Section 80TTA – All about Claiming Deduction on Interest
80 TTA eligible deduction Not Coming In computation
Section 80TTA provides a Deduction in respect of interest on deposits in savings account. Where the gross total income of an assessee , being an individual or a Hindu undivided family, includes any income by way of interest on deposits (not being time deposits) in a savings account
This deduction is allowed on interest earned –
- From a savings account with a bank
- From a savings account with a co-operative society carrying on the business of banking
- From a savings account with a post office
The maximum deduction is limited to Rs 10,000. If your interest income is less than Rs 10,000, the entire interest income will be your deduction
Interest on savings bank account over the deduction limit is taxed as 'Income from other source' as per the tax slab rate applicable to the tax payer
The calculation of '80tta dedication ' has been further explained by way of the following example in software
Here other source income is already setoff by business loss, so
80 TTA eligible deduction not coming in computation , 80tta deduction will be allowed only when your income is in other source after setoff.
234A- Interest for defaults in furnishing return of income
234A- Interest for defaults in furnishing return of income Where the return of income for any assessment year under sub-section (1) or sub-section (4) of section 139, or in response to a notice under sub-section (1) of section 142, is furnished after ...
Pre construction Interest
Deduction for Pre-Construction Interest What is pre construction Interest? It is basically the interest paid on home loan while the residential house was “under construction”. Deduction as per section 24, Income tax Act says that the Interest paid ...
80ccd(2) eligible amount is not reflecting in the Computation
80ccd(2) eligible amount is not reflecting in the Computation The Central Government or any other employer makes any contribution to his account referred to in that section, the assessee shall be allowed a deduction in the computation of his total ...
Standard Deduction not showing in relief calculation u/s 89 (1) in a/y 2021-22
Deduction not showing in relief calculation u/s 89 (1) in a/y 2021-22 Possible Regulation As per new tax regime (section -115bac ) from AY 2021-22 the total income of the individual or Hindu undivided family shall be computed,— (i) without any ...
How to select New Tax Regime in Income Tax Software?
Form 10IE To Select New Tax Regime In Budget 2020, taxpayers were given an option to choose between the old and new tax regime. Under the new tax regime, taxpayers have an option to pay lesser tax on the total income. That means taxpayers will not ...