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Old 13th July 2017, 11:12   #1186
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

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Originally Posted by hillsnrains View Post
However you have declare the profit amount in your next year income tax return under exempted category (Long Term Capital Gains).
Correct.

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Originally Posted by bluevolt View Post
So if I hold my current stock market investments for more than 1 year, then I would not require to pay any tax on the profits that I might be getting that time?
The LTCG gain computation is based on indexation, so profits you make will be much lesser from LTCG gain perspective as it will be after indexation.
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Old 13th July 2017, 11:36   #1187
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

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Correct.


The LTCG gain computation is based on indexation, so profits you make will be much lesser from LTCG gain perspective as it will be after indexation.
Incorrect. Tax on LTCG on equities is ZERO. Hence all we need to declare in ITR2 is the actual LTCG on equities and there is no tax on it.
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Old 13th July 2017, 12:47   #1188
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

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Incorrect. Tax on LTCG on equities is ZERO. Hence all we need to declare in ITR2 is the actual LTCG on equities and there is no tax on it.
I was referring to equity based mutual fund investments, hope that is correct
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Old 13th July 2017, 13:26   #1189
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

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I was referring to equity based mutual fund investments, hope that is correct
Even equity based MF investments are treated just like equities. NO DIFFERENCE.
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Old 13th July 2017, 13:52   #1190
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

All the long term returns (both stocks & MF) are tax free. You just need to mention the amount in ITR-2.

Indexation thing comes for short term capital gains only, no way related to LTCG.
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Old 13th July 2017, 14:05   #1191
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

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Originally Posted by bluevolt View Post
So if I hold my current stock market investments for more than 1 year, then I would not require to pay any tax on the profits that I might be getting that time?
As correctly stated by other members, yes, the profits will be exempt.

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Originally Posted by hillsnrains View Post
Indexation thing comes for short term capital gains only, no way related to LTCG.
Benefit of indexation is only available while computing Long Term Capital Gains.

Last edited by Sherlocked : 13th July 2017 at 14:08.
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Old 13th July 2017, 17:27   #1192
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Benefit of indexation is only available while computing Long Term Capital Gains.

Only for debt/liquid funds I suppose, since it will be taxable as per applicable tax slab.
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Old 13th July 2017, 18:17   #1193
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

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Only for debt/liquid funds I suppose, since it will be taxable as per applicable tax slab.
No. Tax is 20% or indexed gains for debt /liquid MFs held for more than 3 years (Which is considered LTCG). For debt MF held for <3 years the actual gains (Not indexed)are taxed at the applicable tax slab.
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Old 14th July 2017, 08:15   #1194
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Which form do we need to fill to claim deduction for interest paid for house loan under sec 24b. No such option is there in ITR1 and neither is there any clear instruction available online. Does ITR2 have that option?
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Old 14th July 2017, 09:34   #1195
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Originally Posted by rdst_1 View Post
Which form do we need to fill to claim deduction for interest paid for house loan under sec 24b. No such option is there in ITR1 and neither is there any clear instruction available online. Does ITR2 have that option?
If you have just one house property, use ITR1 and show interest as loss from house property, provided it is self occupied.
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Old 14th July 2017, 09:38   #1196
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

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Originally Posted by rdst_1 View Post
Which form do we need to fill to claim deduction for interest paid for house loan under sec 24b. No such option is there in ITR1 and neither is there any clear instruction available online. Does ITR2 have that option?
You need to file ITR2, yes
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Old 14th July 2017, 11:27   #1197
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

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Originally Posted by DieselFan View Post
No. Tax is 20% or indexed gains for debt /liquid MFs held for more than 3 years (Which is considered LTCG). For debt MF held for <3 years the actual gains (Not indexed)are taxed at the applicable tax slab.
Yes. This is correct.

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Originally Posted by SilentEngine View Post
Only for debt/liquid funds I suppose, since it will be taxable as per applicable tax slab.
I was talking about indexation in general. It is used only while calculating cap gains arising on transfer of Long Term Capital Assets subject to a proviso.

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Originally Posted by rdst_1 View Post
Which form do we need to fill to claim deduction for interest paid for house loan under sec 24b. No such option is there in ITR1 and neither is there any clear instruction available online. Does ITR2 have that option?
If you are eligible to fill ITR1, then you can show the interest amount as negative i.e., in brackets, under the head income from house property.

Alternatively, you can use the option "Prepare and submit ITR online" in the income tax website without any need to download any form and show the interest amount as negative under Income from House Property.
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Old 14th July 2017, 21:08   #1198
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Quote:
Originally Posted by Gokrish View Post
If you have just one house property, use ITR1 and show interest as loss from house property, provided it is self occupied.


Quote:
Originally Posted by hserus View Post
You need to file ITR2, yes
Thanks for the inputs guys.
I ended up using Cleartax's e-filing free service and they filed it using the method Gokrish has mentioned above.
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Old 15th July 2017, 07:33   #1199
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Guys, I sold my flat in March this year. Yet to buy a new one. Have created a capital gains account in SBI for the capital gains.
Now which ITR should I be using? Thanks in advance.
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Old 28th July 2017, 12:07   #1200
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Default Re: All Income Tax Queries (refunds, disputes, rates etc...)

It appears that ITD has been sending a lot of 143 1(a) notices https://www.bemoneyaware.com/blog/in...-notice-143-1/ . The notice is being sent when 80C investment claims are made in the return but they don't appear in Form 16 uploaded by the employer - so they're essentially cross verifying between Form 16 and the uploaded return.

My dad also received such a notice. His 80C investment was disallowed. He's in fact retired and not employed for the last 3 years , but his old employer has been uploading empty returns/salaries for the last few years . Obviously there's no mention of 80C in these empty returns , resulting in the notice.

There's an option to dispute the notice online. Should I upload the 80C investment proof and state that he's not employed ? Anyone faced this situation before ?
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