Tax calculation for one who took only few months salary

Harsha (Software professional) (214 Points)

02 July 2012  

A basic query about tax calculations.

 

For a salaried person, estimated income was Rs 10 lakh. So in the first 3 months, he got Rs 2.5 lakh and paid around  Rs 60 thousand as tax as salaried deductions. But he took a break and received no more salary.

 

Later  he made an investment of Rs 1 lakh in insurance and bonds. Also he has medical claims, rents etc over the non-salary tenure also

 

So does he qualify for complete refund of all the tax paid?  2.5 lakhs minus 1 lakh (or more) makes him under NO TAX slab.

 

Is my interpretation correct?