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Old 30th July 2016, 17:12   #961
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

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Originally Posted by murillo View Post
Dear friends,

I came to know I have some amount of tax to be paid from previous years. As I am not well aware of taxation being a salary earner, I didn't keep track of this. I want to pay this amount immediately to IT dept. as otherwise it will keep accumulating interest. I want to know from experts how I can know the final amount to be paid and where and how can I remit this amount.

Thank you.
Login to incometaxindiaefiling.gov.in using your credentials.
Go to e-file tab and under that click on 'Respond to outstanding Tax Demand'.
Here you may find the tax amount which you have to pay.
If not then kindly check the notice in email or letter which you must have received. That must have all the info needed.

For paying the same you may click on E-Pay tax option from the same website and pay the amount electronically by filling the Challan 280. Under this Challan select the option 'Tax on regular assessment'.
Alternatively you may find the hard copy of this challan, fill the same and submit it along with the amount to the nearest bank branch. Not sure what all banks provide this facility but in my case my nearest SBBJ branch had this facility.

I would advice if the demand is genuine then make the paymemt before the first date of next month i.e. either today or tomorrow as from 1st Aug., interest of one percent will be accumulated to your demand amount.

Hope that helps.

Last edited by Sherlocked : 30th July 2016 at 17:14.
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Old 30th July 2016, 17:32   #962
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

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Thanks. I had the same question. My worry is what about jointly owned flats? Should one straight away pro-rate it? (seems so but its worth getting it correct!).
My opinion is pro rate it in the same ratio that you are claiming home loan interest / declaring rental income on the flat.

And stick to that ratio throughout in the future as well, plus have this documented on a notarised affidavit that you can keep handy and show if there is any scrutiny of your or your wife's returns.
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Old 30th July 2016, 18:02   #963
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Heard from my tax consultant that the last date for income tax returns filing is moved to Aug 5 th. We have had some strikes in between and I had delay in receiving tax payment challan number and similar delays may have caused the dept to extend the filing deadline
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Old 30th July 2016, 18:53   #964
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I had filed my ITR2 on 16Jul2016 and today I get a SMS from IT department that it has been processed. This is the first time my returns have been processed within 3 months (In 15 days). Really surprised at how Modi/Jaitley combination is working to make government departments efficient. Now I am sure we will see lot of black money unearthing and see IT department really going after the tax evaders.
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Old 30th July 2016, 20:12   #965
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

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Originally Posted by Sherlocked View Post
Login to incometaxindiaefiling.gov.in using your credentials.
Hope that helps.
Thanks Sherlocked.

I just now logged into the IT web site and paid through my bank gateway.

I paid the tax amount pending as displayed in the website. The AY is 2004/05 and it showed two amounts in two entries totalling about 2.5k rupees. I had paid the total amount as shown in the website (after agreeing to demand; unfortunately, I don't even have the Form 16 for that AY). I didn't get any challan regarding this, but I could have missed it as I had moved addresses two/three times meanwhile.

What I want to know is that if the amount shown is the sum total of entire tax to be paid, i.e., includes both principal and interest so far.

Hope the IT dept updates their records next week to show the payment.

Regards,
murillo.
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Old 30th July 2016, 23:50   #966
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

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This is the first time my returns have been processed within 3 months (In 15 days). Really surprised at how Modi/Jaitley combination is working to make government departments efficient.
To be frank - the income tax department has been working very hard on computerization of return processing as well as so called "360 degree visibility" on financial transactions for over five years now, with multiple IT vendors, and this is the fruit of their hard labour, across multiple governments in power. All this speedy processing of returns, especially straightforward ones that have only salary / interest income, is the fruit of that hard work.

That 360 degree visibility means that any income that you may conceal inadvertently or in order to suppress tax is getting traced out and notices sent.

And expensive purchases in cash are getting scrutinized more and more - including your having to declare capital assets you own such as gold, land, houses, cars etc. Yachts too, I wish I had a yacht but I don't so that saves me some time spent declaring it

Quote:
Originally Posted by murillo View Post
I paid the tax amount pending as displayed in the website. The AY is 2004/05 and it showed two amounts in two entries totalling about 2.5k rupees. I had paid the total amount as shown in the website (after agreeing to demand;
My guess is that some petty amount like a few hundred rupees wasn't paid due to a calculation or a rounding error, and that has now amounted to 2500 due to interest and penalty accumulation. It is still a quite minor amount, so it makes sense to pay it off immediately - and not worth appealing.

If you paid the amount online you will be able to download the challan. It will also reflect in your Form 26 AS that you can access from your netbanking website or incometaxindia.gov.in
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Old 31st July 2016, 11:47   #967
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

On Friday I filed my ITR-1. I did not opt for e-verification, so I have the printout ready to be sent.

I booked a flat in year 2011 and started paying EMI since Aug 2011, and have all the interest statements from the bank.. We moved into this flat in April this year on provisional possession. Registration has not been done yet.

Now a friend tells me that I can claim housing load interest deduction because I have now occupied this flat.

So my questions are:
1. Is my friend's statement above true?
2. Can I revise my ITR?
3. Which ITR form should I use? I believe housing loan interest deduction is under section 24. ITR-1 does not seem to have section 24.
4. Should I fill up entire interest amount of the last five years or break up into three parts?

I will continue my research on this subject. In the meantime any response on this forum will be appreciated, considering the huge knowledge bank here.
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Old 31st July 2016, 12:57   #968
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

Registration and issue of occupation certificate is necessary in order to claim benefits, mere handover will not work too well for you to claim benefits given that the income tax dept has a lot of visibility into registrations and high value transactions in real estate, these days.

All this pre construction emi can be claimed in five instalments of 20% per year
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Old 31st July 2016, 17:47   #969
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Quote:
Originally Posted by Guite View Post
So my questions are:
1. Is my friend's statement above true?
2. Can I revise my ITR?
3. Which ITR form should I use? I believe housing loan interest deduction is under section 24. ITR-1 does not seem to have section 24.
4. Should I fill up entire interest amount of the last five years or break up into three parts?
1. Not true
2. Not in this case
3. Use ITR 1. Show the net loss from house property i.e. interest in this case.
4. Preconstruction interest till the Financial Year before the year in which you registered the house in your name and rightfully occupied it, will be claimed in 5 equal installments.
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Old 1st August 2016, 00:35   #970
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

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Originally Posted by hserus View Post
Registration and issue of occupation certificate is necessary in order to claim benefits, mere handover will not work too well for you to claim benefits given that the income tax dept has a lot of visibility into registrations and high value transactions in real estate.
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Originally Posted by Gokrish View Post
1. Not true
2. Not in this case
3. Use ITR 1. Show the net loss from house property i.e. interest in this case.
Thanks a lot for the responses, you have confirmed my believe that as far as the government is concerned this flat has not been handed over yet to the purchaser.
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Old 2nd August 2016, 13:36   #971
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

Some issue with the TRACES website?

If I try to view my Form 26AS from the IncomeTax website, I get redirected to TRACES, but with a message

Quote:
TDSCPC services for NRIs is available through https://nriservices.tdscpc.gov.in/nriapp/login.xhtml . Kindly register and access TDSCPC NRI services through same.
I am not an NRI and there is no option to do anything beyond this link.
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Old 2nd August 2016, 13:47   #972
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Originally Posted by S_U_N View Post
I am not an NRI and there is no option to do anything beyond this link.
S_U_N, this could be because you're trying to access the site through an office computer that has its server somewhere else in the world, like Singapore or Hong Kong. The site works fine if you launch via your home PC, broadband or mobile internet.

Last edited by satanic_dude : 2nd August 2016 at 13:49.
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Old 2nd August 2016, 15:27   #973
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

Friends - I need some advice.

I was in US for 5 years and repatriated to India in May 2015. Now my company has hired one of the Big 4 audit firms to do taxes for people who moved abroad or moved back to India. Last week they came back with my tax return details and I was shocked to see amount I was supposed to pay. Turned out they had included salary I received from Jan 2015 to March 2015 also in my US salary calculations and there were lot of assumptions. After lot of back and forth I have received revised documents (amount reduced to one third) , as per latest documents I still need to pay tax which is equal to 4 month salary here in India (this is mainly due to two months (apr/may) salary received in US).

Questions:
  1. Is there anyone here who was in similar situation as mine? Do you have any advice.
  2. I read that there are different method under DTAA (exemption/tax credit). Firm which is doing my taxes used tax credit method and when I asked that why don't you use exemption method they said its very litigative and they don't use that. Is that true? Anyone in similar situation filed taxes using exemption method?
  3. Instead of going through this tax firm, should I contact good CA? I understand i will need to pay interest along with taxes.
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Old 2nd August 2016, 19:43   #974
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

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[*]I read that there are different method under DTAA (exemption/tax credit). Firm which is doing my taxes used tax credit method and when I asked that why don't you use exemption method they said its very litigative and they don't use that. Is that true? Anyone in similar situation filed taxes using exemption method?
You can try the tax credit method but if this ends up with lower taxes that you pay out, and if the amount is significant (4 months salary you said so let's say 5 to 6 lakhs) - your big 4 auditors are quite right.

Given the prospect of a significant excess tax due from you using a different method = it doesn't make any sense for an income tax assessor NOT to question your return and raise a demand for back taxes, so you will run from pillar to post filing appeals, and meanwhile all future refunds due to you will get deducted towards the tax demand.

So - thank your stars you got a significant income from five years onsite, and pay up the tax they have calculated. You already did a good job reducing it by 60% ++.

The hard reality is that you can always get an opinion from another CA based on your returns. You may even find provisions of the tax code / previous judgements that favor your interpretation. But well - if your return is queried and a demand raised you are still on the hook for the money till such time as you can successfully argue your case with the ACIT -> DCIT -> appellate tribunal etc (and if you need to approach the tribunal, your CA and lawyer fees will go well up).

(edit) - Didn't you do all this calculation at the time of arrival in India and pay advance tax at the time? Just the additional interest etc on that demand amount will be a significant figure now.

Last edited by hserus : 2nd August 2016 at 19:44.
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Old 4th August 2016, 00:20   #975
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A noob question - Is it mandatory to include the interest accrued on savings account as part of our income??
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