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Save tax on salary income

Krishna seva das (TAX CONSULTANT) (1070 Points)

03 June 2011

MY CLIENT HAVE SALARY OF RS. 15 LAKH GROSS

HOW CAN HE SAVE TAX ON THIS SALARY ,HIS MONTHLY TDS DEDUCTION IS Rs. 24000 /-

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24 Replies

Bhakti (CA) (267 Points)
Replied 03 June 2011

What is the break up???

M. N. JHA (CA) (8316 Points)
Replied 03 June 2011

Brekup kya hai??? Are yaar kuch to india ke bare me bhi socho, tax bharane do yaara. . . .

Harpreet (* * * * * *) (1670 Points)
Replied 03 June 2011

You need to mention his Salary Breakup first.

CS,CA F,Numrologi TusharSampat (CS CA F Numerologist Astrologer Graphologist Face reader Vastu Expert) (85930 Points)
Replied 03 June 2011

Pls give details?????????

SAMAR JEET SINGH (CA) (72 Points)
Replied 03 June 2011

Hi Navratan,

It seems after making calculation out of the 15 lacs salary your client is getting deduction/exemption of around 46,667 which probably be medical allownaces, travelling allowance, PT and PF deduction and balance is taxed.

Keeping that in mind your client can claim HRA (if staying in rented house) or claim deduction for Interest on housing loan (maximum upto 1,50,000), further he also can invest under section 80C (maximum of Rs.100,000) & 80D Medical insurance premium (maximum 15000 + 20000 senior citizens of 65 yrs +)

I hope that would be of some help to you.

Warm regards

RITIKA KUMAR (CA Article) (55 Points)
Replied 03 June 2011

please give details of Form 16

Mukesh Kumar Singh (CA-FINAL) (4094 Points)
Replied 03 June 2011

incomlete question, as break- up and other required information is not provided in the question.

KIYOSH (TAX CONSULTANT) (332 Points)
Replied 03 June 2011

Further to Mr. Samarjeet Singh reply, he can also invest Rs. 20,000/- in infrastructure bond & can claim deduction.

KIYOSH

Harpreet (* * * * * *) (1670 Points)
Replied 03 June 2011

hummm..................

RONAK DARJI (CA FINAL) (382 Points)
Replied 03 June 2011

Kindly see Salary certificate and do accordingly by Act.

Also see which deduction is available to him.

Regards,

Ronak Darji

SAMAR JEET SINGH (CA) (72 Points)
Replied 03 June 2011

Hi Navratan,

I agree with the fraternity you have to provide details as to the salary break up,

however I have given you above suggestion (earlier) based on following calculation:-

Upto 180,000 NIL

180,000 to 500,000 32,000

500,000 to 800,000 60,000

800,000 to1500,000 210,000

Total 302,000

Annual tax (TDS) 24000 X 12 mths = 288,000

Tax saved (302,000 - 288,000) 14,000 on amount (14000/30%) 46,667/-

Assuming that above amount of 46,667 have been deducted or exempted by commonly used tax saving salary structures by companies such as Medical exps 15,000, travel allowance 9600 and balance PF.

I hope this would clarify my stand and would be of some help in planning tax.

Warm regards

Sanjay Kumar (SR.ACCOUNT'S OFFICER) (21 Points)
Replied 04 June 2011

Section 10 Transport allowance 800/-per month,

80E education loan interest amount.

80u independent person or your self to be expempted upto 50000/- income

MANOJ SHRIPATI (CA FINAL) (56 Points)
Replied 04 June 2011

GIVE DETAILS OF SALARY INCOME...

ANKSS (CA) (151 Points)
Replied 04 June 2011

Absolutely agreed with Samarjeet.....

Y u all asking a break up from that guy .!!!...Its jus simple...he wants to know how he can save tax for his client..so just give him information about various deductions..

Another example of people completely misunderstamding the questions and complicating in thier exams too..

However samarjeet how did u arrive at 47k approx, while mine it is 83K approx??

Anuways a good reply