Don’t forget to claim extra benefits up to Rs 2 lakhs before 31st Mar’2018

Don’t forget to claim extra benefits up to Rs 2 lakhs before 31st Mar’2018

The last date for filing of Income Tax Returns (ITRs) for the financial year 2016-17 is 31^st March’2018 and it will not be extended beyond this deadline, a top official today said. “The department requests taxpayers to file their return in time,” the official said. So, it’s better to avail this last chance and file your Income Tax Return on time. But while filing your ITR don’t forget to claim these benefits:

1. Benefit of Rs 10,000/- Interest on savings bank interest: While showing your income from interest on savings bank account don’t forget to claim the benefit of deduction of Rs 10,000/- under section 80TTA
2. Deduction of Rs 60,000/- on House Rent Paid by salaried as well non-salaried persons:Salaried Persons who receive HRA:  Salaried employee can claim the benefit of rent paid under HRA even if proof is not submitted to the employer because it is an allowance and not a reimbursement.

   Salaried persons who don’t receive HRA & Non-salaried Persons:  Even non salaried persons can claim the benefit of rent paid under Section 80GG.

   Under this section, you can claim the least of the below applicable amounts:

• 60,000 annually (Rs. 5,000 monthly)
• The amount that is equal to the total rent paid minus 10% of the total income
• 25% of annual salary

3. Extra Rs 50,000/- deduction Under NPS: With effect from FA’2016, an extra deduction of Rs 50,000/- i.e. over and above the deduction of Rs 1,50,000/- can be claimed under Section 80CCD(1B)
4. Benefit of Rs 30,000/- p.a. – Medical expenditure incurred on parents aged 80 years or above: If you have parents aged 80 years or above and you have spent any amount during the financial year on their medical treatment don’t forget to claim the benefit up to Rs 30,000/-
5. Extra benefit of Rs 50,000/- on interest paid on home loan: If you have bought your first house between 1^st April 2016 to 31^st Mar’2017 and the value of house does not exceed Rs 50 lakhs and the value of loan does not exceed Rs 35 lakhs you can claim an additional deduction of Rs 50,000/- of interest paid on home loan apart from deduction of Rs 2 lakhs claimed under section 24(b).

For more updates or if you have any query, you may contact:

CA Bharat Poplani

B.Com, FCA, LLB

E mail: ca.bharat@bjpassociates.com

Mobile: +91-9646380245

Or visit: www.bjpassociates.com