INCOME TAX FY 14-15

2014
Income Tax Slabs Apr 2014 TO Mar 2015
Normal Rate

Slabs in INR Rate of Tax *

Upto 2,50,000/- Nil

2,50,000/- to 5,00,000/- 10% if income exceeds INR 2,50,000/-

INR 25,000/- (calculated for INR 2.5 5 lakh) +

5,00,000/- to 10,00,000/-
20% of Income exceeds INR 5,00,000/-

1,25,000/- (calculated for INR 2.5 10 lakh) +

above 10,00,000/-
30% if income exceeds INR10,00,000/-

* Applicable for both men & women

* Surcharge @ 10% on Total Tax if Taxable Income exceeds INR 1 Crore (Marginal Relief of surcharge if applicable

*Rebate of (INR 2000 or Tax Payable whichever is less) for individuals having total income does not exceeds INR

* Cess @ 3 % (on Basic Tax and Surcharge)

2
Income Tax Slabs Apr 2014 TO Mar 2015
Normal Rate - Senior Citizen

Slabs in INR Rate of Tax *

Upto 3.00,000/- Nil

3,00,000/- to 5,00,000/- 10% if income exceeds INR 3,00,000/-

INR 20,000/- (calculated for INR 3.0 5 lakh) +

5,00,000/- to 10,00,000/-
20% of Income exceeds INR 5,00,000/-

1,20,000/- (calculated for INR 3.0 10 lakh) +

above 10,00,000/-
30% if income exceeds INR10,00,000/-

* Applicable for both men & women

* Surcharge @ 10% on Total Tax if Taxable Income exceeds INR 1 Crore (Marginal Relief of surcharge if applicable

*Rebate of (INR 2000 or Tax Payable whichever is less) for individuals having total income does not exceeds INR

* Cess @ 3 % (on Basic Tax and Surcharge)

3
SECTION 10 (13A)
House Rent Allowance Exemption

Allowance specifically
granted to meet Exempt to
expenditure actually
incurred on payment of
extend of
rent for residential limit Documents Required from
accommodation Employees:
occupied Proof of HRA - Rent receipt or (Agreement
copy and rent receipt)
Where rent paid exceeds INR 1,00,000 per
annum PAN card copy of the landlord
(irrespective of number of landlords)
Mumbai / Kolkata / Delhi / Other Cities
Chennai (Residential (Ghaziabad, Gurgaon, * Where PAN of landlord is not
location) Noida etc) available
Allowance actually received Allowance actually received A declaration to this effect from the
landlord; along with the name and
Rent paid less 10% of salary* Rent paid less 10% of salary* address of the landlord should be filed by
the employee
50% of salary* 40% of salary*

Non Applicability of Exemption

House owned by employee
Not incurred expenses for Rent

4
SECTION 24
Deductions Loss from house property (Interest Portion)

Self here means :

Occupation of employee for his own
Property residence.
Cannot actually be occupied by the
employee, by reason of the fact that
owing to his employment, business or
Repaired / profession carried on at any other place,
Acquired / Renewed / he has to reside at that other place, in
constructed Reconstructio
n a building not belonging to him.
Up to Maximum of INR 2.0 Lakh
Acquired or constructed on or after 1st
April 1999.
Let Out Self occupied Self occupied Let Out Acquired or construction completed
within 3 Years of financial year from the
end of Financial Year in which capital is
borrowed.
Up to
Any amount maximum of Any amount If above 2 conditions not satisfied then
Maximum of
payable INR 2.0 lakh
INR 30,000/-
payable amount allowed as deduction of interest
allowed (See note allowed is INR 30,000/-
below)
Example:
Capital borrowed 10th Jan 10.
Pre EMI interest (before year of possession) Acquired or constructed should be
Deduction will be allowed in five equal installments for next five completed upto 31st March 13.
years, along with interest of that financial year. (31st March 13 being end of Financial
(over all interest INR 30,000 / INR 2,00,000 as case may be) Year of 10th Jan 10 plus 3 Years)

5
Documents required from Employees

6
SECTION 80C

Deduction in respect of Life Insurance Premia, Deferred Annuity,

Contributions to Provident Fund, Subscription to certain Equity Shares

Main Deductions

Life Insurance Premium (LIP)

Public Provident Fund (PPF)

Fixed Deposit Receipt ( not less

than 5 years with bank seal
stating tax saving FD)
Tuition Fees

Housing Loan Principal

Repayment

7
Deductions / Investments under section 80C

8
Life Insurance Premium

Maximum Amount Allotted

MAXIMUM AMOUNT
PARTICULARS
ALLOWED PER POLICY
Policy issued before 1 April
20% of the actual capital sum assured
2012
Policy issued on or after 1 April
10% of the actual capital sum assured
2012
15% of the actual capital sum assured if
DOCUMENT REQUIRED
person
Policy issued on or after 1 April Severe disability as referred in section COPY OF PREMIUM PAID
2013 80 U STATING SUM ASSURED
Suffering from disease or ailment as
specified in Section 80 DDB

ALLOWED FOR SELF, SPOUSE, CHILDREN

MAXIMUM AMOUNT ALLOWED FOR PAYMENT OF LIP UPTO INR
1.5 LAKH

9
 Other 80C Deduction

ALLOWED MAXIMUM
S No PARTICULARS DOCUMENT REQUIRED
FOR AMOUNT ALLOWED
Copy of
Self, spouse
1 PPF Upto INR1.5 lakh PPF passbook / PPF deposit
and children
receipt
Five year time deposit in
2 Self Upto INR1.5 lakh Proof of deposit
post office

Senior citizen saving

3 Self Upto INR1.5 lakh Proof of deposit
account scheme

Five year term deposit in Proof of deposit / copy of

4 Self Upto INR1.5 lakh
schedule bank Term deposit

5 Bonds issued by NABARD Self Upto INR1.5 lakh Copy of bond

Units of Mutual Fund /

Pension Fund of Mutual Copy of Mutual Funds /
6 Self Upto INR1.5 lakh
Funds Pension Fund
(Tax savings)

Specified Equity Shares or

7 Self Upto INR1.5 lakh Copy of ELSS
Debentures

10
 Other 80C Deduction

MAXIMUM
DOCUMENT
S No PARTICULARS ALLOWED FOR AMOUNT
REQUIRED
ALLOWED
8. Housing Loan Principal Repayment Self Upto INR1.5 lakh Copy of
Certificate for
repayment of
loan principal
9. Tuition Fees 2 Children Upto INR1.5 lakh Certificate from
Institution /
Tuition Fee paid
receipt
10. Employees Provident Fund Self Upto INR1.5 lakh (this will be
automatically
taken from
payroll)
11. National Saving Certificate (NSC) Self Upto INR1.5 lakh Copy of NSC

12. Unit Linked Insurance Plan of UTI Self, spouse and Upto INR1.5 lakh Copy of ULIP of
or LIC Mutual Fund children UTI or LIC
Mutual Fund
 Pension Fund / Schemes Deductions

S No Particulars Section Maximum Document

no. amount allowed required
1 Deduction in respect of 80CCC Upto INR 1 lakh Copy of
contribution to certain contribution
pension funds
2 Deduction in respect of 80CCD(1) 10% of his salary Copy of
contribution to pension (includes Dearness contribution
scheme of Central Allowance but
Government(NPS) excludes all other
Employee Contribution allowance and
perquisites) or Rs
1.0 Lakhs which
ever is less
2 Deduction in respect of 80CCD(2) 10% of his salary (this will be
contribution to pension (includes Dearness automatically taken
scheme of Central Allowance but from payroll)
Government(NPS) excludes all other
Employer Contribution allowance and
perquisites)

Note :
Total amount of deduction allowed u/s 80C, 80CCC and
80CCD(employee contribution) doesnt exceeds INR 1.5 lakh
Employer contribution to NPS will be treated as perquisites and
simultaneously will be deducted from Income as per limits
above. It will be above INR 1.5 lakh limit

12
 SECTION 80 CCG
Rajiv Gandhi Equity Savings Scheme

Maximum Amount Allowed

S No Conditions (cumulative) Maximum Eligible

deduction in INR

1 Resident individual

2 gross total income does not

exceed INR12 lakhs 50% of amount
3 acquired listed shares, notified invested or ` INR DOCUMENT REQUIRED
25,000/- which ever is Copy of Investment & Self
4 new retail investor less Declaration

5 locked-in for a period of 3 years

from the date of acquisition

13
 SECTION 80D
Deduction in respect to Health Insurance Premia paid etc.

Maximum Amount Allowed

Maximum Eligible
Self, spouse, Maximum deduction in INR
Maximum
S No dependent Eligible in Parents (inclusive of
Eligible in INR
children INR Preventive Health
Check up)
20,000/- + 20,000/- =
1 Senior Citizen 20,000/- Senior Citizen 20,000/-
40,000/-
Other than 15,000/- + 20,000/- =
2 15,000/- Senior Citizen 20,000/-
Senior Citizen 35,000/-
Other than Other than 15,000/- + 15,000/- =
3 15,000/- 15,000/-
Senior Citizen Senior Citizen 30,000/-

Mode of Payment
Particulars Mode of Payment
DOCUMENT REQUIRED
Preventive Health
Any Mode (cash, cheque etc) Copy of Premium Paid
Check up

Medical Premium Any mode other than cash

14
 SECTION 80DD / 80U
Medical Treatment for Person with Disability

Particulars 80DD 80U

Eligible Person Resident Individual Resident Individual
spouse, children, parents,
brothers and sisters of the
Allowable for Self
individual or any of them
dependent on him.
Disability less than 80
% and greater than INR 50,000/- INR 50,000/-
40%
Severe disability
more than equal to INR 1,00,000/- INR 1,00,000/-
80 %
Incurred any expenditure or
paid /deposited any amount as
Documents Certificate from the medical
specified. (Bills required)
Requirement authority in FORM NO. 10-IA
Certificate from the medical
authority in FORM NO. 10-IA.

15
 SECTION 80E
Deduction with respect to Interest on Loan taken for Higher
Education

DOCUMENT REQUIRED
Certificate for Interest Paid

16
 SECTION 80EE
Deduction with respect to interest on Loan taken for Residential House
Property

Conditions for claiming

Deductions

Loan from Financial Institution

(Period of Loan 1/04/13 31/03/14)

Loan Amount less than INR 25 Lakhs

DOCUMENT REQUIRED :
Property Value less than INR 40 lakhs
Certificate for Interest Paid
Form 16 of Previous
Financial Year ( FY 13-14 )
and
Employee does not own any residential
house property on the date of sanction of Self Declaration
the loan

Maximum amount allowed INR 1 Lakh

It will be over and above INR 1.5 Lakh allowed
u/s 24

17
 In the business of your
success !

18 Copyright 2012 ADP, Inc. Proprietary and Confidential Information.