Incorrect Tax calculation in Form ITR-3

CA Abhijeet Saturdekar (Practicing Chartered Accountant)   (55 Points)

07 July 2022  


Filled Form ITR-3 for a client. Incomes reported are Income from House property, Interest income, Commission income and Long Term Capital gains (LTCG) under section 112A on sale of listed equity shares. 

After adjusting other heads of income against the basic exemption limit, some portion of the LTCG is also adjusted against the basic exemption limit and balance portion offered for tax liability.

However, tax on Capital gains @ 10% is getting populated on the entire balance portion offered for tax, instead of the amount exceeding Rs. 1 lakh.

Requesting inputs on how to address the above.