CA. Naresh Jakhotia

TAX TALK-27.08.2012-THE HITAVADA TAX TALK BY CA. NARESH JAKHOTIA (Chartered Accountant) “NO TDS IN RESPECT OF JOINTLY OWNED PROPERTY EVEN IF THE COLLECTIVE RENT EXCEEDS RS. 1.80 LACS” Query 1] I am born on 15.09.1953. My 60 th birthday falls on 15.09.2012. Kindly tell whether I will be considered as senior citizen for the purpose of Income Tax for the financial year 2012-13? [ B.S. Moroney, Himalaya Apartments, Canal Road , Ravinagar, Nagpur – 440033 ] Opinion You are born on 15.9.1953 & will be attaining the age of 60 years on 15.9.2013. Accordingly, for the F.Y. 2013-14, you’ll be considered a Senior Citizen for the purpose of Income Tax Act-1961. For the F.Y. 2012-13, you will not be entitled to the higher basic exemption limit as applicable to the senior citizen. Query 2] 1.       There is a reference to Accounting Standards notified by the Central Government in Section 145(2) of Income Tax Act. Kindly enlighten me where I ca...

TAX TALK-20.08.2012-THE HITAVADA TAX TALK BY CA. NARESH JAKHOTIA (Chartered Accountant) “PERSONAL TAXATION- PAYMENT, INVESTMENT, DEDUCTIONS & EXEMPTIONS” Query 1] Sir, Husband & Wife both are working. Husband has invested all his savings & avail a housing loan while purchasing of residential flat. Residential flat & Housing loan is in joint name. Husband’s monthly earnings are sufficient for his family maintenance & Housing loan EMI only. There is no surplus left in the hands of the husband. They have mutually planned that the earnings of wife should be invested for first Daughter’s Education, Marriage & rest for their retirement planning. They have obtained a floating mediclaim plan for any unwanted medical treatment of Rs. 3.50 Lacs. I would like to know in what proportion their investments should be made i.e. 1.       In the name of wife only or 2.       In the name of husband only or 3....

TAX TALK-13.08.2012-THE HITAVADA TAX TALK BY CA. NARESH JAKHOTIA (Chartered Accountant) “NO TAX ON MY INCOME, CAN I SUBMIT FORM NO. 15G TO THE BANK? ” Query 1] Sir, with reference to the Tax Talk edition dated 25 th June 2012, regarding Form No. 15G submission, Please clarify as to when it can be submitted? My total income from interest & salary is Rs. 2.60 Lacs for the financial year 2012-13 and after Section 80C deposit of Rs. 80,000/-, my income is reduced to amount below the taxable limit. In these circumstances, can I submit form 15G to bank and to submit IT return is optional or compulsory? It may be noted that I have received salary from 2 sources. [ chandak_rachna@rediffmail.com ] Opinion: 1.       Form No. 15G- When can be submitted: Form No. 15G is a declaration which can be filed by non senior citizens if the following two conditions are satisfied: a) The final tax on his estimated total income computed as per the pro...

TAX TALK-06.08.2012-THE HITAVADA TAX TALK BY CA. NARESH JAKHOTIA (Chartered Accountant) “CONVEYANCE ALLOWANCE FROM TWO EMPLOYER & EXEMPTIONS” Query 1] In a Divorce case, I want to know the following as per the provision of income tax law: 1.       It has been decided to pay Baran Poshan (One time payment to my spouse on divorce by Mutual Consent) amount of Rs. X to my wife. Whether this amount is taxable at the other end i.e. at my wife end, who is the receiver of the amount? 2.       The amount Rs. X to be paid to my wife, can it be contributed by my family members like mother, father from there saving account shown in the Income Tax as I am unemployed from the last 6 months due to health problem? 3.       The advance amount of Rs. Y paid to my wife during the first hearing of the Mutual Consent Divorce, should I show the same in my Income Tax Return for the Assessment Year...

TAX TALK-30.07.2012-THE HITAVADA TAX TALK BY CA. NARESH JAKHOTIA (Chartered Accountant) “COMMERCIAL ESTABLISHMENT – WHETHER OCCUPIED OR RENTED- NOT LIABLE FOR WEALTH TAX” Query 1] Sir, I am a pensioner getting around Rs. 2 Lacs per annum. After including MIS, NSC, etc Interest, total income works out to approx Rs. 2,72,000/-. I am investing Rs. 75,000/- in the tax saving instruments. After availing basic exemption of Rs. 2, 40,000/-, my tax is Nil. Please advise me whether I have to file a return? I have been told that according to latest development, no return is required to be filed if the income is up to Rs. 5 Lacs. [ muthuswamyiyer@gmail.com ] Opinion: For the FY 2011-12 (A.Y: 2012-13), 1.       You would not be required to file the return of income if you are a very senior citizen ( 80 years & above ) as the basic exemption limit is 5 Lacs for very senior citizen. 2.       If, however, you are below the age...

TAX TALK-23.07.2012-THE HITAVADA TAX TALK BY CA. NARESH JAKHOTIA (Chartered Accountant) “INTEREST PERTAINING TO PERIOD PRIOR TO POSSESSION/ CONSTRUCTION OF THE HOUSE PROPERTY” Query 1] Sir, The following is the case: Loan is taken for construction of independent House. Construction Started in April-2010. Construction is expected to be completed by August 2012. Full EMI have started immediately with effect from May 2010 for full Sanctioned Loan (irrespective of stage-wise disbursement). 1.       Whether we can claim deduction for Interest accrued during 2011-12 in Income from House Property, irrespective of Completion / Possession of House? 2.       Precisely, we seek your clarification as to whether the date of completion, or the date of occupation or the date of commencement of Loan repayment will be the deciding factor for computation of allowance of accrued Interest on House Property under the head Income from...

TAX TALK-16.07.2012-THE HITAVADA TAX TALK BY CA. NARESH JAKHOTIA (Chartered Accountant) “TDS NOT REFLECTED IN 26AS” Query 1] TDS of Rs. 5,400/- is deducted by a branch of State Bank of India on 26/12/2011, from certain amount payable to me on account of salary arrears. But the same amount is not reflected in Form No. 26AS. A lot of correspondence with the branch and their controllers has taken place but the matter is still not resolved. At last on 30/06/2012, the bank issued me a Form No. 16. In which Acknowledgement No. 029560200081661 is incorporated. However, this amount is yet not reflected in Form No. 26AS. Upon making queries with the deducting Authority, they have given an evasive answer that it does not matter & I may file the return manually. In the circumstances, I am unable to file my Income Tax Return online. I request you to advise me: 1.       From whom I can verify the data uploaded against Acknowled...