6th Pay Commission Recommendations

Tax planning 1790 views 2 replies

Vinod

Assistant Audit Officer

1675 Points Joined March 2008

Dear friends,

You must be aware of the news about Government's announcment regarding acceptance of recommendations by 6th Pay Commission.

My question is, what is the status of taxability of the Arears that Government employees will be receiving. Whether one can plan to invest the arrears and thus save tax or else?

Replies (2)

Guest

457705 Points Joined August 2012

Dear sixth pay commission beneficiaries,

You may be looking forward to the arrears coming soon and wondering about investments options providing maximum tax relief. Recently, insurance companies have expanded the basket of products eligible for tax exemption favouring senior citizens till age of 70 years. At present, those in the income bracket of Rs 1, 10,000-1, 50,000 attract 10% tax while those earning between Rs 1, 50,001 and Rs 2, 50,000 attract a tax rate of 20%. Income above Rs 2, 50,001 is taxed at 30%. Use these parameters to work out the tax liability during the current year and find a better option by securing a right insurance plan offering you complete protection for life and a perfect way to save tax. Helping you save up to Rs. 37,026 which means you can put aside this amount for travel and continue to enjoy your living standards in your retirement. Interested in seeking unbeatable combination call Mahendra on mobile 09350858100 or send a mail on mahendrasarup @ yahoo.com.

DEEPAK WADHWA

Profession

138 Points Joined August 2008

Originally posted by :Guest
"	Dear sixth pay commission beneficiaries, You may be looking forward to the arrears coming soon and wondering about investments options providing maximum tax relief. Recently, insurance companies have expanded the basket of products eligible for tax exemption favouring senior citizens till age of 70 years. At present, those in the income bracket of Rs 1, 10,000-1, 50,000 attract 10% tax while those earning between Rs 1, 50,001 and Rs 2, 50,000 attract a tax rate of 20%. Income above Rs 2, 50,001 is taxed at 30%. Use these parameters to work out the tax liability during the current year and find a better option by securing a right insurance plan offering you complete protection for life and a perfect way to save tax. Helping you save up to Rs. 37,026 which means you can put aside this amount for travel and continue to enjoy your living standards in your retirement. Interested in seeking unbeatable combination call Mahendra on mobile 09350858100 or send a mail on mahendrasarup @ yahoo.com.	"