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Topic : Income tax and more
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Created by : Kavitha Shankar, Sr/Principal Coresspondent, ABC  | 07 11 2011 05:35:06 +0000
Activity:  922 views;  last activity : 04 16 2012 02:18:24 +0000

Income tax : First they said anyone who has annual income upto 5 lacs will not have to file IT returns. Then this was followed by a list of terms and contditons which include all of us in that slot. According to the notification, a salaried person is exempt from filing his return for the financial year 2010-11 if he fulfils the following conditions:

a) Income after allowable deductions is up to Rs 5 lakh.

b) Income is only from salary and savings bank interest

c) Salary is from one employer.

d) Savings bank interest is below 10,000.

e) Tax on bank interest is paid and included in Form 16

How many of us fit into this bracket? Has government made us fool?

 
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Yes Vs No
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Top Argument
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How can I say no? Is there anything positive about this? If there is then I do not see that.. If there is anyone who feels there is a silver lining in this  please explain..


By Kavitha Shankar, Sr/Principal Coresspondent, ABC  07 11 2011 05:35:06 +0000
 
Top Argument
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NOT AT ALL.

MAJORITY OF SALARIED PERSONS FULFIL ALL THE FIVE CONDITIONS.

a) Majority of the salaried persons fall under this category.

b) In most of the cases of salaried persons, only salary and interest on savings bank are the main source of income for them.

c) Only in rare cases some employees, that too in private/company employment, shift from one employer to another during a year. In Government organizations (Central and State Governments), which is the major employer in India, there is no change of employer by any employee. So, approximately 99% of the employees receive salary from a single source, i.e., only one employer.

d) Only in rare cases an employee earns more than 10,000, as savings bank interest.

e) Banks deduct tax if the interest exceeds taxable limits where that issues TDS certificate. If the employee's income is not taxable, he can claim refund from IT department by filing IT return, which is in the enterest of the employee himself.

SO, WHERE IS THE QUESTION OF MAKING FOOL?

MOREOVER, IT IS IN THE INTEREST OF THE SALARIED PERSON, IF HE GETS INCOME TAX CLEARANCE CERTIFICATE IN THE SHAPE OF HIS TAX RETURN, EVEN IF HIS INCOME IS NEARING THE MARGIN OF RS. 5 LAKHS, SO THAT AT THE TIME OF NEED HE MAY NOT HAVE TO RUN AFTER THE IT DEPARTMENT FOR IT CLEARANCE CERTIFICATE, WHICH MAY REQUIRED IN SEVERAL CASES IN HIS LIFE.


By PS Dhingra, CEO & Vigilance & Transformation Management Consultant, Dhingra Group of Management & Educational Consultants  07 11 2011 06:38:52 +0000
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yes,no doubt about this britisher had played with us a game "divide and rule" and our politician are followers of it and majority of people are followers of politician
By sandeepbansal , Advocate, High Court Chandigarh  | 10 07 2011 16:08:38 +0000
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A Comman Man is always a 'FOOL' for politicians and government..,
By V kumar, Manager- Formulations, A Leading pharma company  | 07 23 2011 04:19:56 +0000
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Apart salaried persons particularly Government employees(serving & retired), employees working in private sector may not be benefited. In order to cover all salaried employees,Government should have one more slab.The interest for Bank saving should also be exempted.


By Mohammad Bakhsh, Consultant(Civil), Rail Vikas Nigam Limited  | 07 11 2011 10:02:58 +0000
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It is this middle class that the government can use as milch cow to extract the maximum income for itself, while the middle class votes on behalf of religion, caste and all other subdivisions to bring back the same government back again and again.

The low income group dont have to bother about the tax while the rich and super rich have put their money in Swiss Banks to escape the taxation.


By G A Narayan, VP - Marketing, KE Housing P. Ltd.  | 07 11 2011 07:01:21 +0000
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As usual. No elections in near future


By Sharad Tiwari, G. M. Marketing, News Today  | 07 11 2011 06:37:51 +0000
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Dear Kavitha,

Contrary to your views, I have already explained what are the silverlining. Only negligible percentage out of the exempted category of employees would have to submit their Tax Returns due to one or two of the specified conditions and that too, not every year, but only in the year of change.


By PS Dhingra, CEO & Vigilance & Transformation Management Consultant, Dhingra Group of Management & Educational Consultants  | 07 11 2011 12:33:09 +0000
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I Agree With Dhingraji!
By kiran , Manager Marketing & Operations  | 07 11 2011 11:50:46 +0000
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It will take some time to understand the said criteria, for a person who is not from commerce background & we have experts to comment on this topic like Mr. Dhingra Sir. Thanks for referral, Kavitha.
By SHRIKANT MANOHAR DANKE, Project Manager, Phadnis Infrastructur Ltd  | 07 11 2011 11:37:19 +0000
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But the condition "d" may eat out the benefits. However, it is interest on savings, there is some relief anyway. I am in total agreement with Mr. Narayana on "Yes" side. Lol. Clause "C" is confining assessee to have only one employment.
By Srinivas suravajhala, Asst. Manager.  | 07 11 2011 08:07:58 +0000
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YOUR CAUSE FOR CONCERN WELL B ADDRESSED IN THE NEXT BUDGET. THANKS FOR REFERRAL KACITHA.
By sudhakar , BUSINESS CONSULTANT  | 07 11 2011 07:40:45 +0000
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I agree with Dhingraji. Income after allowable deduction means, the income may go upto 6.5 - 7 Lakhs before deductions. Good Benefit !!
By Suryanarayan Murthy, Free lancer  | 07 11 2011 07:09:23 +0000
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