CA. Naresh Jakhotia

TAX TALKBY CA. NARESH JAKHOTIA(Chartered Accountant) “DISCRIMINATION IN THE TAXATION OF LEAVE SALARY” Query 1] With reference to your Reply in the Hitavada dated February 14, 2011, you have provided Cost Inflation Indices up to F.Y. 2009-10, as a guide for calculating the Long Term Capital Gain. The CII for the current F.Y. 2010-11 is missing in the table. The Index for the F.Y. 20110-11 is required for calculating the Long Term Capital Gain/Loss on the transactions conducted in the current F.Y. The CII for the F.Y. 2010-11 is 711, as per my information. I would request you to kindly confirm the CII for the F. Y. 2010-11. [shatekar@rediffmail.com] Opinion: Thanks for responding back. The Cost Inflation Index (CII) for the F.Y. 2010-11 was inadvertently missing in the Tax Talk dated 14.02.2011. You are absolutely correct, CII for F.Y. 2010-11 is “711”. Query 2] I have been transferred from Madhya Pradesh (MP) to Maharashtra (MS) in June-2010. I have updated my address in PAN to Maharas...

TAX TALK-14.03.2011-THE HITAVADA TAX TALK BY CA. NARESH JAKHOTIA (Chartered Accountant) “NOW GRATUITY IS EXEMPT UP TO RS. 10 LACS” Query 1] Sir, I am a teacher and my Gross Income in a year is Rs. 2,80,500/- (from 1st April 2010 to 31st March 20 11). My deduction from salary is only Rs. 9,360/-, total in a year, under Provident Fund A/c. But, I pay Rs. 15,665/- yearly as LIC premium against a policy which is in the name of my husband. In my Income Tax declaration, I have shown the details as under: - a) Public Provident Fund Rs. 9,360/- (b) National Saving Certificate (NSC) Rs. 50,000/- and (c) LIC Premium Rs. 15,665/-. My employer has told me that you can not show LIC Premium as saving since it is in your husband's name and you will not get any exemption. May I request you to clarify me what is the Rule? [Mrs Keya Dutta - susantakumardutta@yahoo.com ] Opinion: You are eligible for deduction u/s 80C towards the life insurance premium paid by you on the life insurance policy of...

TAX TALK BY CA. NARESH JAKHOTIA (Chartered Accountant) “NOW GRATUITY IS EXEMPT UP TO RS. 10 LACS” Query 1] Sir, I am a teacher and my Gross Income in a year is Rs. 2,80,500/- (from 1st April 2010 to 31st March 20 11). My deduction from salary is only Rs. 9,360/-, total in a year, under Provident Fund A/c. But, I pay Rs. 15,665/- yearly as LIC premium against a policy which is in the name of my husband. In my Income Tax declaration, I have shown the details as under: - a) Public Provident Fund Rs. 9,360/- (b) National Saving Certificate (NSC) Rs. 50,000/- and (c) LIC Premium Rs. 15,665/-. My employer has told me that you can not show LIC Premium as saving since it is in your husband's name and you will not get any exemption. May I request you to clarify me what is the Rule? [Mrs Keya Dutta - susantakumardutta@yahoo.com ] Opinion: You are eligible for deduction u/s 80C towards the life insurance premium paid by you on the life insurance policy of your husband. . If the school re...

TAX TALK- 27.12.2010-THE HITAVADA TAX TALK BY CA. NARESH JAKHOTIA (Chartered Accountant) “RENT PAYMENT FOR HOUSE PROPERTY IS ELIGIBLE FOR DEDUCTION U/S 80GG….” Query 1] Sir, I am a salaried person. My queries are: 1. I want to gift some amount to my daughter, what is the procedure, in which section it will be exempted from Income Tax? 2. How to show Profit and Loss from share market? 3. Which form I should fill up? [ avinash.mool@gmail.com ] Opinion: 1. You can gif the amount to your Daughter by executing the Gift Deed. As far as provision under the Income Tax Act-1961 is concern,(i) Gift to your Daughter is not taxable u/s 56(2)(vii)(ii) You can make the gift by simply executing the gift deed on plain paper 2. The profit/ Loss from share market could either be treated under the head “Income from Business/Profession” or under the head “Income from Capital gain”. The head of income under which share profit falls depends upon the volume of transactions, intenti...