26 March 2013
I hold a family pension account with a nationalized bank. As it is a family pension account, the income from this account is considered as “income from other sources” and hence this income is not liable for TDS. However, the bank deducted the TDS in FY2010-11 and issued me a form16 in Nov 2012. 1) In the form16, Bank has considered this family pension income under the head ‘Income from Salary’ whereas the ‘Income from other sources’ is shown as NIL. Now when I file the IT returns (for FY2010-11) to claim for a refund of TDS, do I need to enter the details in the ITR1 form as per form16? If yes, then I will have to show ‘income from Salary’ and my ‘income from other sources’ would be NIL (but in reality it is the other way round; that is my income from salary is NIL and I have income from other sources i.e income from family pension). How do I go about filing the returns and claiming the TDS refund?
2) I was issued Form16 for FY2010-11 in Nov 2012. Is it the responsibility of the deductor/bank to give Form16 on time or is it the responsibility of the deductee to ask for Form 16. When I asked the dedcutor(the bank) the reason for this delay, I was told that I never asked for the Form16 and hence they did not issue it. Does one needs to explicitly ask for Form16 or is it the responsibility of the deductor to issue Form16 on its own, without someone asking for it. I have heard that there is a penalty of Rs.100 per day in case of delay in issuing of the Form16. How does one claim this compensation? Thanks a lot for you advice!
30 March 2013
the practical advise is that you show the family pension as salary, the loss is that deduction of 15000/- would not available but credit of tds will be allowed
CAclubindia
