This is year end time and all employees are supposed to submit income tax savings estimate to their employers so as to get deduction for all permissible savings and plan income tax liability. Failure on part of an employee to submit details of his savings can lead to employer deducting more income tax

As a part of series of providing various calculators to our visitors, today, we are attaching small utility which can be used by an employee to submit his estimate to his employer to enable employer deduct income tax at source.

Insurance is a contingent expense. Many of us do not wish to go for insurance until and unless pressed upon the same. The idea of life insurance or general insurance might occur only when most of us face the issues of tax returns or calculating the risk-loss metrics. Insurance is not yet viewed as a product in India.

Income from subletting is also income from house property and you can avail of 30% standard deduction as available to income from house property.  In the case of Smart (P) Ltd.

Most investors tend to get confused while choosing dividend or growth option when applying for a mutual fund. The real choice should not be so difficult to make.

Ask yourself a simple question, do you need the recurring income for yourself or the income so received in the form of dividend has to be reinvested again. If you have some other regular source of income then by choosing dividend option you are again creating a fund, which would be small in size unless augmented by other income, and won’t be of size that could be invested again in good channel of investment.

Mostly when you claim a deduction and the same is denied by Assessing Officer, Assessing Officer seeks to levy penalty for concealment. In one such case of Eicon International (P.) Ltd, Assessee filed return claiming deduction u/s 80HHB.

Assessing Office in absence of requisite evidence regarding various conditions to be met for a allowing deduction under section 80HHB, found claim to be not bona fide and accordingly, while making assessment order, also levied a penalty under section 271(1)(c).

January 18th, 2008: After sensex crossing 21000 mark, the stock indices are continually registered new low levels which has nearly triggered off panic selling. What is the right course of action today for those who have positions and for those who are willing to enter at the right time?

Is financial management too difficult practically? Not really, if you take little care of your transactions. We keep watching and listening to news informing how credit card debts have ruined the credibility and financial discipline of people. But, do not fret! We could solve this problem for you, if you keep some points in mind. Managing credit card does not need a degree in finance. It’s all about a few important steps, so that credit cards can actually prove to be your asset.

So, March approaching, and it is time to plan savings for income tax purposes. You need to invest for tax savings purposes in investments that qualify for deductions under Sec 80 C.

 As against earlier years, not many avenues are left to plan income tax on salary by “classifying” the salary under different heads. However some types of allowances as HRA; conveyance; Medical reimbursement still come handy to save income tax, which an employee must use to minimize his tax liability.