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Great confusion please help

IPCC 1008 views 10 replies

Avinash Chomal

Student

55 Points Posted on 12 August 2011

HELLO CCI MEMBERS,

I HAVE BEEN FACING GREAT CONFUSION IN TAXATION. ON RPF INTREST EXEMPTION RATE. IN GIRISH AHUJA IT IS GIVEN THAT IT WILL BE EXEMPT UPTO 8.5% AND IN EXCESS WOULD BE INCLUDED IN GROSS SALARY.

I WANT TO KNOW EXACTY IS IT 8.5 % OR 9.5%

AND WHAT RATE WOULD BE APPLICABLE FOR NOVEMBER 2011 ATTEMPT IPCC.

BECAUSE IN GIRISH AHUJA 25TH EDITION ASSESSMENT YEAR 2011-12 QUESTIONS ARE SOLVED WITH 8.5 %

PLEASE HELPPPPPPPPP

Replies (10)

hardik dave

student

508 Points Posted on 12 August 2011

excess of interest over 9.5% is taxable.

it is given in V.K.SINGHANIA

Guest

Interest credited to RPF:

Exempt from tax if rate of interest does not exceed notified rate of interest

(i.e., 9.5 % before september 1,2010 and 8.5 % with effect from September 1 , 2010 )

excess of interest over notified rate of interest is taxable

Source : Vinod K. Singhania

45th edition

2011-12

hardik dave

student

508 Points Posted on 12 August 2011

in V.K.singhania it is given 8.5%

44th edition A.Y. 2011-2012

Guest

yes. it depends on the dates as was mentioned earlier

kamal kishor sen

STUDENT Rajasthan

2156 Points Posted on 12 August 2011

Long awaited notification now released. Govt has notified exemption on interest rate on EPF to 9.5 % . Earlier EPFO has declared 9.5 % interest rate for Fy 2010-11,but in income tax act rate notified was Just 8.5 % so as per act 1% additional interest was taxable in hands of Employees but after this notification Interest earned from EPF is full exempted.

CA ADITYA SHARMA

CA IN PRACTICE

16719 Points Posted on 12 August 2011

i think it is 9.5%

sanju

Accountant

348 Points Posted on 13 August 2011

i think for nov 2011 attampt we should adopt 8.5% , every body pls share their own views on this issue. bcoz realy it is confusing

sanju

Accountant

348 Points Posted on 13 August 2011

for nov 2011 , wich rates we need to follow is it 2011-12 assesmnet year rates?

%$ anil ....article trainee

help ever fnd forever

204 Points Posted on 13 August 2011

Hey hi sanju @ whch rates applicable for may2011 is applix same for nov 2011 also.....nthg 2 worry abt amendaments whats al for may is same 4 nov.....al d best