Tax advice required
2. Till March 2013, she was getting FD interest, below tax limit, from bank but tax was deducted and Form 16A was issued. How can she apply for refund?
3. In 2013-14, she sold her house and opened another FD in the same bank which will give taxable interest; hence she will file the return and needs advice. She also wants to know if there is any deductable exp. From tax, such as expenses on my illness and household exp. Etc. Thanks.
Dharam Vir Dhal - Mobile No. 08373932295 more
As i see your query i thought you was not filling ITR in previous year.
so file ITR and get Refund.
Atul Sharma more
Just a small correction what i intended by that comment was to point how he
could plan his taxes better before March 31, 2014 or within the time frame
that you also recognised two year after such transfer or three years in
case of construction. I started with the overall exemption limit to inform
him of the slab he would fall in.Sometimes lay people want to start with
how much they can deduct.Before going technical on how capital gains is
calculated, I thought it fit to inform him in that direction.
Besides I was mentioning that in case it is a long term FD it would be
deducted from taxable income under Section 80C specified contributions upto
Rs 1 lakh. I have not yet dealt with the issue of interest, as he did not
ask it. But point taken that it should have been mentioned.(I did not know
the date of sale or reinvestment into Fixed deposit) His query on interest
being taxed was for the previous year. I think you got me wrong. Besides I
am sure he cannot change the first FD with fresh infusion if it is long
Thanks and Regards,
Ashish Gosain. more
But when you put the proceeds from the sale of immovable property into a bank FD and do not reinvest in immovable property within the time frame, you would not only have to pay capital gains tax but also tax on the interest earned from the FD in the bank.
The above is as per my knowledge and perhaps Mr. Ashish Gosain, being in the area of taxation or a CA could guide you better. more