Saturday, 13 July 2013

new with Income Taxes and e-Filing this year

Changes in e-Filing this year onwards
  • E-Filing is compulsory for people earning more than Rs. 5Lakhs. This refers to the total income amount after claiming tax deductions like section 80 deductions. 
  • You will need to enter the IFSC code instead of MICR code while specifying your account details.
  • For getting refund via ECS (i.e. directly into your bank account), you have to specify an 11-digit number Bank Account Number.
    If you do not have an 11-digit bank account number, then you have to request your refund via cheque. 
  • You will have to file the ITR-2 in case of exempt income exceeding Rs. 5,000. Common examples of Exempt Income are PPF interest. Dividend earned from shares etc.
  • Remember to claim Section 80TTA: Everyone should declare their Bank Interest Income and then claim this deduction. 
  • Section 80D (Preventive Healthcare Expenses)
  • You can claim up to Rs. 5000 for preventive Healthcare Expenses. (The expenditure could have been in cash too)
  • Declaration of Assets and Liabilities for Business people:If you earn Income from Business or Profession and your Total Income exceeds Rs. 25 Lakhs, you have to provide the details of all your personal and business Assets & Liabilities in Income Tax return itself. This is for people filling in ITR-3 and ITR-4 only. 
  • Foreign Income declaration: Income earned from foreign countries has to be declared in the ITR. This is in addition declaration of all
  • foreign assets in your I-T Return.

1 comment:

  1. E-fing is great it creates an audit trail.

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