No Income Tax Return if income less than 5 lakhs

[Desmond]

Salaried employees earning up to Rs 5 lakh a year will not be required to file income tax returns from this year, says a Finance Ministry notification.

There are about 85 lakh salaried persons in the country whose yearly income, including earnings from other sources like bank deposits, does not exceed Rs 5 lakh.

“An individual whose total income for the relevant assessment year does not exceed Rs 5 lakh and consists of only income chargeable to income-tax under…salaries… (and) income from other sources, by way of interest from a saving account in a bank, not exceeding Rs 10,000” have been exempted from filing the returns from assessment year 2012-13”, it said.

Source

 

[saz]

Re: Income Tax relief limit raised to Rs. 5 lakh.

hey bro, the title is misleading I guess...the article says Individuals having total income upto 5 lakhs per annum need not file IT return. It doesn't mean that individual having total Income upto 5 lakhs won't have to pay any tax...its only that they don't have to file IT return.

Read thru these line in the article...

...Exemption from filing will be permitted only if the person has received a certificate of tax deduction in Form 16 from his or her employer.

To claim income tax refund, however, such persons will have to file returns....

 

[skeletor]

Re: No Income Tax Returns if income less than 5 lakhs

Title fixed.

 

[Skud]

It was same for FY 2010-11 (assessment year 2011-12) too.

 

[tkin]

And I thought that I wouldn't have to pay taxes when I join

 

[Desmond]

I heard that the relief limit raised too. Cannot find the link though.

 

[Tachyon1986]

Good , with the rising inflation, we need tax breaks like this.

 

[Desmond]

Got it, it is actually ongoing. Look here:

MPs want IT exemption limit hiked to Rs 5 lakh
Posted via Mobile Device

 

[Skyh3ck]

sorry, but clear this

does this mean that people eraning below 5 lac per year does not have to pay tax ? yes or No

what is the revised tax slabs now?

 

[tkin]

sorry, but clear this

does this mean that people eraning below 5 lac per year does not have to pay tax ? yes or No

what is the revised tax slabs now?

No you still have to pay yaxes. but would not have to file a return, ofcourse you could do so, but not forced to.

 

[Skud]

Its still wise to file the return, its an important document, particularly if you are looking for bank loans etc.

 

[rajivnedungadi]

Good, I also hope that they increase the 1.8 lac slab to at least 2.5 from this year

 

[tkin]

Or 3 lakh

 

[icebags]

(1) less direct tax = more indirect tax = price hike.
(2) ppl have more money at hand = ppl want to spend more = price hike.

(1) & (2) = more sales tax , service charge etc. = rich govt.

it's simple, isn't it ?

 

[pinku1993]

(1) less direct tax = more indirect tax = price hike.
(2) ppl have more money at hand = ppl want to spend more = price hike.

(1) & (2) = more sales tax , service charge etc. = rich govt.

it's simple, isn't it ?

Nicely Calculated..

 

[Desmond]

Its always a win-win situation for the government. No matter what they come up with.
Posted via Mobile Device