Tax Guru Indian

Download Automated Income Tax Preparation Excel Based Software All in One for Govt and Non-Govt Employees for F.Y.2020-21 as per Budget 2020 With New Section 115BAC as Old tax regime and Analyses the benefits before making your choice U/s 115BAC

Under the straightforward system, it’s impossible to say some concessions and exemption.

In the Budget 2020 has introduced a simple personal tax system to reduce the tendency of income tax income of individuals. This new regime provides an option for individuals to pay taxes at a reduced rate subject to certain discounts and rebates.

The following is a quick comparison of tax rates.

Income Tax New Section 115BAC for F.Y.2020-21

As the new financial year begins, many individual taxpayers are in the process of analyzing whether they will continue to pay taxes under the existing old regime or opt for a simplified personal tax system. Individuals can consider the following to decide which system will work best for them. Under simplification, it is not possible to claim specific exemptions and rebates. There are discounts and rebates widely used by the people listed below and which will not be available under the new tax regime.

In addition to the above for the tax regime. The loss under the heading ‘Income from House Property’ (probably due to interest from a home property) cannot be set against the income under the other head, but it appears to have been set up.

For those who have business income, deductions, investments in new plants and equipment, tea, coffee, rubber development, certain businesses, agricultural extension projects and scientific research expenses cannot be taken under the new tax system. Application of this option for persons who do not have business / professional income during the year.

Although this option can be used by individuals when filing returns, it was not clear until recently whether they could decide on new measures for employers to deduct taxes. The lack of activation of amendments to the tax exemption provisions in the Finance Act 2020 has created confusion among employers as to whether they can apply the new tax system at the time of tax exemption.

Subsequently, the Central Board of Direct Taxes (CBDT) issued a clarification on April 13, 2020, to avoid inconvenience to individual the taxpayers wishing to adopt the new tax option.

According to the specification, an employer can apply the tax at the rates fixed under the new tax rate while withholding tax from the salary. However, the employer must be notified if the employee chooses to opt for the new rules.

If no investigation is arranged, the employer will be able to withhold the tax under the old system. In addition, the employee may notify the employer only once per financial year and the information may be provided at any time during the financial year.

For people with business / professional income: People with business income can use this option before the due date for filing the tax return. If a person with a business / professional income prays for a new tax, he will have to continue with the new government for all his subsequent years. He can withdraw the used option and return to the old regime only once. Once withdrawn, he will be ineligible to use the new government option for any future year, unless his business / professional income ceases. Can employees change the regime while filing tax returns?

It can happen that the person can opt for the new year and notify the employer at the beginning of the financial year. However, as the year went on he realized that the old regime could work better for him because of the projected income and discounts/discounts. In such cases, it is not necessary for the employee to continue with the elected and declared regime with his employer.

According to the provisions of the law, he has the right to change his option while filing the income tax return. Things to keep in mind when choosing a government The individual taxpayer needs to make an informed decision about whether to choose the new personal tax condition, as it can help in tax optimization. In addition, although it is possible to change from one scheme to another at the time of filing the tax return, it may happen that the additional taxes are deposited by the employer as the government-appointed at the beginning of the financial year.

These additional taxes have to be claimed as refunds from the tax authorities which can lead to cash flow problems for the individual. Although the individual will be aware of his or her salary income, the following factors should be considered for the administration to administer fairness: – Income other than salary income (e.g., interest income, dividend / mutual fund income, etc.) – Unexpected increase in the year and bonus money year with being acceptable for-expectations for the fiscal year-for estimating the appropriate home rent allowance in the case of rent payable for the year

The year in which he expects the travel plan to claim a leave travel allowance is a welcome amendment to simplify the new tax system.

However, thoughtful analysis is required to select the appropriate measures for the individual.

Download Automated Income Tax Preparation Excel Based Software All in One for Govt & Non-Govt ( Private) Employees for the Financial Year 2020-21 and Assessment Year 2021-22 with the new tax section 115BAC ( New Tax Regime and Old Tax Regime) As per the Budget 2020.

Feature of this Excel Utility:-

1) Automated calculate your Tax in Tax Computed Sheet as per the New Section 115BAC ( New Tax and Old Tax Regime)

2) This Excel Utility can prepare at a time your Tax Computed Sheet

3) Automatic Income Tax House Rent Exemption Calculation U/s 10(13A)

4) Automated Income Tax Revised Form 16 Part A&B and Form 16 Part B

5) This Excel Utility can prepare Automated Income Tax Arrears Relief Calculation U/s 89(1) With Form 10E from the F.Y.2000-01 to the F.Y.2020-21( Updated Version)

6) Easy to install and easy to generate, just like as an Excel File.

7) All in the amended Income Tax Section have in this Excel Utility as per Budget of 2020.

8) This Excel Utility have a Salary Structure as per all Govt and Non- Govt ( Private ) Concerns Salary Patterns.

Income Tax Calculator for the F.Y.2020-21

Difference between new income tax regime with old tax regime, With Automated Income Tax Software All in One for Non-Govt (Private) Employees for F.Y.2020-21 and A.Y.2021-22 with New Section 115BAC as per Budget 2020

Budget 2020 has introduced a new income tax system for individual taxpayers. However, for the option of such discounted duty, the taxpayer will be required to deduct certain specific deductions.

These include a standard rebate of Rs 50,000, a rebate of Rs 1.50 lakh under Section 80C and interest on the self-occupied property of Rs 2 lakh, a deduction taken by most taxpayers. As a result, exempt tariffs may not always be beneficial. Based on the table of examples below, it is clearly proven that the maximum benefit under the new tax rate (if no investment is made) is Rs 75,000 in terms of tax savings.

As a result, in contrast to corporate tax rebate rates which reduce tax rates at income levels, there is a limited application of discount tax rates and individuals in lower-income brackets will benefit. The highest personal tax rate, which is 42.7 per cent, will continue to be a major challenge ** No tax up to Rs.500,000 taxable income as rebate under tax section 87A * Exceptive income slabs for persons aged 60 years and above (senior citizens) and residents of 60 years of age or older (very senior citizens) at any time of the previous year have the same amount.

A. The effectiveness of the new government is as follows: Reduced tax rates and reduced loyalty: The new the government provides for a discounted rate compared to the existing or old system of governance. Further, the required documentation is less and tax filing is easier as most of the discounts and rebates are not available. Investors may not choose to lock-in funds on fixed instruments for a set period of time: all taxpayers will be considered equivalent under the new government and there will be no criteria for availing tax exemptions.

This can be helpful for those types of taxpayers who cannot subscribe to a certain amount of investment, as most investments have a lock-in period, before which it cannot be withdrawn. They can make open-end mutual investments.

Funds/materials/deposits, which gives them a good income as well as the flexibility to withdraw. For example, certain eligible instruments have longer lock-in periods such as five-year lock-in period for fixed deposits at banks and post offices,

Equity-Linked Savings Scheme (ELSS) for three years

National Savings Certificate for five years (NSC) etc.

Increased liquidity in the hands of the taxpayer: The reduced tax rate will provide more disposable income to the taxpayer, who cannot invest in certain instruments due to certain financial or other personal reasons.

Flexibility to adapt the investment choice: Existing taxes provide relief to the taxpayer, but he invests in certain materials and methods as per the rules of law. This limits the investment choices for the taxpayer as he only has to invest in certain instruments. The new arrangement, however, gives taxpayers flexibility to customize their investment preferences. The provisions of the new government are Non-availability of fixed discount: The new tax system does not allow the taxpayer to avail the benefit of a fixed discount. The descriptive list is as follows:

(A) The sections described in section 10 are as follows:

(i) Section (5) –

Travel Exemption;

(ii) section (13a) –

house rent allowance;

(iii) Section (14) –

Special Allowance in Rule 2 BB (e.g. Children’s Education Allowance, Hostel Allowance, Transport Allowance, Daily Allowance, Uniform Allowance etc.);

(iv) Section (1) –

Allowances for Members of Parliament / MLAs; (v)

section (32) – allowance for clubbing the income of a minor;

(B) exemption of SEZ unit under section 10AA;

D) interest under section 24 in respect of the self-occupied or vacant property (for a rented house the loss under IFHP head shall not be waived under any other head and shall be sanctioned as C / f under the prevailing law);

(E) additional depreciation under 32 (1) (II);

(F) Exemption under sections 32AD, 33AB and 33ABA

(G) various exemptions for grants or expenditures in scientific research included in sub-section (ii) of sub-section (ii) or sub-section (iii), subsection (1) or sub-section (2AA); (H) exemptions under section 35AD or 35cc;

(i) exemption from family pension under section (iia) of section 57;

(H) Any exemption under section VI-A (e.g. Section 80C, 80cc 80, 80cc, 80D, 80DD, 80DDB, 80E, 80EE, 80EEA, 80EB, 80G) , 80 GG, 80 GG, 80 GGC, 80 AI, 80-IAB, 80-IAC, 80-IB, 80-IBA, etc.).

However, exemptions (contribution of employers to the employee’s account in the notified pension scheme) and section 80 JJAA (for new employment) may be claimed under sub-section (2) of section 80 CCD.

Download Automated Income Tax Preparation Excel Based Software All in One for Govt and Non-Govt (Private) Employees for the Financial Year 2020-21 & Assessment Year 2021-22 as per the New and Old Tax Regime U/s 115BAC introduced in the Budget 2020

Main Feature of this Excel Utility:-

1) This Excel Utility can prepare both Govt and Non-Govt (Private ), Employees Income Tax Calculation U/s 115BAC for F.Y.2020-21 as per Budget 2020

2) This Excel Utility can prepare Income Tax Calculation U/s 115BAC (New & Old Tax Regime)

3) This Excel Utility can prepare Automated Income Tax Arrears Relief Calculation U/s 89(1) with Form 10E From the F.Y. 2000-01 to F.Y.2020-21 Updated Version

4) This Excel Utility can prepare automatic Income Tax House Rent Exemption Calculation U/s 10(13A)

5) This Excel Utility can prepare automatic Income Tax Computed Sheet as per the new section 115BAC

6) This Excel Utility have the Salary Structure as per all the Govt and Private Concerns Salary Pattern, which is easy to calculate your Income Tax

7) This Excel Utility Have the Individual Salary Sheet which can prepare automatically after filling the Salary Details

8) This Excel Utility can prepare automated Revised Form 16 Part A&B for F.Y.2020-21

9) This Excel Utility can prepare automated Revised Form 16 Part B for F.Y.2020-21

CBDT clarifies the process of opting concessional rates of tax, Sec 115BAC With Automated Income Tax All in One Govt & Non-Govt (Private) Employees for the F.Y.2020-21 Under Section 115 BAC ( New & Old Tax Regime as per Budget 2020)

CBDT clarifies process of opting concessional rates of tax, Sec 115BAC

CBDT has issued Circular C1 of 2020 dated13.04.2020. It clarifies the process of exercising of option by a taxpayer with regard to deduction of tax at source if he/she opts for the concessional rates of tax as per section 115BAC.

Employee to an intimate employer of the intention to opt for new concessional rates. Intimation so given will be applicable for the year & can’t be modified. However, an employee has the right to exercise such option or continue with the earlier scheme. He can decide it at time of filing ITR.

Circular C 1 of 2020

F. No. 370142/13/2020-TPL

Government of India

Ministry of Finance

Department of Revenue

Central Board of Direct Taxes

*****

New Delhi, April 13,2020

Clarification in respect of an option under section IISBAC of the Income-tax Act, 1961

Section IISBAC of the Income-tax Act, 1961 (the Act), inserted by the Finance Act, 2020 w.e.f. the assessment the year 2021-22, inter alia, provides that a person, being an individual or a Hindu undivided family having income other than income from business or profession”, may exercise the option in respect of a previous year to be taxed under the said section IISBAC along with his return of income to be furnished under sub-section (I) of section 139 of the Act for each year. The concessional rate provided under section IISBAC of the Act is subject to the condition that the total income shall be computed without specified exemption or deduction, setoff of loss and additional depreciation.

2. Representations expressing concern regarding tax to be deducted at source (TDS) has been received stating that as the option is required to be exercised at the time of filing of the return, the deductor, being an employer, would not know if the person, being an employee, would opt for taxation under section IISBAC of the Act or not. Hence, there is a leak of clarity regarding whether the provisions of section IlSBAC of the Act are to be considered at the time of deducting tax.

3. In order to avoid genuinely hardship in such cases, the Board, in the exercise of powers conferred under section 119 of the Act, hereby clarifies that an employee, having income other than the income under the head “profit and gains of business or profession” and intending to opt for the concessional rate under section 1iSBAC of the Act may intimate the deductor, being his employer, of such intention for each previous year and upon such intimation, the deductor shall compute his total income, and make TDS thereon in accordance with the provisions of section IISBAC of the Act. If such intimation is not made by the employee, the employer shall make TDS without considering the provision of section 11SBACof the Act.

4. It is also clarified that the intimation so made to the deductor shall be only for the purposes of TDS during the previous year and cannot be modified during that year. However, the intimation would not amount to exercising an option in terms of sub-section (S) of section J ISBAC of the Act and the person shall be required to do so along with the return to be furnished under sub-section (J) of section 139 of the Act for that previous year. Thus, option at the time of filing of return of income under sub-section (J) of section J 39 of the Act could be different from the intimation made by such employee to the employer for that previous year.

5. Further, in case of a person who has income under the head “profit and gains of business or profession” also, the option for taxation under section J J SBAC of the Act once exercised for a previous year at the time of filing of return of income under sub-section (\) of section 139 of the Act cannot be changed for subsequent previous years except in certain circumstances.

Accordingly, the above clarification would apply to such person with a modification that the intimation to the employer in his case for subsequent previous years must not deviate from the option under section IISBAC of the Act once exercised in a previous year.

(Niraj Kumar)

Deputy Secretary (TPL)-I

Copy to the:

I. PSI OSD to FM/ PS/OSD to MoS(F).

2. PS to the Finance Secretary.

3. Chairman and Members, CBDT.

4. Joint Secretaries/ CsIT/ Directors/ Deputy Secretaries/ Under Secretaries, CBDT.

5. C&AO of India (30 copies).

6. JS & Legal Adviser, Ministry of Law & Justice. New Delhi.

7. Institute of Chartered Accountants of India.

8. CIT (M&TP). Official Spokesperson of CBD.

9. Principal DOlT (Systems) for uploading on the official website

Download Automated Income Tax Preparation Excel Based Software All in One for Govt & Non-Govt (Private) Employees for the Financial Year2020-21 and Assessment Year 2021-22.

Main Feature of this Excel Utility:-

$ This Excel The utility can use Government and Private Concerns Employees U/s 115BAC

$ This Excel The utility has the Individual Salary Structure as per the Government and Private Concern’s Salary Structure both can use

$ This Excel The utility has all the Amended Income Tax Section as per Budget 2020

$ This Excel Utility prepares automated Tax Calculation as per Section 115BAC as New and Old Tax Regime.

$ This Excel the utility can prepare automated Revised Form 16 Part B

$ This Excel The utility can prepare automated Revised Form 16 Part A&B

$ This Excel Utility Prepare automated Arrears Relief Calculator U/s 89(1) with Form 10E from the F.Y.2000-01 to F.Y.2020-21

$ This Excel Utility automated calculate House Rent Exemption Calculation U/s 10(13A)

$ Automatic Convert the Amount into the In-Words without any Excel Formula.

Download Automated Income Tax Preparation Excel Based Software All in One for Non-Govt Employees for F.Y.2020-21 as per Budget 2020 With New versus Old tax regime: Analyses the benefits before making your choice

Under the simple system, it is not possible to claim some concessions and exemption.

In the Budget 2020 has introduced a simple personal tax system to reduce the tendency of income tax income of individuals. This new regime provides an option for individuals to pay taxes at a reduced rate subject to certain discounts and rebates. The following is a quick comparison of tax rates.

Individuals can consider the following to decide which system will work best for them. Under simplification, it is not possible to claim specific exemptions and rebates. There are discounts and rebates widely used by the people listed below and which will not be available under the new tax discipline. In addition to.

The loss under the heading ‘Income from House Property’ (probably due to interest from a home property) cannot be set against the income under the other head, but it appears to have been set up. For those who have business income, deductions, investments in new plants and equipment, tea, coffee, rubber development, certain businesses, agricultural extension projects and scientific research expenses cannot be taken under the new tax system.

Application of this option for persons who do not have a business / professional income during the year: Although this the option can be used by individuals when filing returns, it was not clear until recently whether they could decide on new measures for employers to deduct taxes. The lack of activation of amendments to the tax exemption provisions in the Finance Act 2020 has created confusion among employers as to whether they can apply the new tax system at the time of tax exemption. Subsequently, the Central Board of Direct Taxes (CBDT) issued a clarification on April 13, 2020, to avoid inconvenience to individual taxpayers wishing to adopt the new tax option.

If no investigation is arranged, the employer will be able to withhold the tax under the old system. Also, the employee may notify the employer only once per financial year and the information may be provided at any time during the financial year.

Once withdrawn, he will be ineligible to use the new government option for any future year, unless his business / professional income ceases. Can employees change the regime while filing tax returns? The person can opt for the new year and notify the employer at the beginning of the financial year. However, as the year went on he realized that the old regime could work better for him because of the projected income and exemptions. In such cases, it is not necessary for the employee to continue with the elected and declared regime with his employer.

Also, although it is possible to change from one scheme to another at the time of filing the tax return, the additional taxes may be deposited by the employer as the government-appointed at the beginning of the financial year. These additional taxes have to be claimed as refunds from the tax authorities which can lead to cash flow problems for the individual.

Although the individual will be aware of his or her salary income, the following factors should be considered for the administration to administer fairness: – Income other than salary income (e.g., interest income, dividend / mutual fund income, etc.) –

An unexpected increase in the year and bonus money year will be acceptable for-expectations for the fiscal year-for estimating the appropriate home rent allowance in the case of rent payable for the year

The year in which he expects the travel plan to claim a holiday travel allowance is a welcome amendment to simplify the new tax system.

However, thoughtful analysis is required to select the appropriate measures for the individual.

Download Automated Income Tax Preparation Excel Based Software All in One for Non-Govt ( Private) Employees for the Financial Year 2020-21 and Assessment Year 2021-22 with the new tax section 115BAC ( New Tax Regime and Old Tax Regime) As per the Budget 2020.

Feature of this Excel Utility:-

1) Automated calculate your Tax in Tax Computed Sheet as per the New Section 115BAC ( New Tax and Old Tax Regime)

2) This Excel Utility can prepare at a time your Tax Computed Sheet + Automatic Income Tax House Rent Exemption Calculation U/s 10(13A) + Automated Income Tax Form 12 BA + Automated Income Tax Revised Form 16 Part A&B and Form 16 Part B

3) Easy to install and easy to generate, just like as an Excel File.

4) All in the amended Income Tax Section have in this Excel Utility as per Budget of 2020.

5) This Excel Utility have a Salary Structure as per the all Non- Govt ( Private ) Concerns Salary Pattern.

Download Automated Income Tax Preparation Excel Based Software All in One for Govt & Non-Govt employees for F.Y.2020-21 as per Budget 2020 & New Tax Structure U/s 115BAC clarified From the Budget 2020 for F.Y.2020-21

The Income Tax Office expresses that any representative can change the tax structure right now of recording the annual tax return’s. TDS will be balanced similarly The Income Tax Office has a genius clarification for all individuals who need to pick new tax pieces The lower personal tax rates, as reported in the 2020 financial plan, came in April 2020.

The old tax Slab will continue as before for the remainder of the year, so people should pick between the two. Tax specialists state that a person ought to pick another tax structure or depend on the previous dependent upon the situation because, under this new lower tax rate, one should desert a gigantic proportion of reasoning that can assist one with diminishing tax income.

Under the new tax rate, there is zero obligation on the pay of more than two million dollars; 5% for money from 2.5 million to ₹ 5 million; 5% to .5 10% for money up to 7.5 lakhs; Income 15% for money extending from 5 7.5 million to 10 million; 20% for money going from 10% to .5 12.5 million; Income 25% for money running from .5 12.5 million to 15 million; 15 million for money more than 30 million.

This is what the Income Tax Department has explained:

1) Employees ought to teach their officers about the desire for picking another tax structure with a definitive reason for source or TDS from their pay instead of pay from business or calling.

2) If such an alternative isn’t cleared by a worker, he will keep on collecting tax on additionally arranged irregularities in the IT Act.

3) Once the new markdown tax rate choice desires have been amended with the business, Due to TDS it will be important for the year and can’t be changed.

4) The Income Tax Office says that the worker can change the tax structure alternative while recording the personal tax return and the level of TDS bit will be balanced similarly. The deductor will list his all-out pay and deduct the TDS (tax deducted at source) as of now as per the system of Section 115 BAC of the (Income Tax) Act. In any case, the business will make TDS, “the personal tax office said.

5) According to the 116 BBC, the new personal tax office introduced in the present financial plan of 2020, clearly, representatives (essentially the individuals who don’t win from business or calling) can not change the rehearsal decision to support the deducted TDS now. Change it generally during tax recording. “(With office input) The deductor will list his all-out salary and deduct the TDS (tax deducted at source) at such occasions according to the procedure of Section 11 115 BAC of the (Income Tax) Act.

On the off chance that such a sign isn’t given by the representative, the Income Tax Department will make TDS on the business without considering the system of 114 BC, “said the Income Tax Department. Or on the other hand, don’t procure from calling) I would now be able to change the rehearsal decision to support deducted TDS Most of the time it isn’t suggested for recording taxes Change “(with office inputs)

The deductor will list his complete pay and deduct the TDS (tax deducted at source) at such occasions according to the methodology of Section 115 BAC of the (Income Tax) Act. If such a sign isn’t given by the representative, the business will make TDS without considering the technique of the Income Tax Department 114 BC, “said the Income Tax Department. 5) According to the new Income Tax Department’s 116 BBC introduced in the 2020 spending plan, Or don’t gain from calling) I would now be able to change the rehearsal decision to support deducted TDS Most of the time it isn’t suggested for recording taxes Change “(with organization inputs)

Download Automated Income Tax Preparation Excel Based Software All In One for Govt and Non-Govt employees for the Financial Year 2020-2021 & Assessment Year 2021-22

+ This Excel Utility Can prepare at a time your Tax Computed Sheet as per your option U/s 115BAC Old Tax The regime or New Tax Regime

+ Automated House Rent Exemption Calculation U/s 10(13A

+ Automated Income Tax Arrears Relief Calculator U/s 89(1)

+ Automated Income Tax Individual Salary Structure for both Govt and Non-Govt Employees as per their Salary Structure + Individual Salary Sheet

+ Automated Income Tax Revised Form 16 Part A&B and Form 16 Part B ]

How to calculate income tax benefits in a joint home? With Automated Income Tax Preparation Excel Based Software All in One for Non-Govt (Private) Employees for F.Y.2020-21 with New & Old Tax Regime as per Budget 2020

In the latest budget 2020, the finance minister announced that the limit on tax incentives on interest paid on borrowed funds for self-acquired houses would be increased.

If it is in the case of joint ownership, the tax benefit is also doubled. According to the income tax rules, all the joint owners can avail the tax benefits on a joint home loan on the basis of certain conditions which need to be met. Benefit of Joint Ownership

It should be kept in mind that housing loan buyers can avail the income tax benefit under Section 80C, 80CC, 80D, Under 24 (b) can accept a combination of different discounts and discounts. EMI is the monthly installment (EMI) equivalent to a home loan.

Benefit of Joint Ownership.

It consists of two parts – interest and capital repayment. The income tax benefit on capital payments or major parts comes under the limit of 80C, the maximum limit per year. The interest portion falls under section 24 (b) and the limit for self-occupied house is Rs. 2 lakhs.

Important Condition to Met Before Claiming Tax Benefit in Joint Name

.However, Any housing loan of Rs 40 lakh at an annual interest rate of 10% will earn interest of about Rs 44 lakh in the initial financial year. According to the Income Tax Act, a single borrower can get a tax benefit .

Conclusion, a big savings for other investments. Important conditions to be fulfilled before claiming tax benefit in joint name The following guidelines must be fulfilled before claiming income tax benefits for joint ownership home. Important Condition to Met Before Claiming tax break in Joint Name

1. Both the houses should be registered in the name of the recipient.

2. The share of rights over the property should even be clearly mentioned within the registry papers.

3. The division of interest on the basis of the share of property rights may be claimed in the same proportion by each co-applicant. Example: Suppose a home ownership ratio of 50:50.

Download Automated Income Tax Preparation Excel Based Software All in One for Non-Govt Employees for F.Y.2020-21 & A.Y.2021-22 with New & Old Tax Regime as per Budget 2020

Feature of this Excel Utility :-

1) This Excel utility prepare as per the Finance Budget 2020 with New Section 115BAC New and Old Tax Regime.

2) This Excel Utility have the Salary Structure as per all Non-Govt ( Private ) Concerned Salary Pattern.

3) This Excel utility can prepare at a time your

(1) Your Income Tax Computed Sheet as per Budget 2020

(2) Automated Income Tax Calculation of House Rent Exemption U/s 10(13A)

(3) Automated Prepare Income Tax Revised Form 16 Part A&B and Part B

(4) Automated Prepare the Income Tax Form 12 BA

(5) The instruction has in this Utility how to choose the New and Old Tax Regime, so you can easy understand which Regime you will be benefited.

(6) This Excel Utility have all the amended Income Tax Section as per Budget 2020

Tax Planning – How to save income tax in F.Y 2020-21 (AY: 2021-22), With Automated Income Tax Master of Form 16 Part B which can prepare at a time 50 employees Form 16 Part B for the F.Y.2020-21 as per Budget 2020 with New Section 115BAC

Income Tax Slabs

In the Budget 2020 is Introduce a new Section 115 BAC in this Budget 2020, where taxpayers can opt for all the alternative benefits (as in the old tax regime) or opt-in to the new tax regime, where they cannot qualify for the tax exemption.

And he’s getting the new tax slab. Personal tax slab Introduce another section 115BAC in Budget 2020, in which the tax slab can use the tax slab as the old tax regime for the previous financial year and the new tax slab as the new tax regime for the financial year 2020-21.

Income Tax Exemptions:

1) Section 80 C ( For who Opt-in as Old Tax Regime

The discounted value of the premium paid for the method of actual existence inclusion, taken after April 1, 2020, will only be allowed if the annual premium is below 10% of the total. If it is more than 10% then it will not be eligible for u / sec discount till then. 80C , ELSS (Mutual Fund) PPF (up to Rs. 1,50,000) P EPF ,FD for five years Pension plan NSC.

Education Expenditure on child education (for full-time guidance only for 2 children) Expenses for training (excluding tuition development fees, grants, etc. only) Housing loan principal

Applied anniversaries Approved Super Annotation Fund Theories under the Sukanya Samriddhi Scheme. No doubt, even interest is redeemed.

2) Section 80CCD (2) – Old and New Tax Regime can entitled this benefits as per Budget 2020)

Discounts under this section can only be guaranteed if your NPS account is handled by your supervisor and the discount is limited to 10% of your basic salary. The benefits for NPS are tax-free, whatever the withdrawal is still taxable. Exemption under Section 80CCD (2) is a long way from exemption under Section 80C. The maximum discount allowed is Rs. 50,000.

3) Section 80 D – Eligible who are Opt-in the Old Tax Regime

Exemption under section 80D . 25000 / – is allowed if the discount is taken for self / wards or if it is paid as premium as compared to medical insurance towards preventive enrollment enrollment (maximum Rs. 5000). If any of the self / wards are senior residents, the approved Rebate is Rs. 50000 / – . 15000 / – is allowed as a discount if the extra money is paid as premium as compared to the medical insurance taken for the gatekeepers. If the parents are a senior professional, the allowance is Rs. 30000 / –

4) Section 80 CCD (1B) – Rs. 50,000/- out of Max Limit of U/s 80C 1.5 Lakh

5) Section 80 DD – Eligible who are Opt-in the Old Tax Regime

Under section 80DD Treatment Exemption for use for crippled dependence on treatment / training / rehabilitation. It also includes LIC / insurance premiums paid to assist dependents. Allowed Maximum Discount, 0005,000 / – if any event of general weakness and Rs. 1.25 lakh if there is a real shortage.

6) Section 80E – Eligible who are Opt-in the Old Tax Regime

Part of the higher education credit is allowed for interest payments. All preparation is allowed after class 12, either specialist or full time. However, the school / foundation / university must be seen by the board of directors.

7) Section 80G – Eligible who are Opt-in the Old Tax Regime

Obligation Release Obligation – 50/100 ending on behalf of the organization and as approved 100% discount mp in case of blessing in o logical ideological assembly

8) Section 80U – Eligible who are Opt-in the Old Tax Regime

Discounts up to Rs. Should be an event of permanent disability if Rs. 75,000 / – is allowed. 80 If any event of permanent disability arises beyond 60%, the amount of the most objectionable discount is 1,25,000 / -.

9) Section 24(B) + 80EE – Eligible who are Opt-in the Old Tax Regime

Maximum Extraordinary Permitted Limit U / s 24 (B) Rs. 200,000 (for loans taken after 19 April 199 after that the maximum investment limit for the credit was 30,000).

An additional discount of Rs. 1 lakh for first house development persons Rs. 25 lakh for property worth 25 lakh. For 40 lakh such persons, the full scale discount will be Rs. 2.5 lakhs (1.5 lakhs open under section 24 (1) (vi) and 1 lakh available under this new section 80EE). .

10) HRA – Eligible who are Opt-in the Old Tax Regime

Any house rent paid to an agent is tax-free up to the original estimate of the travel allowance (subject to conditions – when a worker may pay rent receipts from the landlord for a period of time and if the representative does not avail tax exemption for house development) interest / Principal payment):

1. Half of the Annual Basic (40% of the Annual Basic if any uplift of non-metros is required)

2. Received authentic HRA

3. Rent – (10% of annual Basic)

Download Automated Income Tax House Rent Exemption Calculator U/s 10(13A)

Income Tax H.R.A. Exemption Calculator U/s 10(13A)

11) Section 80TTA – Savings Bank Interest – Eligible who are Opt-in the Old Tax Regime

It is estimated that no tax will be levied on the premium on the balance of the financial record which is far from Rs. 10,000.

12) Section 87A – Tax Rebate – Eligible who are Opt-in the Old Tax Regime

Tax rebate of Rs 12,500/- will be given to all those whose total annual income is up to Rs. 5,00,000

Download Automated Income Tax Master of Form 16Part B in Revised Format for the F.Y.2020-21 & A.Y.2021-22

Feature of this Excel utility:-

1) This Excel Utility can use Government and Non-Government Concern

2) This Excel Utility prepare the Form 16 Part B as the New & Old Tax Regime U/s 115BAC

3) You can also treat this Excel Utility as Income Tax Calculator as well as Tax Liability of each employees for the Financial Year 2020-21 U/s 115BAC ( New & Old Tax Regime)

4) This Excel Utility can prepare at a time 50 Employees Revised Form 16 Part B for F.Y.2020-21 as per New Section 115BAC

5) This Excel Utility can prevent the double entry of employee’s Pan Card Number automatically.

6) This Excel Utility has all the Income Tax Modified Section as per the Budget 2020

7) This Excel Utility easy to use and easy to generate just like as an Excel File.

New Tax System U/s 115BAC Introduced by the Budget 2020 for F.Y.2020-21 With Automated Income Tax Preparation Excel Based Software All in One for Govt & Non-Govt Employees for F.Y.2020-21 as per Budget 2020

The Income Tax Office states that any employee can change the tax structure at the moment of filing the income tax returns. TDS will be adjusted in the same way The Income Tax Office has a mastermind explanation for all people who need to choose new tax pieces The lower income tax rates, as announced in the 2020 budget, came in April 2020.

The old tax divisions will remain the same for the rest of the year, so individuals will have to choose between the two. Tax experts say that a person should choose a new tax structure or rely on the former on a case-by-case basis because, under this new lower tax rate, one should abandon a huge measure of thinking that can help one reduce tax revenue.

Under the new tax rate, there is zero duty on the income of two and a half million dollars; 5% for income from 2.5 million to ₹ 5 million; 5% to .5 10% for income up to 7.5 lakhs; Income 15% for income ranging from 5 7.5 million to 10 10 million; 20% for income ranging from 10% to .5 12.5 million; Income 25% for income ranging from .5 12.5 million to 15 15 million; 15 million for income over 30 million.

Here’s what the Income Tax Department has clarified:

1) Employees should educate their officers about the expectation of choosing a new tax structure with the ultimate purpose of source or TDS from their compensation rather than income from business or calling.

2) If such an option is not cleared by an employee, he will continue to levy a tax on further orchestrated inconsistencies in the IT Act.

3) Once the new discount tax rate selection expectations have been revised with the business, Due to TDS it will be relevant for the year and cannot be changed.

4) The Income Tax Office says that the employee can change the tax structure option while recording the income tax return and the degree of TDS bit will be adjusted in the same way. The deductor will list his total income and deduct the TDS (tax deducted at source) at this time by the strategy of Section 115 BAC of the (Income Tax) Act. Otherwise, the business will create TDS, ”the income tax department said.

5) According to the 116 BBC, the new income tax department presented in the current budget of 2020, obviously, employees (basically those who do not earn from business or calling) can not change the rehearsal choice to encourage the deducted TDS now. Change it for the most part during tax recording. “(With agency input) The deductor will list his total income and deduct the TDS (tax deducted at source) at such times as per the strategy of Section 115 BAC of the (Income Tax) Act.

If such an indication is not given by the employee, the Income Tax Department will create TDS on the business without considering the strategy of 114 BC, “said the Income Tax Department. Or do not earn from calling) I can now change the rehearsal choice to encourage deducted TDS Most of the time it is not recommended for recording taxes Change “(with agency inputs)

The deductor will list his total income and deduct the TDS (tax deducted at source) at such times as per the strategy of Section 115 BAC of the (Income Tax) Act. If such an indication is not given by the employee, the business will create TDS without considering the strategy of the Income Tax Department 114 BC, “said the Income Tax Department.

5) According to the new Income Tax Department’s 116 BBC presented in the 2020 budget, Or do not earn from calling) I can now change the rehearsal choice to encourage deducted TDS Most of the time it is not recommended for recording taxes Change “(with agency inputs)

Download Automated Income Tax Preparation Excel Based Software All In One for Govt and Non-Govt employees for the Financial Year 2020-2021 & Assessment Year 2021-22 [ This Excel Utility Can prepare at a time your Tax Computed Sheet as per your option U/s 115BAC Old Tax The regime or New Tax Regime + Automated House Rent Exemption Calculation U/s 10(13A + Automated Income Tax Arrears Relief Calculator U/s 89(1) + Automated Income Tax Individual Salary Structure for both Govt and Non-Govt Employees as per their Salary Structure + Individual Salary Sheet + Automated Income Tax Revised Form 16 Part A&B and Form 16 Part B ]

Download Automated Income Tax Preparation Excel Based Software All in One for Govt & Non-Govt Employees for F.Y. 2020-21 With Old & New Tax Regime as per Budget 2020

How to do Income Tax Calculation for FY 2020-21? Which Tax Structure to Choose?

Here is the answer to these inquiries!

According to Budge 2020, you cannot claim any tax deduction or exception if you plan to opt for a new tax structure. Along these lines, as an individual taxpayer if you opt for the new tax regime with lessening tax rate you need to forgo all tax breaks available today. Fortunately, you have the option to proceed with the old tax structure. A salaried individual can switch among old and new tax structure.

Firstly, we will talk about which tax deduction and exception you need to forgo in case you opt for new tax structure with diminishing the tax rate. Secondly, we will take a few experiments and do income tax calculation for FY 2020-21 to realize which tax structure to choose?

Rundown of Tax Deductions and Exclusion not allowed in new Tax Structure

1 Tax Deduction Under Section 80C ( But If you Opt-in as Old Tax Regime you can get this benefit)

The most popular tax deduction of 1.5 Lakh under section 80C isn’t applicable for new tax structure. This means you cannot claim any benefit for the speculation made in the instruments, for example, PF, PPF, Life insurance premium, school education costs of kids, ELSS, PPF, NPS and so on.

You can claim deduction under section 80CCD for the employer commitment on account of an employee for NPS.

2 Tax Deduction Under Section 80D ( But If you Opt-in as Old Tax Regime you can get this benefit)

No tax deduction is allowed for the medical insurance premium and preventive health test under section 80D for new tax structure.

3 No LTA Benefits But if you Opt-in as Old Tax Regime you can get this benefits

For new tax structure LTA – Leave travel allowance exclusion which is currently available to a salaried employee for twice in a square of four years isn’t allowed.

4 HRA Exemption U/s 10(13A) ( But If you Opt-in as Old Tax Regime you can get this benefit)

HRA is house lease allowance. HRA is paid to salaried individuals by an employer as a part of a salary. The earlier taxpayer was able to claim HRA up to a certain cutoff. In a new tax structure, it isn’t admissible.

5 Standard Deduction ( But If you Opt-in as Old Tax Regime you can get this benefit)

A standard deduction benefit of Rs.50000 currently available to the salaried taxpayer isn’t applicable in new tax slab.

6 Section 80TTA Benefits ( But If you Opt-in as Old Tax Regime you can get this benefit)

Section 80TTA gives a deduction of Rs.10000 on intrigue income. On a new tax regime, this benefit isn’t available. ( But If you Opt-in as Old Tax Regime you can get this benefit)

7 Section 80DDB Benefits ( But If you Opt-in as Old Tax Regime you can get this benefit)

Benefits for disability under section 80DDB up to Rs.40000 not available in case you are planning to opt for new diminished tax structure.

8 Section 80E Education Loan ( But If you Opt-in as Old Tax Regime you can get this benefit)

Tax break reasonable on the intrigue paid on education loan won’t be, claimable under section 80E.

9 Section 80G of Donation ( But If you Opt-in as Old Tax Regime you can get this benefit)

You had the option to make a donation under section 80G and claim income tax benefit of equivalent amount. The said deduction isn’t available in the diminished tax structure.

10 Section 24 Home Loan Intrigue ( But If you Opt-in as Old Tax Regime you can get this benefit)

Under section 24 of the Income-tax Act, an individual was able to claim a tax deduction on the intrigue payment on the lodging loan up to a maximum amount of Rs.200000. This benefit isn’t expanded if you opt for a new tax structure.

To put it Old Tax Regime, all deduction applicable under chapter VIA like section 80C, 80CCC, 80CCD, 80D, 80DD, 80DDB, 80E, 80EE, 80EEA, 80EEB, 80G, 80GG, 80GGA, 80GGC, 80IA, 80-IAB, 80-IAC, 80-IB, 80-IBA, and so on) won’t be claimable by those opting for the new tax regime.

Presently how about we calculate actual tax the benefits by doing Income Tax Calculation and comparing both the tax structures in various cases.

Case 1 – Salaried Individual claiming regular deduction (80C,80D) and Home Loan Benefits

In the first case, I will take an example of a salaried individual with an income of 20 Lakh and 10 Lakh. How about we consider in both the cases individual takes benefits of standard the deduction Rs.50000, deduction of Rs.1.5 Lakh under section 80C, Rs.25000 under section 80D and Enthusiasm on a home loan up to Rs.200000.

Presently two options are available to the salaried individual. First, he/she can opt for old tax structure with all above deduction or he/she can forgo all deduction and opt for new diminished tax structure.

If an individual has an annual income of 20 Lakh and old tax structure has opted with tax deductions. Applicable tax is 2.85 Lakh. If a new tax structure is adopted applicable tax amount is 3.37 Lakh. Similarly, if annual income is 10 Lakh and old tax structure is adopted applicable tax is Rs.27500. For the new tax structure, the applicable tax is Rs.75000. The calculation is given beneath.

Gross Income Rs/-	Tax as per Old Tax Structure Rs/-	Tax as per New Tax Structure Rs/-	Additional Tax Saving Rs/- / Payable
7.5 Lakh	18200	39000	-20800
10 Lakh	70200	78000	-7800
12.5 Lakh	124800	130000	-5200
15 Lakh	202800	195000	7800
20 Lakh	358800	351000	7800

Case 2 – Salaried Individual claiming basic deduction under section 80C, 80D and Standard Deduction

In the subsequent case how about we assume that salaried individual is taking full benefits of section 80C, 80D and standard deductions as of now. Under a new tax regime, these deductions are not applicable. Assume the income level of an individual is 10 Lakh. If the old tax regime is chosen payable tax is Rs.70200 then again if the new tax regime is chosen payable tax is Rs.78000.

Gross Income Rs/-	Tax as per Old Tax Structure Rs/-	Tax as per New Tax Structure Rs/-	Additional Tax Saving Rs/-
7.5 Lakh	54600	39000	15600
10 Lakh	106600	78000	28600
12.5 Lakh	179400	130000	49400
15 Lakh	257400	195000	62400
20 Lakh	413400	351000	62400

Conclusion

From the above cases example, clearly in the vast majority of the cases, old the tax rate with deduction offers higher tax benefits. The new diminished tax rate is beneficial only if you are not claiming any deductions as of now. (which is very rare)

If you have a home loan and higher income you will get higher tax benefits in the old tax rate compared to a new tax rate.

Download Automated Income Tax Preparation Excel Based Software All in One for both Government and Non-Government Employees for the Financial Year 2020-21 and Assessment Year 2021-22 as per the Budget 2020.

First, look at the above V.D.O. how to calculate this Excel Utility step by step

Feature of this Excel Utility:-

1) This Excel Utility most handy and easy to generate just like an Excel File.

2) This Excel Utility have all the particulars about Government and Non-Government Concern’s Salary Pattern

3) This Excel Utility can prepare at a time your Income Tax Computed Sheet + Automated Income Tax Arrears Relief Calculation U/s 89(1) with Form 10E From the F.Y.2000-01 to F.Y.2020-21 (Update version)

4) This Excel Utility can calculate automatically your House Rent Exemption Calculation U/s 10(13A) ( If you Opt-in as Old Tax Regime)

5) This Excel Utility Prepare Automated Form 16 Pat A&B ( Who are not able to download the Form 16 Part A from the TRACES PORTAL)

6) This Excel Utility Prepare Automated Income Tax Revised Form 16 Part B for F.Y.2020-21

7) The utility has the Individual Salary Structure and Individual Salary Statement

8) After filling the First page of this Excel Utility all calculations and all of the Income Tax Forms will be completed.

9) This Excel Utility can use both of Old Tax Regime and New Tax Regime U/s 115 BAC as per Budget 2020

Income tax deduction U/s 80C With Automated Income Tax Revised Form 16 Part B for F.Y.2020-21 & A.Y.2021-22 as per Budget 2020( New Tax Regime and Old Tax Regime U/s 115BAC)

In chapter VIA of the income tax act, 1961, the most widely used option to save tax is section 80C. This section allows an individual and HUF to save tax by investing in or spend on certain specified avenues. The maximum limit up to which you can claim tax deduction under section 80C is Rs 1,50,000 for the financial year 2018-19 and 2019-20.

In this article, we will discuss certain expenses which are allowed as a deduction under section 80C before calculating tax payable on your taxable income. Before discussing please note, you can claim deduction only when you have spent money during the previous year on listed expenses.

Why to claim a tax deduction

By claiming tax deduction of up to Rs 1,50,000, you reduce your taxable income by which you will be required to pay less or zero tax. For instance if your gross total income for the financial year 2019-20 is Rs 6,50,000 and you have invested or spent money during the year on specified avenues, then after taking deduction as per your eligibility you can reduce your total taxable income to Rs 5,00,000. In such case, you will not be liable to pay tax as you will be eligible for tax rebate of Rs 12,500 under section 87A.

Tuition fees for children

Tuition fee paid for children qualifies for tax benefit under section 80C of the IT Act, 1961 within the overall limit of Rs 1,50,000.

Tuition fee that is paid at the time of admission or anytime during the financial year to any registered university, college, school or educational institution based in India qualifies for section 80C tax deduction. It can be a private or government institution.

However, please note only full-time education including any play school activities, pre-nursery and nursery classes are eligible. Tuition fee paid for part-time courses is not eligible for a tax deduction.

Section 80C restricted the deduction for tuition fee to two children per individual. This means you can claim a tax deduction only up to two children. But if both husband and wife are paying tuition fee for their child then each of them will be eligible up to 2 children each.

Following fees paid to the registered university, college, school or educational institutions do not covered for section 80C benefits;

Development fee
Donation
Capitation fee

Tax deduction for principal payment of home loans

Section 80C allows repayment of the principal amount of home loan as a tax deduction up to the maximum limit of Rs 1,50,000. As discussed in the case of tuition fees, this limit is the total of all eligible deductions allowed under section 80C including contributions to public provident fund, sukanya samridhi yojana, payment of life insurance premium, 5 Years fixed deposits, equity-oriented mutual fund, NSC, senior citizen saving schemes, tuition fees etc.

Tax deduction for principal payment of the home loan is available for the amount which is paid during the financial year. It does not matter whether payments are related to earlier or future years.

Tax benefits for repayment of the principal amount of home loan are allowed only when the construction is complete and the completion certificate has been awarded. This means a deduction will not be allowed under section 80C for repayment of the principal amount for those years during which the property was under construction.

In case the assessee transfers the house property on which he has claimed tax deduction under section 80C before the expiry of 5 years from the end of the financial year in which the possession has been obtained by him, then no deduction and tax benefit on home loan shall be allowed under this section. Aggregate amount of tax deduction already claimed in respect of previous years shall be deemed to be the income of the assessee of such year in which the property has been sold. Therefore, assessee shall be liable to pay tax on such income.

Section 80C deduction for payment of principal amount on home loan is allowed only when the loan has been taken for purchase or construction of a new house property. It’s not allowed as a deduction if loan has been taken for repair or renewal or reconstruction of a residential house property.

Stamp duty and registration fee for purchase or construction of a home

Amount paid towards stamp duty and registration fees for purchase or construction of a home are allowed as a tax deduction under section 80C within the overall limit of Rs 1,50,000.

It’s not a regular deduction that you get every year. If you have paid, then that amount can be claimed as a tax deduction under section 80C in addition to all other eligible deductions within the limit of Rs 1,50,000.

Apart from these expenses, you can also invest in any or all of the investment options listed under section 80C to get the full benefit of section 80C. Here is a list of the 6 most important investment options listed in section 80C to get tax deduction;

Public provident fund – PPF
Employee provident fund – EPF
Unit linked insurance plan – ULIP
Life insurance plan
Sukanya samridhi yojana – SSY
Equity-linked saving schemes – ELSS

Download And Prepare at a time 50 employees Salary Certificate Revised Format of Form 16 Part B for the Financial Year 2020-21 and Assessment Year 2021-22

Feature of this Excel Utility

1) This Excel Utility can prepare at a time 50 Employees Form 16 Part B for F.Y.2020-21 as per the New Tax Slab as published by Budget -2020.

2) This can use this Excel Utility both for Govt and Non-Govt Concern’s.

3) This Excel Utility can use both who are willing to opt-in as New Tax Regime or Old Tax Regime As per Budget 2020

4) This Excel utility can prevent the double or wrong entry of Pan Number automatically

5) This Excel Utility can given the Option to each employee to Old Tax Regime or New Tax Regime U/s 115BAC (Budget – 2020)

6) All the Income Tax Section have in this Excel Utility as Provided by the Income Tax Department ( Only for Old Tax Regime)

7) New Income Tax Slab as per Budget 2020

8) Automatic Convert the Amount in to the In-Word without any Excel Formula

9) This Excel Utility is handy and easy to generate just like as an Excel File.

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+ This Excel Utility Can prepare at a time your Tax Computed Sheet as per your option U/s 115BAC Old Tax The regime or New Tax Regime

+ Automated House Rent Exemption Calculation U/s 10(13A

+ Automated Income Tax Arrears Relief Calculator U/s 89(1)

+ Automated Income Tax Individual Salary Structure for both Govt and Non-Govt Employees as per their Salary Structure + Individual Salary Sheet

+ Automated Income Tax Revised Form 16 Part A&B and Form 16 Part B ]

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Benefit of Joint Ownership.

Important Condition to Met Before Claiming Tax Benefit in Joint Name

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Income Tax Slabs

1) Section 80 C ( For who Opt-in as Old Tax Regime

2) Section 80CCD (2) – Old and New Tax Regime can entitled this benefits as per Budget 2020)

3) Section 80 D – Eligible who are Opt-in the Old Tax Regime

4) Section 80 CCD (1B) – Rs. 50,000/- out of Max Limit of U/s 80C 1.5 Lakh

5) Section 80 DD – Eligible who are Opt-in the Old Tax Regime

6) Section 80E – Eligible who are Opt-in the Old Tax Regime

7) Section 80G – Eligible who are Opt-in the Old Tax Regime

8) Section 80U – Eligible who are Opt-in the Old Tax Regime

9) Section 24(B) + 80EE – Eligible who are Opt-in the Old Tax Regime

10) HRA – Eligible who are Opt-in the Old Tax Regime

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Why to claim a tax deduction

Tuition fees for children

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Stamp duty and registration fee for purchase or construction of a home

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