Itr-4 ay 18-19

I am filing ITR-4 . Following queries are there.

In Exempt Income 

1) Interest from Public Provident Fund comes under which section.

2) Interest form  Rural Elec Corp - Tax free Bonds comes under which section.

3) Payout from UTI - MEPUS is tax exempt or not. If yes under what section.

4) Payout from UTI - Equity Fund ( Master gain 92) is tax exempt  or not. It yes under which section.

In Income from other sources whether all FD and bond interest can be clubbed.  In descripttion what to write.

 

Replies (3)

1. Interest received from PPF is exempt u/s 10(11) 
2. Though interest received from REC bonds are not tax-free, no specific provision for taxability of REC bonds. According to sec 56(2)(id) it read as follows, "income by way of interest on securities if the income is not chargeable to income-tax under the head "Profits and gains of business or profession" Hence it will be taxable under the head Income from other sources. However, TDS will not be deducted on such interest. 
3. Income from UTI will be exempt u/s 10(35). 
4. Payout (dividend) will be exempt in the hands of Shareholder as per sec 10(35). However, the company will pay DDT on the same. 
5. All interest income can be clubbed but to add more clarity, add columns and break the interest received and add a descripttion to every interest income. 
Please correct me if the question has an alternative view. 

Thanks. REC had issued Tax-free Bonds @ 6.25% interest. Interest is fully exempt from Income tax.

10(35) is not there in drop down  10(34) is there.

S.No 1 - is Interest Credited but not actually received.

 

1. I believe REC issues tax-free bonds u/s 10(15)(iv)(h) and if that’s been the case then the interest that you are about to receive will not be subject to tax irrespective of whether you have received it or not. 
2. The necessary column under which you can claim the exemption is u/s 10(15). However, make sure the bond comes under that category.  It should be available in your prospectus or features of such bond at the back of your bond certificate. 
Please correct me if the above solution has an alternative view. 

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 07 October 2026
Article Assistant

Malhotra Rajesh & Associates

New Delhi

B.Com

View Details
Company
Featured ARTICLESHIP 06 October 2026
Semi Qualified

AJAY SINGH AND CO LLP

Thane

CA Final

View Details
Company
05 October 2026
Senior Accountant

Vision IT Peripherals Pvt Ltd

Mumbai

B.Com

View Details
Company
ARTICLESHIP 07 October 2026
Article assistant

S.K.Bajpai & Co.

Noida

B.Com

View Details
Company
ARTICLESHIP 01 October 2026
Articled Assistant

KPSN & Associates LLP

Chennai

CA Inter

View Details
Company
14 October 2026
GST & TDS ASSISTANT

AGGARWAL SANJAY & ASSOCIATES

New Delhi

B.Com

View Details
Company
12 October 2026
Finance

I-Genext Consulting Private Limited

New Delhi

CA

View Details
Company
19 October 2026
Accountant

Jari Saree Center

New Delhi

Others

View Details