the highest tax bracket of 30%, and you invest the full Rs. 1 Lakh, you save tax of Rs. 30,000. Isn’t this great? So, let’s understand the qualifying investments first.

Qualifying Investments

Provident Fund (PF) & Voluntary Provident Fund (VPF)and (PF) is automatically deducted from your salary. Both you and your employer contribute to it. While employer’s contribution is exempt from tax, your contribution (i.e., employee’s contribution) is counted towards section 80C investments. You also have the option to contribute additional amounts through voluntary contributions (VPF). Current rate of interest is 8.5% per annum (p.a.) and is tax-free.

 Public Provident Fund (PPF): Among all the assured returns small saving schemes, Public Provident Fund (PPF) is one of the best. Current rate of interest is 8% tax-free and the normal maturity period is 15 years. Minimum amount of contribution is Rs 500 and maximum is Rs 1,50,000/-. A point worth noting is that interest rate is assured but not fixed. Interest on PPF  is proposed to increase to 8.60% and Investment Limit is also expected to increase to Rs. 1,50,000/- very soon.

Life Insurance Premiums: Any amount that you pay towards life insurance premium for yourself, your spouse or your children can also be included in Section 80C deduction. Please note that life insurance premium paid by you for your parents (father / mother / both) or your in-laws is not eligible for deduction under section 80C. If you are paying premium for more than one insurance policy, all the premiums can be included. It is not necessary to have the insurance policy from Life Insurance Corporation (LIC) – even insurance bought from private players can be considered here.

 Equity Linked Savings Scheme (ELSS): There are some mutual fund (MF) schemes specially created for offering you tax savings, and these are called Equity Linked Savings Scheme, or ELSS. The investments that you make in ELSS are eligible for deduction under Sec 80C.
 Home Loan Principal Repayment: The Equated Monthly Installment (EMI) that you pay every month to repay your home loan consists of two components – Principal and Interest.The principal component of the EMI qualifies for deduction under Sec 80C. Even the interest component can save you significant income tax – but that would be under Section 24 of the Income Tax Act. Please read “Income Tax (IT) Benefits of a Home Loan / Housing Loan / Mortgage”, which presents a full analysis of how you can save income tax through a home loan.
Stamp Duty and Registration Charges for a home: The amount you pay as stamp duty when you buy a house, and the amount you pay for the registration of the documents of the house can be claimed as deduction under section 80C in the year of purchase of the house.


National Savings Certificate (NSC): National Savings Certificate (NSC) is a 6-Yr small savings instrument eligible for section 80C tax benefit. Rate of interest is eight per cent compounded half-yearly, i.e., the effective annual rate of interest is 8.16%. If you invest Rs 1,000, it becomes Rs 1601 after six years. The interest accrued every year is liable to tax (i.e., to be included in your taxable income) but the interest is also deemed to be reinvested and thus eligible for section 80C deduction.

 Pension Funds – Section 80CCC: This section – Sec 80CCC – stipulates that an investment in pension funds is eligible for deduction from your income. Section 80CCC investment limit is clubbed with the limit of Section 80C – it maeans that the total deduction available for 80CCC and 80C is Rs. 1 Lakh.This also means that your investment in pension funds upto Rs. 1 Lakh can be claimed as deduction u/s 80CCC. However, as mentioned earlier, the total deduction u/s 80C and 80CCC can not exceed Rs. 1 Lakh.

5-Yr bank fixed deposits (FDs): Tax-saving fixed deposits (FDs) of scheduled banks with tenure of 5 years are also entitled for section 80C deduction.

Senior Citizen Savings Scheme 2004 (SCSS): A recent addition to section 80C list, Senior Citizen Savings Scheme (SCSS) is the most lucrative scheme among all the small savings schemes but is meant only for senior citizens. Current rate of interest is 9% per annum payable quarterly. Please note that the interest is payable quarterly instead of compounded quarterly. Thus, unclaimed interest on these deposits won’t earn any further interest. Interest income is chargeable to tax.

5-Yr post office time deposit (POTD) scheme: POTDs are similar to bank fixed deposits. Although available for varying time duration like one year, two year, three year and five year, only 5-Yr post-office time deposit (POTD) – which currently offers 7.5 per cent rate of interest –qualifies for tax saving under section 80C. Effective rate works out to be 7.71% per annum (p.a.) as the rate of interest is compounded quarterly but paid annually. The Interest is entirely taxable.

 NABARD rural bonds: There are two types of Bonds issued by NABARD (National Bank for Agriculture and Rural Development): NABARD Rural Bonds and Bhavishya Nirman Bonds (BNB). Out of these two, only NABARD Rural Bonds qualify under section 80C.

Unit linked Insurance Plan : ULIP stands for Unit linked Saving Schemes. ULIPs cover Life insurance with benefits of equity investments.They have attracted the attention of investors and tax-savers not only because they help us save tax but they also perform well to give decent returns in the long-term.

Children Education Fees :- children’s education expense (for which you need receipts), that can be claimed as deductions under Sec 80C max Rs. 1,50,000/- p.a.


Kissan Vikas Patra ( K.V.P.):- Newly introduce this Kissan Vikas Patra by the Finance Budget 2014-15

Click below link to Download Master of Form 16 Part B ( 100 employees) for the Govt & Non Govt Employees for the Assessment Year 2015-16 ( This Excel Utility can prepare at a time 100 employees Tax Compute + Form 16 Part B )

(100 Employees) Master of Form 16 Part B for AY 2015-16

Free Download Automated new Amended Version of Form 16 Part A &B and Automated Form 16 Part B For the Financial Year 2013-14 and Assessment Year 2014-15


As per the New Notification by the CBDT  has already changed the Format of Form 16. In this New Format of Form 16 have two Parts, One Part A and another is Part B. The Part A where the all details of Tax deducted and deposited to the Central Govt. and Part B have the details of employee’s Salary data.

The Part A can be download from the new income tax Web Site TRECESS PORTAL     ( www.tdscpc.gov.in). And Form 16 Pare B is mandatory to prepare by the Employer.

It appears that the most of the employer have not known about this new Format of Form 16 and Mandatory to download Form 16 Part A from the TRACES PORTAL.

It is a problem when who can not able to download the Form 16 Part A, then what they can do and how to possible to shown the details of employee’s Tax deduction as Monthly or Quarterly or Annually ?

No Problem, Here is given below the all type of Automated Excel Based Software which can prepare Form 16 Part B and also Can prepare Form 16 Part A&B for the Financial Year 2013-14 and Assessment Year 2014-15.

Download below the Excel Based Software as you like Part B or Part A&B

Automated Form 16 Part A&B and Part B For AY 2014-15

(Part B 1 ) Automatic Form 16 Part B for FY 2013-14 & AY 2014-15

(Part B ) Master of only Form 16 Part B for AY 2014-15

Master of Form 16 Part A&B for AY 2014-15

 

Download Automated new amended version of Form 16 Part A &B and Autofil Form 16 Part B for the Financial Year 2013-14 and Assessment Year 2014-15


As per the New Notification by the CBDT  has already changed the Format of Form 16. In this New Format of Form 16 have two Parts, One Part A and another is Part B. The Part A where the all details of Tax deducted and deposited to the Central Govt. and Part B have the details of employee’s Salary data.

The Part A can be download from the new income tax Web Site TRECESS PORTAL ( http://www.tdscpc.gov.in). And Form 16 Pare B is mandatory to prepare by the Employer.

It appears that the most of the employer have not known about this new Format of Form 16 and Mandatory to download Form 16 Part A from the TRACES PORTAL.

It is a problem when who can not able to download the Form 16 Part A, then what they can do and how to possible to shown the details of employee’s Tax deduction as Monthly or Quarterly or Annually ?

No Problem, Here is given below the all type of Automated Excel Based Software which can prepare Form 16 Part B and also Can prepare Form 16 Part A&B for the Financial Year 2013-14 and Assessment Year 2014-15.

Download below the Excel Based Software as you like Part B or Part A&B

Master of Form 16 Part A&B for AY 2014-15

(Part B) Master of Form 16 + 12 BA for AY 2014-15

(Part B ) Master of only Form 16 Part B for AY 2014-15

Automated Form 16 Part A&B and Part B For AY 2014-15

Master of Form 16 + 12 BA for AY 2014-15