please tell me while calculating the limit (250000)for professional tax, deductions (80c) under the income tax act are considered or not except deduction of professional tax.
Thanks in advance
11 Replies
Kapadia Pravin
(17259 Points)
Replied 16 March 2021
Please be specific in query. it's ambiguous that's why.
jasmeet singh
(220 Points)
Replied 16 March 2021
Professional tax levied if income is more than basic limit
my question is how to calculate basic limit
when we read the act it says before allowing deduction under this act ,it means before deduction of professional tax
but income tax deductions can be claimed?
my question is how to calculate basic limit
when we read the act it says before allowing deduction under this act ,it means before deduction of professional tax
but income tax deductions can be claimed?
Kapadia Pravin
(17259 Points)
Replied 16 March 2021
Assume it is profession Tax. It is paid monthly by employer and deducted from salary. For self employed , it is to be paid by themselves directly. Note it is a state tax and different in States.
jasmeet singh
(220 Points)
Replied 16 March 2021
Sir my question is about calculation of basic limit for professional tax
deductions are considered or not
deductions are considered or not
debora M
(BUSINESS DEVELOPMENT MANAGER)
(1697 Points)
Replied 16 March 2021
The maximum amount of professional tax levied by a state is Rs. 2,500 which is allowed as a deduction from your salary.
Spurto Consultancy Services
(Consultant)
(1891 Points)
Replied 16 March 2021
The professional tax is deducted on gross salary. Do not take any deductions under consideration.
CMA Poornima Madhava
(CMA)
(13112 Points)
Replied 16 March 2021
As I understand, deduction towards PT is allowed to be reduced (i.e. not added back), but deductions u/s 80C to 80U are added back to the net income in order to arrive at the basic exemption limit.
jasmeet singh
(220 Points)
Replied 16 March 2021
But the wording of act says that tax levied on before deduction under this act means (professional tax)but deduction of income tax allowed
please correct me if am wrong
please correct me if am wrong
CMA Poornima Madhava
(CMA)
(13112 Points)
Replied 16 March 2021
Who should file return of income?
Every individual has to file the return of income if his total income (including income of any other person in respect of which he is assessable) without giving effect to the provisions of section 10(38), 10A, 10B or 10BA or 154 or 54B or 54D or 54EC or 54F or 54G or 54GA or 54GB Chapter VIA (i.e., deduction under section 80C to section 80U), exceeds the maximum amount which is not chargeable to tax i.e. exceeds the exemption limit.
https://www.incometaxindia.gov.in/Pages/i-am/individuals.aspx?k=Return%20Filing
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