Benny Thadathil, Bangalore
This tax calculator can be used to calculate the approximate tax payable by salaried individuals for the Assessment year 2013-14 or Financial Year 2012-13. This should NOT be used to compute the actual taxes to be paid to the Government. We have outlined Below the Instructions to Be Followed for Use of Calculators and tax Rules.
P L E A S E R E A D T H E S E I N S T R U C T I O N S C A R E F U L L Y
(Section 1-Salary details, Section 2-Investment Declaration, Section 3-Income from let-out property)
1. Enter the numbers in the yellow-colored cells.
2. Enter your date of birth in cell D11
3. Enter the VPF contribution in row 37 against each month (if any)
4. Please enter the professional tax deducted in row 38 against each month.
5. Please enter the tax deducted in row 39 against each month.
6. Please enter the Rent payment in row 41 against each month. Please note the HRA exemption is calculated on a monthly basis.
7. If you are staying in a Metro City Please update row 42 as M (Metro) else N (Non Metro)
8. If you are using company-provided/Leased car for office and personal use or availing Vehicle maintenance or petrol reimbursements please update (Y (Yes) or N (no)) in Row 43
9. Enter the amount of medical bills submitted in the cell E49
10. Enter the amount of LTA bills submitted in the cell E50
11. Enter the housing loan interest paid amount in Cell E51, if the house is self occupied. If the house is let-out, please enter the annual rent received in Cell E78, Interest on loan in cell E79 and Municipal tax paid ( ( if paid) in cell E80.
12. Enter the number of remaining months in current financial year in Cell P85, to find out the tax per month
13. Please don’t update the amount allocated towards towards reimbursements, like medical, LTA, Vehicle reimbursement etc. in this calculator, as they are non taxable components.
14. If you are availaing any non-monitory benefits (perquisites) from the company, the taxable amount needs to be updated in Cell O31
TAX RULES & OTHER USEFUL INFORMATION
1. HRA exemption is minimum of (40% (50% for metros) of Basic+DA, or HRA received, or rent paid – 10% of Basic+DA)
2. Conveyance (Transport) allowance is exempt upto Rs.800/- per month.
3. Medical expenditure is exempted to the extend of bills submitted and maximum upto Rs.15000/- pa.
4. “LTA is exempt to the tune of economy class airfare for the family to any destination in India, by the shortest route.
LTA can be claimed twice in a block of 4 calendar years. The current block is from 2010 to 2013″
5. Loss on house property- ( Interest on Housing Loan). If the house is self-occupied and if the loan was taken before Apr 1, 1999 deduction is limited to Rs.30,000/- per year. If the loan is taken after 01-Apr-1999, maximum allowed is Rs.1.5 lakh.
6. Deduction form total income will be available for Investments made in LIC, Pension Plans, FD with Scheduled Bank with term of 5 yrs, PPF, PF, VPF, Mutual Funds, NSC, Repayment of Housing Loan Principal, Children Education Exp.,etc upto rs.1 lakh. Sec 80C
7. Medical Insurance premium is allowed as deduction upto Rs.15,000/- per year. An additional deduction upto Rs.20,000/- ( for Sr. citizen) else Rs.15,000/- will be allowed for the medical insurance taken on dependant parents.
8. Repayment of interest on Education loan (taken for higher education from a university for self, Spouse and Children) is deductible U/s 80E.
9. Tax rates- Taxable Income up to 2.0 lakh is exempted for men and women and From 2.0 lakh to 5.0 lakh 10% , 5.0 lakh to 10.0 lakh 20% and 10.0 lakh and above 30%. Senior citizen (60 Years and above) the base exemption limit is Rs.2.5 lakh and for Super Senior Citizens (80 Years and above) the base limit is Rs.5.0lakh
10. Education Cess @ 3% will be charged on Total Tax Payable
11. CLA Perquisite- If the accommodation provided is taken on lease/ rent by the employer , 15% of your total income (Total income reduced by Sec 10 exemptions and other perquisite values) or rent paid by the company should be considered as perquisite. If the accommodation provided is owned by the employer – 10% of ‘salary’ in cities having population exceeding twenty five lakh as per the 2001 census. For other places, the perquisite value is 7.5% of salary.
12. If the company is provided any hard-furnishing facilities 10% of the actual cost should be considered as Hard Furnishing Perquisite.
13. If you are availing company provided/Leased car, and if the car cc is less than 1.6, Rs.1800/-pm and if the car cc is greater than 1.6 Rs.2400/-pm to be considered as taxable perquisite. Driver salary need to be taken Rs.900/- pm
14. “If the car is owned by you, and if you are availing any reimbursement of the running and maintenance of the car, the total amount reimbursed reduced by Rs.1800/- pm (if car is less than 1.6cc) or Rs.2400/-pm (if the car is greater than 1.6cc) need to be taken as perquisite.
If driver salary also reimbursed, total driver salary reduced by Rs.900/- pm to be added to the car perquisite.”