Tips to file your Income Tax Return for Asstt. Year 2015-16? Benefits & Drawback

Income Tax Return Filing is not compulsory whose earnings below Rs. 250000/-. Apart from this if you have pan card need to file income Tax Return before scheduled date, even when your Taxable Income is lesser than Rs. 250000/-.


Heads of Income:

Salaries & Perquisites: Salary and allowance (House Rental Allowance, Hardship allowance) and perks (like Rent free a house, car, stock options etc.) provided by employer either totally free or at a concessional rate.

Income from House Property: Rental revenue from House Property.

Profits & Gains of business or even profession: Business Income
.
Capital Gains: Profit/loss on sale of shares, mutual funds, Property etc.

Revenue from other sources: Interest on fixed deposit, dividend, Gifts etc.

Allowable Deductions:


Professional Tax levied State govt. from salary is deducted,
Transport allowance is deducted from salary upto Rs. 800/- per month,
Children education allowance is deducted from salary upto Rs.100/- per month per child,
Insurance Premium u/s 80C up to 1 lac,
Payment of medical insurance premium. Deduction is available upto Rs.15,000/ for self/ family and also up to Rs. 15,000/- for insurance in respect of parent/ parents of the assesse,
Donation to certain funds, charitable institutions u/s 80G,
Deduction of up to Rs.10,000/- for interest on savings bank account or post office savings account,
Rebate of Rs. 2000/- is available if Total income is less than Rs. 5 lacs

Method to file your Income Tax Return for Asstt. Year 2015-16? Advantages & Drawback