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Help me in salary calculation for f.y.2015-16

vinayak (accountant) (255 Points)

22 January 2016

I want to calculate income tax for Female salaried person . Incomes for F.Y. 2015-16 are as follows:

1) Basic Salary (in hand) 270432

2) Conveyance Allowance 6300

3) Diwali Bonus 20000

4) Variable Pay 50000 (comission of sales & Services)

5 ) Paid Leave 12000

Deductions: Professtion tax 2500

Investments till now :

Invested 6000 in PPF.

Please tell me how much tax she should pay for F.Y.2015-16 by taking above figures and also explain me the calculations? If possible please suggest any idea to save tax payment i.e. mode of investments.

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15 Replies

CMA Poornima Madhava (CMA) (13097 Points)
Replied 22 January 2016

Transport (conveyance) allowance exempt @ 800 p.m.
PT is deductible u/s 16(iii)
Balance amount is the gross income
Deduct 6k (PPF) u/c 80C
Balance is the taxable income

Use the calculator for tax computation: https://www.incometaxindia.gov.in/pages/tools/tax-calculator.aspx

sumit (proprietor) (58 Points)
Replied 22 January 2016

Conveyance allowance is exempt upto Rs1600 p.m.

CMA Poornima Madhava (CMA) (13097 Points)
Replied 22 January 2016

But this change is applicable from FY 15-16 onwards, not for FY 14-15 :)

Nilesh Manilal Parmar (Account Executive) (21 Points)
Replied 22 January 2016

Download Pankaj Batras template of Salary Tax calculation for AY 2016-2017 , its helpful and accurate

Rajesh Kumar Gupta (Senior Divisional Manager) (714 Points)
Replied 22 January 2016

Tax calculations are required for FY 15-16 as per query. Hence Exempted Conveyance allowance is 1600 pm.

Rajesh Kumar Gupta (Senior Divisional Manager) (714 Points)
Replied 22 January 2016

Invest 130000 in PPF/ELSS and tax liability will be nil.

Udgam Koomar (Tax Technologist) (1949 Points)
Replied 22 January 2016

The OP has mentioned two FY hence the confusion.

(Guest)

Transport allowance 1600 P.m

CA. Sandeep Kumawat (CA) (341 Points)
Replied 22 January 2016

Originally posted by : 123456

I want to calculate income tax for Female salaried person . Incomes for F.Y. 2015-16 are as follows:

1) Basic Salary (in hand) 270432

2) Conveyance Allowance 6300

3) Diwali Bonus 20000

4) Variable Pay 50000 (comission of sales & Services)

5 ) Paid Leave 12000

Deductions: Professtion tax 2500

Investments till now :

Invested 6000 in PPF.

Please tell me how much tax she should pay for F.Y.2014-15 by taking above figures and also explain me the calculations? If possible please suggest any idea to save tax payment i.e. mode of investments.

Dear what you want be clear

income for FY 15-16 and tax for FY 14-15

bharadwaj rudrapaka (Student CA IPC / IPCC) (71 Points)
Replied 23 January 2016

conveyance or transport Allowance is exempted up to 800 P.a for f.y 2014-15 . but from 2015-16 F.Y onwards transport / conveyance allowance is increased to 1600 P.a.

vinayak (accountant) (255 Points)
Replied 23 January 2016

Mr .sandeep, just answer the questions as others do, you wil not get any rewards for showing my typing error.

vinayak (accountant) (255 Points)
Replied 23 January 2016

Originally posted by : sandeep kumawat
	Originally posted by : 123456I want to calculate income tax for Female salaried person . Incomes for F.Y. 2015-16 are as follows:1) Basic Salary (in hand) 270432 2) Conveyance Allowance 63003) Diwali Bonus 200004) Variable Pay 50000 (comission of sales & Services)5 ) Paid Leave 12000Deductions: Professtion tax 2500Investments till now :Invested 6000 in PPF.Please tell me how much tax she should pay for F.Y.2014-15 by taking above figures and also explain me the calculations? If possible please suggest any idea to save tax payment i.e. mode of investments. Dear what you want be clearincome for FY 15-16 and tax for FY 14-15

Mr .sandeep, just answer the questions as others do, you wil not get any rewards for showing my typing error.

CA. Sandeep Kumawat (CA) (341 Points)
Replied 23 January 2016

Dear 123456

I understand we all know basic provision of income tax...

so i will just guide on conveyance allowance...if conveyance allowance is 6300 annual then it will be 525 per month and allowances exemption will be limited to the lower of actual allowance given by employer or limits specified in IT provisions (i.e. 800, 1600 depending on applicable assessment year) on monthly basis for the period of service, so if conveyance allowance is 525 pm then it will be limited to 525 only per month.

Rest as suggested by Poornima

Hope this help