By Chirag Nangia
I’m a pensioner with earnings beneath Rs 5 lakh. Last 12 months, I bought a residential property which was bought in 2015. There was no capital beneficial properties within the transaction as the worth of the property had fallen. Do I have to file an ITR?
While submitting a return of earnings one should disclose earnings from all sources, regardless of the quantity, else on the time of processing of return, the tax division might increase a query or make adjustment on account of mismatch. You could declare your earnings from pension and capital beneficial properties in ITR 2, which is a straightforward type. You shall be required to reveal the sale consideration, value of acquisition and the resultant capital beneficial properties on account of sale of property.
I’m making use of for an training mortgage for my daughter from a non-banking finance firm. Will I get tax advantages on this mortgage?
As per Section 80E, any particular person who takes a mortgage from any monetary establishment or authorised charitable establishment for pursuing larger training, whether or not in India or overseas, can declare deduction on the quantity of curiosity paid for a consecutive interval of eight years, starting from the evaluation 12 months by which he has began paying the curiosity on mortgage or till the evaluation 12 months by which the curiosity is paid in full, whichever is earlier. Education mortgage will be taken for self, partner, youngsters or scholar for whom you’re the authorized guardian.
I’m becoming a member of a brand new job in Bangalore and should keep on lease for a while until I get workplace lodging. How can I declare HRA advantages?
As per the earnings tax provisions, the least of the next is allowed as exemption in respect of HRA (i) an quantity equal to 40% of wage (50%, if home is located at Bombay, Kolkata, Delhi or Chennai) (ii) HRA acquired by the worker in respect of the interval throughout which rental lodging is occupied by the worker in the course of the earlier 12 months (iii) the surplus of lease paid over 10% of wage. You should calculate the quantity of exempt HRA primarily based on precise lease for the interval throughout which the allowance is acquired.
The author is director, Nangia Andersen India. Send your queries to [email protected]