One by One Preparation Form 16 Part A&B and Part B for FY 2014-15 with New Income Tax Rebate U/s 80EE from House Building Loan Interest

Download One by One Preparation Excel Based Income Tax Form 16 Part A&B and Part B for the Financial Year 2014-15 and Assessment Year 2015-16.( This Excel Based Software can prepare one by one Form 16 for FY 2014-15 with the all new Income Tax section have in this Software.)


First time individual home buyers can get tax deduction on interest of home loan, under newly inserted section 80EE of the Income Tax Act, applicable for assessment year 2014-15. This is in addition to tax rebate on interest payment of home loan, under section 24.

Eligibility for 80EE rebate
This rebate on home loan interest is applicable only for home loans satisfying the following conditions:
i. Loan is sanctioned by a financial institution or housing finance company between 1st April 2013 and 31st March 2014.

ii. Loan amount is Rs 25 lakhs or less and cost of residential house is Rs 40 lakhs or less
This should be the only house owned by the taxpayer at the time of sanction.

Maximum deduction limit under 80EE 
Up to Rs 1 lakh can be claimed towards interest payable on home loan in the financial year 2013-14. If interest payable in this year is less than Rs 1 lakh then the balance can be claimed in the following year.

For instance if interest payable in FY 2013-14 is Rs 75,000 then tax rebate on remaining Rs 25,000 can be claimed in FY 2014-15.
The amount claimed under 80EE cannot be claimed for tax rebate under any other sections in any year.

How to get 80EE tax benefit
You can either produce  certificate from your lender to the HR and get deduction on salary TDS or you can deduct the amount from total income while filing income tax return.

Budget 2015-16 what main Changes that affect your Income Tax Benefits

What is the new changes in Central Budget 2015-16 and What will be the benefits of Salaried Persons for the Financial Year 2015-16

listed the major points of Budget 2015 and created a video on this. Please have a look at below
Let us discuss each point in detail.

1) No revision Tax Slabs and Sec.80C limit-

Finance minister has not touched the tax slabs and famous Sec.80C limit. So the earlier FY 2014-15 (AY 2015-16) tax slabs will continue. This is actually a big blow to salaried. They thought FM would revise it to some extent. However, no such magic happened. 

2) Sec.80D Health Insurance Premium limit raised-

Earlier health insurance premium limit under Sec.80D was Rs.15, 000 for individual and HUF taxpayers. An individual can claim deduction towards the health insurance premium paid to himself, spouse, dependent parents, or dependent children of the assessee. In case of HUF, it is any member of a family. 
Now this limit is raised to Rs.25, 000 per year for individual and HUF. At the same time, for senior citizens, it is raised to Rs.30, 000 (from the earlier Rs.20, 000). So overall for your family you can save up to Rs.55, 000 (On own family Rs.25, 000+Rs.30, 000 for senior citizen parents). 
This budget gave some relief to senior citizens whose age is 80 yrs and above. Usually none of health insurance companies offers health insurance to these citizens. Hence, any health expenditure up to Rs.30, 000 can be claimed as deduction under Sec.80D. 
This upgrading of limit actually a big relief for all. Because you notice the hospitalization cost these days. So buy a proper health insurance, you must go for a higher sum assured. By increasing the premium limit under Sec.80D, the Government actually pushes for health insurance to all.

3) New Pension Scheme (NPS) limit raised to Rs.1, 50,000-

Earlier the limit under Sec.80CCD (1) was Rs.1, 00,000. This Sec.80CCD deduction relates to your contribution to NPS (either an individual or employee). Now this limit is raised to Rs.1, 50,000. 

4) Transport allowance limit raised-

Earlier the monthly limit was Rs.800. Now it is doubled, i.e. Rs.1, 600 per month. Therefore, if you receive a transport allowance in your salary, then this is again a huge advantage for you. I feel this is a good move considering the cost of managing vehicle.

5) Now TDS (Tax Deducted at Source) on your RD (Recurring Deposits) too

Even though interest earned from RDs is taxable, but as of now, there was no TDS. Therefore, many people felt it easy to skip paying taxes on this. However, in this budget Govt amended Sec.194A. So effective from 1st June 2015-TDS of 10% on all your RDs under Sec.194A. However, there will be no TDS on RDs whose total interest is less than Rs.10, 000 in a year. This will protect small investors. Anyhow, it is wrong to believe that NO TDS means NO TAX. You still be liable for tax according to your individual tax slab on RDs.

6) Sukanya Samriddhi Account now with huge tax benefits-

Earlier, when the Sukany Samriddhi Account was launched, it was ETE. Means whatever you invest in this scheme will be available for tax benefit under Sec.80C. Interest earned was taxable (as is NSC) but maturity was said as tax-free. However, in this budget FM declared that interest earned from this scheme is full tax-free. Therefore, it is now treated as an EEE scheme (Exempt while investing, interest earned is exempt and maturity exempt). 
If we consider the current trend then between Sukanya Samriddhi Account Vs PPF, I feel Sukanya Samriddhi Account holds good except on liquidity issue and some other minor features. 

7) Service Tax raised to 14% from an earlier 12 %-

Earlier the service tax was 12% (excluding cess) and now it is raised to 14%. Along with that 2%, Swachh Bharat Cess also included. So earlier, it is 12.36%. Now it is 14.5% of service tax (14% Service Tax+0.2% Education Cess @ 2%+0.2% Swachh Bharat Cess @2%+0.1% Senior and Higher Education Cess @ 1%).

8) Wealth Tax discontinued, but with a surcharge of 2% if income is Rs.1 Cr or more-

Earlier the wealth tax was collected to those individuals and HUF if their Net Wealth exceeds Rs.30 lakh on the last date of the previous year on certain assets. Now such tax was abolished. To compensate the loss, FM introduced 2% surcharge on individual or HUF if their income is Rs.1 Cr or more. This move actually brings in more income to Govt than wealth tax. 

9) 100% Tax Deduction under Sec.80G if you donate to Swachh Bharat and Clean Ganga-

Whatever you contribute to Swachh Bharat and Clean Ganga schemes, the whole amount can be availed as deduction under Sec.80G. Let us contribute to these noble causes.

10) PAN Card mandatory for all buy or sell of above Rs.1 lakh-

From now onward if you want to buy anything, which is more than Rs.1 Lakh, then you have to quote your PAN number. This will bring the transaction into legality and tax angel. Hence there is no escape from avoiding tax or doing illegal transactions. Even FM also pointed that if someone tries to split the amount to make sure that the payment will be within Rs.1 lakh then too it will be tracked and penalize for such misdeed. From now onward, it is prohibited of acceptance or payment of an advance of Rs 20,000 or more in cash for purchase of immovable property.

11) Option to choose between EPF or NPS-

From now onward, you have the option to choose between EPF or NPS. This gives some flexibility to employees to choose. However, this option is only meant for certain employees whose income is limited (This limit is not yet cleared as of now). Let us wait for more clarity on this.

12) Introduction of Tax Free Bonds-

FM has proposed to introduce Tax Free Bonds. This will be good for those who are looking for tax-free instruments and stable income. FM announced that Rs.20,000 Cr worth of bonds will be issued to cater the infra, railway, and road projects. The interest from these bonds will be tax-free.

13) New Accidental Insurance which cost you Rs.12 a year !!!

FM has proposed to introduce the new accidental insurance called Pradhan Matri Suraksham Bima Yojana. Sum Insured under this scheme is Rs.2, 00,000 and yearly premium is just Rs.12 a year.

14) New Life Insurance of Rs.2, 00,000 for the yearly premium of Rs.300-

FM has proposed a new Life Insurance Pradhan Mantri Jeevan Jyoti Bima Yojana. This will offer you Rs.2, 00,000 Sum Assured. This covers accidental or natural death. The premium will be Rs.330 per year. Age group eligible to buy this plan are between 18 Yrs to 50 Yrs of age.

15) Unclaimed EPF and PPF amount usage-

FM has proposed that unclaimed EPF and PPF amount, which is idle with Govt, would be utilized for Senior Citizen Welfare Fund. This may to some extent give some benefits to seniors. 

16) No Changes in Tax Rebate Rs.2000/- U/s 87A 

17) No Changes in Savings Bank Interest relief Rs.10,000/- U/s 80TTA

Income Tax Department has notifies that Mandatory to download Form 16 Part A from the TRACES PORTAL Plus Download Automated Form 16 Part B for Financial Year 2013-14

You can Download the Automated Form 16 Part B from the below Link. If you have not able to Download the Form 16 Part A from the TRACES Portal, you can also Download the both of Form 16 Part A& B from the below Link.

Click here to Download the Form 16 Part B and also Part A of Form 16 for the FY 2013-14

Now it is time to submit TDS return within 15-05-2014 for Non-Government Deductors and 31-05-2014 for Government Deductors.   Deductors should submit their return in time to avoid Late filing Fee under section 234E.  In case deductors are facing some problem in their data they should submit either partial or Nil-Return as 24Q4 in time so that Late Filing fee may not be charged by Income Tax Department and further correction can be done as required. You can look the Format of Form 16 Part A from the below Snap Shot of Part A :-

 Second step after filing TDS return is issuance of TDS certificate in Form 16.   After addition two new fields like Reported income of previous employer or Reported Tds with previous employer in calculator sheet, Form 16 was not working properly.  Now the Form 16 Part A can be  download  from the TRACES Portal www.tdscpc.gov.in  and can be used as Form 16 Part A

Now you have to prepare the Form 16 Part B as per the Income Tax New  Notification bearing no 11/2013, that the employees Salary Details which is given and stated in this Part B of Form 16 and it is mandatory to prepare by the each employer and supply to the respective employee within stipulated period, so they can submit the Income Tax Return in Due time as mentioned by the Income Tax Department i.e. 31/7/2014 positively.Look the Form 16 Part B as a SNAP SHOT 
You can Download the Automated Form 16 Part B from the below Link. If you have not able to Download the Form 16 Part A from the TRACES Portal, you can also Download the both of Form 16 Part A& B from the below Link.

Click here to Download the Form 16 Part B and also Part A of Form 16 for the FY 2013-14

Key Features of Budget 2015-16 for Salaried Persons

Increase in deduction under section 80DD & 80U 

Investment limit under section 80DD & 80U of the Income-tax Act raised from `50,000 to ` 75,000 for a person with disability and from ` 1,00,000 to ` 1,25,000 for a person with severe disability.


Addition of Sukanya Samriddhi Account Scheme for deduction under section 80C & Other benefits of this account

The following tax benefits have been envisaged in the Sukanya Samriddhi Account scheme:
 
i) The investments made in the Scheme will be eligible for deduction under section 80C.


ii) The interest accruing on deposits in such account will be exempt from income tax.


iii) The withdrawal from the said scheme in accordance with the rules of the said scheme will be exempt from tax. Investment limit under section 80C of the Income-tax Act is ` 1.5 lakh.



Increase in deduction under section 80D

Investment limit under section 80D of the Income-tax Act raised from ` 15,000 to `25,000 for individual other than senior citizen and the limit raised from ` 25,000 to `30,000 for senior citizen.


An additional benefit given to super Senior citizen (aged more than eighty years) :-

It is also proposed to provide that any payment made on account of medical expenditure in respect of a very senior citizen, if no payment has been made to keep in force an insurance on the health of such person, as does not exceed thirty thousand rupees shall be allowed as deduction under section 80D i.e. the deduction under 80D can be claimed on the basis of expenditure incurred irrespective of payment of insurance made or not. The aggregate deduction for health insurance premia and medical expenditure incurred in respect of parents would be limited to thirty thousand rupees.

Increase/Changes in deduction under section 80DDB

Deduction limit under section 80DDB of the Income-tax Act raised from ` 60,000 to `80,000 only for Super Senior Citizen whose age is more than 80 years and there is no change in existing limit of individual other than senior citizen including super senior citizen and senior citizen of ` 40,000 and ` 60,000 respectively.

It is proposed to amend section 80DDB so as to provide that the assessee will be required to obtain a prescription from a specialist doctor for the purpose of availing this deduction.

The clause "a certificate from a doctor working in a Government hospital" causes undue hardship to the persons intending to claim the aforesaid deduction.
So, the obtaining certificate from Government hospital will be replaced by obtain a prescription from a specialist doctor.

Increase in deduction under section 80CCC

Investment limit under section 80CCC of the Income-tax Act raised from ` 1 lakh to `1.5 lakh. This limit is covered under the overall limit mentioned in section 80CCE of the Act.


Additional deduction under section 80CCD

An additional deduction in respect of any amount paid, of upto fifty thousand rupees for contributions made by any individual assesses under the NPS. This limit is not covered under the overall limit mentioned in section 80CCE of the Act except of section 80CCD(1).

Amendment in 80G:- One hundred per cent deduction for National Fund for Control of Drug Abuse.

 It is proposed amend section 80G so as to provide hundred percent. deduction in respect of donations made to the said National Fund for Control of Drug Abuse

U/S 87A :- No changes about Tax Rebate Rs.2000/- in this Budget 2015, so this benefits will be Continue in this Financial Year 2015-16.


U/s 80TTA :- No changes about Savings Bank Interest up to Rs. Ten Thousand, so this also will be Continue in this Financial Year 2015-16.






Prepare at a time 100 employees Form 16 Part B for FY 2014-15 with Tax Benefit on Home Loan: Section 24, 80EE & 80C

Click here to download Master of Form 16 Part B for Financial Year 2014-15 [ This Excel Utility can prepare at a time 100 employees form 16 Part B with Individual Salary Structure]

How to get tax benefits from House Building Loan Principal and Interest ( Rs.1.5 Lakh U/s 80C + 2 Lakh U/s 24B + 1 Lakh U/s 80EE, total =4.5 Lakh), EXPLAIN BELOW :-

Section 80C: Tax benefit on Home Loan (Principal Amount)
The amount paid as Repayment of Principal Amount of Home Loan by an Individual/HUF is allowed as tax deduction under Section 80C of the Income Tax Act. The maximum tax deduction allowed under Section 80C is Rs. 1,50,000. (Increased from 1 Lakh to Rs. 1.5 Lakh in Budget 2014) Read total deduction U/s 80C 
This tax deduction is the total of the deduction allowed under Section 80C and includes amount invested in PPF Account, Tax Saving Fixed Deposits, Equity Oriented Mutual funds, National Savings Certificate, Senior Citizens Saving Scheme etc.
This tax deduction under Section 80C is available on payment basis irrespective of the year for which the payment has been made. The Amount paid as Stamp Duty & Registration Fee is also allowed as tax deduction under Section 80C even if the Assessee has not taken Loan.
However, tax benefit of home loan under this section for repayment of principal part of the home loan is allowed only after the construction is complete and the completion certificate has been awarded. No deduction would be allowed under this section for repayment of principal for those years during which the property was under construction.
Moreover, in case you are planning to buy an under-construction property as it is priced at a lower price as compared to a fully completed property, you are here also requested to note that Service Tax is also levied on Under Construction Property & the Finance Minister while announcing the Budget 2013 also changed the rates of Service Tax on under Construction Property. However, no Service Tax is levied on properties on which construction has been fully completed.
However, Section 80C(5) also states that in case the assessee transfers the house property on which he has claimed tax deduction under Section 80C before the expiry of 5 years from the end of the Financial Year in which the possession has been obtained by him, then no deduction and tax benefit on Home Loan shall be allowed under Section 80C. The aggregate amount of tax deduction already claimed in respect of previous years shall be deemed to be the Income of the Assessee of such year in which the property has been sold and the Assessee shall be liable to pay tax on such income.
TAX BENEFIT ON HOME LOAN (INTEREST AMOUNT)
Tax Benefit on Home Loan for payment of Interest on Home Loan can be claimed as Deduction under Section 24 as well as under the newly inserted section 80EE (Inserted in the Budget 2013, to be applicable from 1st April 2013)
Section 24: Income Tax Benefit on Interest on Home Loan
Tax Benefit on Home Loan for payment of Interest is allowed as a deduction under Section 24 of the Income Tax Act. As per Section 24, the Income from House Property shall be reduced by the amount of Interest paid on Home Loan where the loan has been taken for the purpose of Purchase/ Construction/ Repair/ Renewal/ Reconstruction of a Residential House Property.
The maximum tax deduction allowed under Section 24 of a self-occupied property is subject to a maximum limit of Rs. 2 Lakhs (increased in Budget 2014 from 1.5 Lakhs to Rs. 2 Lakhs).
In case the property for which the Home Loan has been taken is not self-occupied, no maximum limit has been prescribed in this case and the taxpayer can take tax deduction of the whole interest amount under Section 24.
Please Note: In case a property has not been self-occupied by the owner by reason of the fact owing to his employment, business or profession carried on at any other place, he has to reside at that other place not belonging to him, then the amount of tax deduction allowed under Section 24 shall be Rs. 2 Lakhs only.
It is also important to note that this tax deduction of Interest on Home Loan under Section 24 is deductible on payable basis, i.e. on accrual basis. Hence, deduction under Section 24 should be claimed on yearly basis even if no payment has been made during the year as compared to Section 80C which allows for deduction only on payment basis.
Moreover, if the property is not acquired/constructed completed within 3 years from the end of financial year in which the loan was taken, the interest benefit in this case would be reduced from 2 Lakhs to Rs 30 thousand only.

Click here to download Master of Form 16 Part B for Financial Year 2014-15 [ This Excel Utility can prepare at a time 100 employees form 16 Part B with Individual Salary Structure]

Newly Introduce in Budget 2015 the Sukanya Samriddhi Yojana is Fully Tax-Free

As per the New Finance Budget 2015 has introduce the new scheme " Sukanya Samriddhi Yojana ", which just like as P.P.F. and after maturity of 21 years which earn the Interest also tax free. What is the " Sukanya Samriddhi Yojana? Read below the benefits :-

Budget 2015 has made the newly launched “Sukanya Samriddhi Yojana” fully tax-free. This means Sukanya Samriddhi Yojana is now tagged as EEE (Exempt, Exempt, Exempt) Investment Avenue under section 80C just like Public Provident Fund.

Details of tax-benefits of Sukanya Samriddhi Yojana under Budget 2015-16

Exemption on Contribution

The contribution/payment made towards Sukanya Samriddhi Account will be an eligible deception u/s 80C up to the threshold limit of Rs.1.50 lakhs (no changes in Budget 2015-16).

Exemption on Interest Income

The interest earned on the deposited amount will again be tax-free. Thus no need to add the interest income earned in the income of the guardian.

Exemption on Maturity Amount

Both the maturity amount  receivable at the end of the 21 years and 50% withdraw amount at the completion of 18 years of girl child for her marriage or higher education will be tax-free.
Prior to Budget 2015, Sukanay Samriddhi was ETE (Exempt, Taxable, Exempt) scheme, which means the contribution was deductible u/s 80C and the maturity amount was tax-free but the interest earned on yearly basis was taxable in the hands of the guardian, which is now been also made tax-free. So now SSA is fully comparable to PPF and scores above the PPF in terms of earnings i.e. interest rate is higher in SSA from PPF.

What to do now?


Sukanya Samriddhi Account is for the people who cannot accumulate enough money for their girl child’s education and marriage. Thus by investing small amount of Rs.1000 per month, the magic of compounding gives them a considerable sum to fund their girl child’s higher education and marriage. Though the accumulated amount will not be huge but people who are risk averse and cannot afford to invest in equity market are good to go with Sukanya Samriddhi Yojana.

New Modified Version of Form 16 Part A&B and Form 16 Part B as you like to download for the Financial Year 2014-15

Download  Fully Automated Income Tax Form 16 Preparation Excel Based Software for the Financial Year 2014-15 and Assessment Year 2015-16. This Excel Based Software can prepare One by One Form 16 Part B and Part A&B, This Can prepare at a time 50 employees Form 16 Part B or Part A&B. Download from below as you like or desired, hope this all Automated New Version of Form 16 will be help to prepare the Form 16 easy and handy. Download the Excel Based Software from below given link:-

1) Click to Download One by One Preparation Form 16 Part B                                (One by One Preparation )

2) Click to download One by One Preparation Form 16 Part B and Part A&B     (One by One Form 16 Preparation Form 16)

3) Click to Download At a time 50 employees Form 16 Part B                                    ( You can prepare  by this One Software more than 1000 employees Form 16 Part B)

4) Click to Download At a time 50 Employees Form 16 Part A&B                              ( You can  prepare by this One Software more than 1000 employees Form 16 Part B)

5) Click here to Download At a time 50 employees Form 16 Part B with 12 BA            ( You can prepare by this One Software more than 1000 employees Form 16 Part B)

6) Click here to Download At a time 50 employees Form 16 Part B with 24Q & 26Q ( You can prepare by  this One Software more than 1000 employees Form 16 Part B)

Budget 2015: Main Changes in Tax Section and hike the Tax Limit in the Budget 2015

Hike the some Tax Section Max Limit in the recent Budget 205-16

1) Transport Allowance increased to Rs 1,600 from Rs 800

2) Increase in Medical Insurance Premium exemption limit from Rs 15,000 to Rs 25,000 u/s 80D 
Very Senior Citizens (above 80 Years of age) to be allowed deduction of Rs 30,000 for medical expenditure in case they do not have health insurance

3) Additional exemption of Rs 50,000 under sec 80CCD for investing in NPS (New Pension Scheme)

4) Increase in the limit of deduction available for treatment of chronic diseases u/s 80DDB from Rs 60,000 to Rs 80,000

5) Rs 25,000 increase in deduction available to persons with disability and severe disability u/s 80DD and 80U
6) Tax Rebate Rs. 2000/- U/s 87A will be continue in the financial year 2015-16

The Tax Slab for the Financial Year 2015-16 as given below :-

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