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The Income Tax Department appeals to taxpayers NOT to respond to such e-mails and NOT to share information relating to their credit card, bank and other financial accounts.
This calculator enables valuation of perquisite for medical facility provided to an employee by his employer in India or outside India
Treatment of medical facility provided by the employer to employee is as follows:
Medical facility In India
Note: Fixed medical allowance given by employer to employee is fully chargeable to tax.
Medical facility outside India
Expenditure incurred by the employer on medical treatment of employee is taxable subject to the conditions given below:-
This calculator enables calculation of taxable value of perquisites in case the employer provided rent free accomodation to its employees
Rent Free Accommodation
Rent free accommodation given by employer to employee shall be treated as perquisites in hands of employee and income tax would be levied in the manner specified below:-
Calculation of perquisite value, is given hereunder:
License fees determined by the Central or state government minus Rent paid by employee (if any)
* Population as per 2001 census
Rent paid by the employer or 15% of salary (whichever is lower) minus rent paid by employer.
This calculator enables calculation of taxable and exempt portion of Transport allowance given to an employee by his employer
This calculator enables calculation of taxable and exempt portion of Children Education and Hostel Allowance given to an employee by his employer
Children education and hostel allowance
Children education allowance (by whatever name called) is exempt upto Rs. 100/- per month per child up to a maximum of two children.
Further, any allowance granted to an employee to meet the hostel expenditure on his child (whatever name called) is exempt upto Rs. 300/- per month per child up to a maximum of two children.
House rent allowance received by an employee is taxable. However exemption is available under section 10(13A). This calculator enables calculation of taxable and exempt portion of HRA
House Rent Allowance Calculator
House rent allowance received by an employee is taxable. However exemption is available under
section 10(13A). The exemption is based on certain set of conditions.
Exemption for House rent allowance is regulated by
rule 2A. The least of the following is exemption from tax:
a. an amount equal to 50 per cent of salary, where the residential house is situated at Bombay, Calcutta, Delhi or Madras and an amount equal to 40 per cent of salary where the residential house is situated at any other place;
b. house rent allowance received by the employee in respect of the period during which the rental accommodation is occupied by the employee during the previous year; or
c. the excess of rent paid over 10 per cent of salary.
The taxable HRA is a part of income from salaries. While filing Income-tax return, the same should be shown under the income from salary.
This calculator allows to calculate the Total Income and Tax thereon alongwith interest under section 234 A/B/C
Income and Tax Calculator
Section 80C to
80U provides certain deductions which can be claimed from Gross Total Income (GTI). After claiming these deductions from GTI, the income remaining is called as Total Income. In other words, GTI
less Deductions (under
section 80C to
80U) = Total Income (TI). Total income can also be understood as taxable income. Following table gives a better understanding of the difference between GTI and TI :
Computation of gross total income and Taxable Income
Note : Inter source losses, inter head losses, brought forward losses, unabsorbed depreciation, etc., (if any) will have to be adjusted (as per the Income-tax Law) while computing the gross total income.
Click here to view the detailed document on Treatment of Income from Different Sources
Click here to view prevalent tax rates
This calculator allows you to calculate the provisions required to be made for deferred tax as per provisions of AS 22
Deferred Tax Calculator
Deferred Tax is the tax effects of Timing Difference. The whole concept of deferred tax is depend on timing difference. Before proceeding further we need to understand the meaning of Accounting Income and Taxable Income.
Accounting income (loss) is the net profit or loss for a period, as reported in the statement of profit and loss, before deducting income tax expense or adding income tax saving.
Taxable income (tax loss) is the amount of the income (loss) for a period, determined in accordance with the tax laws, based upon which income tax payable (recoverable) is determined.
As per AS-22 Timing differences are the differences between taxable income and accounting income for a period that originate in one period and are capable of reversal in one or more subsequent periods.
In Simple words, Timing Difference is those items of Expense/Income which creates difference between Accounting Income and taxable Income of a period and subsequent period.
This calculator allows you to compute your tax liability on mere input of your taxable income
After ascertaining the total income,
i.e., income liable to tax, the next step is to compute the tax liability for the year. Tax liability is to be computed by applying the rates prescribed in this regard. For rates of tax, refer "Tax Rate" section. Following table will help in understanding the manner of computation of the total tax liability of the taxpayer.
Computation of total income and tax liability for the year
(*) Rebate under
91 is available to a taxpayer in respect of double taxed income,
i.e., income which is taxed in India as well as abroad.
Note : For provisions relating to Minimum Alternate Tax (MAT) in case of corporate taxpayers refer tutorial on "MAT/AMT".
Click here to view prevalent tax rates