The due date of filing ITR for a salaried Individual is 31^st July.

However, the date for the salaried persons be 31st October. if the individual in addition to salary also :

• Carries any business/profession in his own name which is liable to tax audit; OR
• is a partner in a firm which is liable to tax audit.

No, filing of ITR is a completely online process involving exchange of information & documents between you & us, after which we will process the same and prepare your ITR for filing it online.

ITR filing is mandatory requirement for every individual who in a financial year has o gross total income of more than Rs. 2.5 Lakh.

Further, even if gross total income is less than or up to Rs. 2.5 Lakh, ITR filing by an individual will be mandatory,  if the individual during the financial year has :-

• Any asset outside India
• Any financial Interest in any entity outside India.
• Signing authrority in any bank account outside India
• Paid electricity bill of Rs. 1Lakh or more.
• deposited in Current Account Rs. 1 Crore or more
• spend Rs. 2 Lakh or more in foreign travel.

Income Tax has divided incomes into 5 heads (Salary, House Property, Profits from Business / Profession, Capital Gain & Other Income). Gross Total Income (GTI) is total of all these heads of income and salary is only a part of it.

Yes, registration at the income tax e-filing portal is mandatory for availing online services. Once registered, you don’t have to go through this process again. It is a one-time registration.

A Salaried Individual ITR has to be filed in the following Form:-

• ITR-1 (Sugam) – Can be filed by an Individual for a financial year in which the individual:-
• was Resident of India as per income tax act 
  
• had a total income of up to Rs. 50 lakh, which only included Salary, Pension, House Property and Other Sources.
• had agricultural income up to Rs. 5,000. 
  
• had dividend income up to Rs. 10 Lakh
• Has Income from only 1 House Property. 
  
• Did not claim any deduction of expenses incurred for earning income from other sources.
•   did not do any business.
• was not a Director in any Company. 
  
• did not hold  unlisted Equity Shares.
• did not have any asset outside India 
  
• did not have signing authority in any account located outside India .
•   ITR-2  – Can be filed by an Individual for a financial year where the individual has not done any business/profession and is not eligible to file ITR

The effective income tax rates on salaried persons depend on the regime he/she chooses. There are different rates in the old regime and new regime and the taxpayer has an option to avail of the regime which gives him/her the maximum benefit. The effective tax rate ranges from 5.2% to 42.7% depending on the total income of the salaried person.

Yes. A salaried person can also do business in his name and has to disclose the income under the head ‘business and profession’

All types of income in cash or kind or as a facility which is also known as perquisite is considered as salary for the purpose of the Income-tax Act, 1961.

Allowances are fixed amounts paid regularly, apart from salary, which is paid by an employer for the purpose of meeting some particular requirements of the employee.  E.g., Tiffin allowance, Transport allowance, Uniform allowance, etc.

There are generally three types of allowances for the purpose of the Income-tax Act – allowances that are taxable, fully exempted allowances, and partially exempted allowances.? Perquisites are benefits received by a person as a result of his/her official status and are over and above the salary or wages they get. These perquisites can be taxable as well as non-taxable depending upon their nature.

Yes. These reimbursements are in the nature of perquisite and hence, considered as salary for the purpose of Income-tax act, 1961.

Form 16 is a TDS certificate. In case, no TDS is deducted, the employer doesn't need to issue Form 16 to  a salaried person.

No, it is considered under Income from Other Sources

For Government Employees, PF and Gratuity are exempt.

For Non-Government Employees, Gratuity is exempt up to receipt of Rs. 20 Lakhs in a financial year.

Yes, arrears are taxable but a taxpayer also gets relief under section 89 for which the taxpayer has to furnish Form 10E before availing such benefit and filing his ITR.

Yes. HRA enjoys tax exemption under section 10(3A) and must be disclosed in ITR by the taxpayer to avail of its benefit. It is further advisable to disclose HRA details to your employer at the beginning of the year by submitting Form 12BB.

Form 12BB is required to be furnished by an employee at the beginning of the financial year to its employer declaring the estimated net total income after availing all deductions so the employer can deduct TDS accordingly.

Whichever is least/minimum of the following is exempt (Not taxable/reduced from total HRA received)

(a)    Actual amount of HRA received

(b)   Rent paid Less than 10% of salary

(c)    50% of salary if house taken on rent is situated in Kolkata, Chennai, Mumbai, and Delhi

or

40 % of salary if the house is taken on rent is NOT situated in Kolkata, Chennai, Mumbai, and Delhi.