Condition 1
If my income is less than 5 lakh in fy 2019-20 and I have made expenditure on foreign travel in 2019-20 more than 2 lakh or I have deposited more than 1 crore in current account or I have paid electricity bill more than 1 lakh than which option should I select yes or no in Seventh provision?
Condition 2
If my income is less than 2.5 lakh in fy 2019-20 and I have made expenditure on foreign travel in 2019-20 more than 2 lakh or I have deposited more than 1 crore in current account or I have paid electricity bill more than 1 lakh than which option should I select yes or no in Seventh provision?
Is religious travel comes in foreign travel i.e Haj, Umrah etc?
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Seventh Provision issue
Replies (20)
If your income is less than 2.5 lakh in FY 2019-20 and You have made expenditure on foreign travel in 2019-20 more than 2 lakh or You have deposited more than 1 crore in current account or You have paid electricity bill more than 1 lakh than Select "YES" in Seventh provision, otherwise select "NO".
All travel comes under foreign travel, there is no specific Exemption.
All travel comes under foreign travel, there is no specific Exemption.
Condition 1 - No
Condition 2 - Yes
The circular says only foreign travel. It doesn't mention religious travel.
Condition 2 - Yes
The circular says only foreign travel. It doesn't mention religious travel.
One of my friends has performed Haj in fy 2019-20 and his father has paid all expenses that he incurred in performing Haj. He incurred more than 2lakh. So I want to confirm that his father is mandotory to file itr in AY 2020-21 whether his income is less than 2.5 lakh or more than 2.5 lakh.
If his income is less than 2.5 lakh than he has to select yes option in Seventh provision and if income is more than 2.5 lakh than he has to select no option in Seventh provision
If his income is less than 2.5 lakh than he has to select yes option in Seventh provision and if income is more than 2.5 lakh than he has to select no option in Seventh provision
Yes. You are right
If his father gave all money to him in cash and he deposit all that money in his bank account and than he do all expenditure of his foreign travel through his bank account and he is filling his return every year so in this case it is not required his father to file his return but mandatory to file my friend to file his return
In this scenario father is not necessary to file the returns. But son has to report the cash deposits in his returns
If I want to file itr4 of my friend then where I should show that money that he received from his father and deposited in his account
Can show it as Gift from father.
As Gift from relative is exempt from tax as per Section 56(2) of the Income Tax Act, there is no tax liability.
In ITR shown as Exempt income u/s 56(2) Gift from relative.
As Gift from relative is exempt from tax as per Section 56(2) of the Income Tax Act, there is no tax liability.
In ITR shown as Exempt income u/s 56(2) Gift from relative.
If I show gift from Father so I should need to file return of his father also?..
No, Not required to file return of father.
It's not income of father, father given gift to son, So, it's income for son. Son have to disclose that in his Return as Exempt income .
It's not income of father, father given gift to son, So, it's income for son. Son have to disclose that in his Return as Exempt income .
It department will not ask to his father that from where do earn this money that you have gift to your son
How much money gifted by father to son ?
Amount...
Amount...
In this case father has gifted 2.5 lakh
But suppose father gift 10lakh than father is need to be file his return or not
But suppose father gift 10lakh than father is need to be file his return or not
No, return not required
If Rs.10 lakh is given in cheque, than its already accounted from past year's saving of your father.
If have Rs. 10 lakh in Cash than you can divide that in your father's and your bank account in respective proportion.
If Rs.10 lakh is given in cheque, than its already accounted from past year's saving of your father.
If have Rs. 10 lakh in Cash than you can divide that in your father's and your bank account in respective proportion.
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