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Sachin

Category : Exempt I..,
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July 24, 2018 1:23 pm
  • Exempt Income
Hi ,

1. Since my mom was bank employee, my dad has received a insurance amount from the bank on her death. Any specific tab to show this exempt income received.
2. My dad has received a medical reimbursement amount of my mom, from medical insurance company. Since my mom was not alive to claim , my dad...
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Amlan Dutta
The medical payout is exempt in the hands of mother ...so , you/dad will have to file return on behalf of mom as legal heir ...the legal heir on behalf of the deceased will be claiming the amount as exempt under section 10...this will not be taxed in the hands of father ...for Life insurance produ...
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  • July 24, 2018
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Prasad Shirodkar

Category : Exempt T..,
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July 24, 2018 1:20 pm
  • Exempt Transport allowance u/s10(14)
Where do I show exempt income for travel allowance u/s 10?
Thanks again!
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Amlan Dutta
Check whether it is travel or transport allowance .......Transport allowance is given an exemption of up to Rs.19,200 per annum or Rs.1,600 per month. The sections under which this exemption is applicable are Section 10(14)(ii) of Income Tax Act and Rule 2BB of Income Tax Rules.......(Check attached...
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Check whether it is travel or transport allowance .......Transport allowance is given an exemption of up to Rs.19,200 per annum or Rs.1,600 per month. The sections under which this exemption is applicable are Section 10(14)(ii) of Income Tax Act and Rule 2BB of Income Tax Rules.......(Check attached picture 1 for exempt transport allowance )<br /> <br /> As far as Travelling And Daily Allowances is concerned, that too is completely Exempted From Income Tax" under 10(14(i) to the extent utilized by the employee (Check attached picture 2 for exempt transport allowance )<br /> <br />Literature - In accordance Rule 2BB of in IT Rules, 1962, any allowance (by whatever name called) granted to meet the cost of travel or tour or on transfer is completely exempted from tax in the employee’s hands.<br /><br />For the purposes of this clause “allowances granted to meet the cost of travel or transfer” include any sum paid in connection with the transfer, packing and transportation of personal effects on such transfer.<br /><br />Under this Rule the TA granted to the employees while they travel on tour or on transfer would be completely exempted from tax, Of course, the entire amount on this account should be spent to meet the expenses wholly, necessarily and exclusively incurred in the performance of the duties of an office or employment of profit.<br /><br />If an amount is saved by the employee and is deposited/invested and or is otherwise shown as such by the employee, then he would be liable to tax on the unspent amount of the allowance.<br /><br />Under the same Rule 2BB another allowance which is completely exempted from tax is the daily allowance, whether granted on tour or for the period of journey in connection with travel, to meet the ordinary daily charges incurred, by the employee on account of his absence from the normal place of duty. There is no monetary limit on the exemption of this allowance but any allowance which is reasonable for the employee’s work or the employment, and which is granted to meet expenses wholly, necessarily and exclusively incurred for the purposes of the, duties of an office or employment of profit, would be exempted, provided it is actually spent by the employee concerned.<br /><br />For example, if an employee is allowed 1,200 per day as daily allowance for 5 days at Mumbai while he is away from his place of duty, i.e. New Delhi in connection with official work and he spends the entire amount and gives a certificate of amount actually spent by him, the entire amount of the daily allowance of 1,200 per day, namely 6,000 daily allowance for 5 days would be completely exempted from income tax under the aforesaid Rule under Section 10(14(i) Check whether it is travel or transport allowance .......Transport allowance is given an exemption of up to Rs.19,200 per annum or Rs.1,600 per month. The sections under which this exemption is applicable are Section 10(14)(ii) of Income Tax Act and Rule 2BB of Income Tax Rules.......(Check attached picture 1 for exempt transport allowance )<br /> <br /> As far as Travelling And Daily Allowances is concerned, that too is completely Exempted From Income Tax" under 10(14(i) to the extent utilized by the employee (Check attached picture 2 for exempt transport allowance )<br /> <br />Literature - In accordance Rule 2BB of in IT Rules, 1962, any allowance (by whatever name called) granted to meet the cost of travel or tour or on transfer is completely exempted from tax in the employee’s hands.<br /><br />For the purposes of this clause “allowances granted to meet the cost of travel or transfer” include any sum paid in connection with the transfer, packing and transportation of personal effects on such transfer.<br /><br />Under this Rule the TA granted to the employees while they travel on tour or on transfer would be completely exempted from tax, Of course, the entire amount on this account should be spent to meet the expenses wholly, necessarily and exclusively incurred in the performance of the duties of an office or employment of profit.<br /><br />If an amount is saved by the employee and is deposited/invested and or is otherwise shown as such by the employee, then he would be liable to tax on the unspent amount of the allowance.<br /><br />Under the same Rule 2BB another allowance which is completely exempted from tax is the daily allowance, whether granted on tour or for the period of journey in connection with travel, to meet the ordinary daily charges incurred, by the employee on account of his absence from the normal place of duty. There is no monetary limit on the exemption of this allowance but any allowance which is reasonable for the employee’s work or the employment, and which is granted to meet expenses wholly, necessarily and exclusively incurred for the purposes of the, duties of an office or employment of profit, would be exempted, provided it is actually spent by the employee concerned.<br /><br />For example, if an employee is allowed 1,200 per day as daily allowance for 5 days at Mumbai while he is away from his place of duty, i.e. New Delhi in connection with official work and he spends the entire amount and gives a certificate of amount actually spent by him, the entire amount of the daily allowance of 1,200 per day, namely 6,000 daily allowance for 5 days would be completely exempted from income tax under the aforesaid Rule under Section 10(14(i)
  • July 24, 2018
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Prasad Shirodkar

Category : Exempt P..,
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July 24, 2018 1:16 pm
  • Exempt PF interest
Dear Sir:
Where should I show my PF interest earned from my EPF account? EPF account is opened by my employer at Bandra office.
Thanks & great effort on the website
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Amlan Dutta
Employer providend funds (EPFO) are generally recognized in nature ...So, these are exempt under section 10(12) ...you will show it under exempt income reporting section - nature of income is recognized PF - exempt under section 10(12) ...Check attached picture and rest shall be clear to you ...th...
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Employer providend funds (EPFO) are generally recognized in nature ...So, these are exempt under section 10(12) ...you will show it under exempt income reporting section - nature of income is recognized PF - exempt under section 10(12) ...Check attached picture and rest shall be clear to you ...the answer options - video shall guide you step by step........
  • July 24, 2018
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Jitendra B
EPF Interest on PF Account is not generally shown in ITR. Only the PPF Account interest which you have will be shown in Other Income not to be included in taxable income.
  • July 24, 2018
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Sachin

Category : Exempt I..,
Solved
July 24, 2018 12:49 pm
  • Exempt Income
Hi ,
I have couple of clarification :
1.My dad had received a sum from LIC as nominee for my mother LIC policy on her death . Should I show this amount received under Sec 10 (10D) or should i put that amount under ' other ' tabs and write a note.
2. Since my mom was bank employee, my dad has receive...
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Amlan Dutta
My condolences ....You will show it exempt under 10(10 D) ...There won't be any problem.......take care
My condolences ....You will show it exempt under 10(10 D) ...There won't be any problem.......take care
  • July 24, 2018
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