1. CA. Sanjay K Agarwal FCA, FCS, CPA (USA)
DIRECT TAX READY REFERENCE
83/85, N.S.Road, Suite:417, Kolkata - 700 001 (COVERING BUDGET 2009-2010)
Ph: 22431088, 22310071, 3291 3756, 9331023275 Email: sanju2k@vsnl.com
A TAX STRUCTURE - INCOME 2007-08 2008-09 2009-10 2010-11 ADVANCE IT : (if liability = or > 10000)
1 IND/HUF/AOP/BOI-Basic Exemption ---> 100000## 110000## 150000## 150000## Due Date Company Other than co
From 100000 upto 110000 10+0.2%* Nil Nil Nil By 15th june upto 15% -
Next 40000 upto 150000 10+0.2%* 10+0.3%* Nil Nil By 15th Sep upto 45% upto 30
Next 10000 upto 160000 20+0.4%* 20+0.6%* 10+0.3% Nil By 15th Dec upto 75% upto 60
Next 90000 upto 250000 20+0.4%* 20+0.6%* 10+0.3% 10+0.3% By 15th March 100% 100%
Next 50000 upto 300000 30+0.6%** 30+0.9%** 10+0.3% 10+0.3% COST INFLATION INDEX :
Next 250000 upto 500000 30+0.6%** 30+0.9%** 20+0.6% 20+0.6% 1981-82 100 1995-96
Rest - - 30+0.6%** 30+0.9%** 30+0.9%** 30+0.9% 1982-83 109 1996-97
## Basic Exemption: Resident Woman below 65 yrs 135000 145000 180000 190000 1983-84 116 1997-98
Senior Citizen, 65 yrs or above 185000 195000 225000 240000 1984-85 125 1998-99
** Surcharge of 10% if net income exceeds Rs 10 Lac (AY 06-07 to 09-10) before EC/SHEC included above 1985-86 133 1999-00
2 REGD.FIRM 30+3.66% 30+0.9%# 30+0.9%# 30+0.9% 1986-87 140 2000-01
3 DOMESTIC COMPANY REGULAR TAX 30+3.66% 30+0.9%# 30+0.9%# 30+0.9%# 1987-88 150 2001-02
MAT (Section 115JB) 10+1.22% 10+0.3%# 10+0.3%# 15+0.45%# 1988-89 161 2002-03
C/F of MAT Credit 10 years 10 years 10 years 10 years 1989-90 172 2003-04
#if net income exceeds Rs 1.0 Crore: 1) Surcharge of 10% before EC(2%)+SHEC(1%) included above 2) Marginal relief of tax exceeding income 1990-91 182 2004-05
4 TAX ON LONG TERM CAPITALGAIN (with indexation benefit) # Plus S/C as applicable 1991-92 199 2005-06
IND/HUF/AOP/BOI 20+SC+EC% 20+SC+Cess% 20+SC+Cess% 20+Cess% 1992-93 223 2006-07
DOMESTIC CO./FIRM 22.44% 20+0.6%# 20+0.6%# 20+0.6%# 1993-94 244 2007-08
Notes: 1) Tax on LTCG can be taken as 10%+SC+Cess in case of transfer of listed shares/securities/units without indexation benefit 1994-95 259 2008-09
2) Income from LTCG is exempt in case of transfer of equity shares/units of equity oriented fund which are liable to STT IMPORTANT PROVISIONS:
5 TAX ON S T CAPITAL GAIN (ON TRANSFER OF SECURITIES-SEC 111A) 10+SC+EC% 10+SC+EC% 15+0.45%# 15+0.45%# a) Transfer of a property to non-relative
without consideration or less than stamp du
#if net income exceeds Rs 1.0 Crore: 1) Surcharge of 10% before EC(2%)+SHEC(1%) included above 2) Marginal relief of tax exceeding income
(immovable) or less than FMV (mov
B DEDUCTIONS & REBATES chargeable to tax in the hands of transfer
a General Deduction 80C/80CCC/80CCD 100000 100000 100000 100000 56(2)(vii) wef 01.10.2009 [maximum relief Rs
b Mediclaim 80D 10000 15000 15000* 15000*
(otherwise than cash)
for Sr. Citizen Rs.15,000/- wef AY 2000-01 & Rs. 20,000 wef AY 2008-09 b) Remuneration to partners 40(b)- Fin Yr 20
*Additional Deduction for Mediclaim of Parents Rs 15,000 (Rs 20,000 in respect of Sr. Citizen) Book Profit Allowab
c Standard Deduction 24(a) 30% 30% 30% 30% 30% 30% <0 Rs 1500
(in case of rented House Property) < or = Rs 300000 higher of 1500
d Int on borrowed capital 24(b) 150000* 150000* 150000* 150000* on Balance 60%
(in case of self occupied House Property) c) Certain eligible assessee not required to
book of accounts, not required to pay advan
*30000 Generally (higher deductions are allowable only where the capital is borrowed after 01.04.99 and property is there turnover/gross receipts does not excee
acquired/constructed within 3yrs from the end of FY in which capital was borrowed.) Lac and they show income @8% (wef:
C CARRY FORWARD & SET-OFF OF LOSSES: Set-off Carry Forward & Set-off 2010-11)
* except Salaries Same Head another head C/F Years agst whom d) AO can include any other issue [not men
148(2)] during assessment u/sec 147
1. Salaries Yes Yes No NA NA
2. House Property Yes Yes Yes 8 years same head INTEREST ON INCOME TAX:
3. Speculation Business / Specified Bus. 35AD No No Yes 4 years same item 1.Filing of return after due Int @ 1% pm or
mth from the en
Ubabs. Depreciation / Cap Exp on SR/FP Yes Yes Yes No limit any income date u/sec 234A Date for filing of re
Non-speculative Business or Profession Yes Yes* Yes 8 years same head 2.Defaults in pymt of Int @ 1% pm or
mth from the 1st d
4. Long Term Capital Gains No No Yes 8 years same item Advance Tax u/s 234B of the AY
Short Term Capital Gains Yes No Yes 8 years same head 3.Deferment in pymt of Int @ 1% pm or
mth on the defic
5. Owning / Maintaining race horses No No Yes 4 years same item Advance Tax u/s 234C applicable
Lotteries / Crossword Puzzles etc. No No No NA NA 4.Interest for late pymt of Int @ 1% pm or
mth from the end
Income from Other Sources (except if exempt) Yes Yes No NA NA demand u/s 156 of Demand Notice
D WEALTH TAX [IND / HUF / CO] Exemption Tax GIFT TAX Exemption Tax 4.Failure to deduct and pay Int @ 1% pm or p
from the date on
wef FY 1995-96 15 lac 1% FY 1995-96 to 1998-99 30000 30% TDS u/s 201(1A) was deductible
wef FY 2009-10 30 lac 1% (Abolished from 01/10/98) Some Tax Saving cum Investment Scheme
GIFT(wef Gift received by an Ind. or HUF (and in kind wef 01.10.2009) without consideration 6 year NSC 8% Investment an
VIII issue compounded interest qualify
01.04.06) from a non-relative above Rs 50,000 in a FY is entirely taxable as Income half yearly deduction u/sec
E Interest NSC (on every Rs 1000) 1st year 2nd Year 3rd Year 4th Year 5th Year 6th Year
31.03.1989-31.12.1998 124.0 139.0 156.0 175.0 197.0 224.0 15 yr Public compound Inv qualify for ta
Provident Fund int 8% per yr deduction u/sec
01.01.1999-14.01.2000 118.3 132.3 148.0 165.4 185.1 206.9 exempt u/sec 1
15.01.2000-28.02.2001 113.0 125.8 140.0 155.8 173.5 193.1
01.03.2001-28.02.2002 97.2 106.7 117.1 128.5 141.0 154.7 Life Insurance rate of bonus Bonus is total
Premium keeps on Inv qualify
01.03.2002-28.02.2003 92.0 100.5 109.7 119.8 130.9 142.9 fluctuating deduction u/sec
01.03.2003 and after 81.6 88.3 95.5 103.3 111.7 120.8
Note: I)The above chart does not cover the provisions related to Non-resident assessee and Foreign Company ii) reference to year wherever appear
Important Links: Income Tax Site: http://www.incometaxindia.gov.in For Income Tax e-Return Filing: http://incometax-indiaefiling.gov.in For PA

2. For PRIVATE CIRCULATION ONLY
Return Due Date u/s 139(1) DEPRECIATION AY 06-07
Other than company From Asst year 2008-09 Due Date upto 05-06 onwards
- 1. Non-corporate assessee Sept 30 of PLANT & MACHINERY 25% 15%
or a working partner of a firm the asst year
upto 30% (where books are reqd to be FURNITURE & FIXTURE 15% 10%
upto 60% audited) & Corporate COMPUTERS 60% 60%
100% Assessee BUILDINGS
Non RESIDENTIAL 10% 10%
281 2. Any other assessee July 31 RESIDENTIAL 5% 5%
305 3. Return of Loss-139(3) within due Purely Temp Erections100% 100%
331 date 15%
CAR & VEHICLES 20%
351 4. belated return-139(4) 1yr from the CAR OR VEHICLES USED
end of asst yr ON HIRE 40%
389 30%
406 Note: Filing of Return by Corporate Ass- Only 50% Depre. will be allowed if assets
essee / Firm is compulsory acquired / used for < 180days
426
447 Tax Deducted at Source: 1)Deposit of TDS to Govt a/c to be made within 7 days from
463 the end of the month in which provision for TDS is made and within 2mths(7days for
480 salary) if provision for TDS is made at the end of financial year.
497 2) Filing of return in computer media mandatory for Company, Govt deductor,
519 those who r covered u/s 44AB, assessee with no. of deductors>50 (qtrly);
551 3) Returns to be filed quarterly in F/24Q (Salary) or F/26Q (others) within 15 days
582 from the end of quarter (76 days in case of last quarter);
4) TDS certificate to be made in Form 16/12BA for Salary, F/16A for others;
sfer of a property to non-relative Ind/HUF 5) For lower deduction the recipient may apply to AO in F/13 or a declaration may
consideration or less than stamp duty value
able) or less than FMV (movable) is be made in form 15G/15H (for Int./Div./NSS only), 15I (for transport contractor);
ble to tax in the hands of transferee u/sec 6) PAN data of deductees should be minimum 95% for 24Q & 85% for 26Q.
) wef 01.10.2009 [maximum relief Rs 50,000] TDS Liability(wef 01.10.09) Rate TDS Liability(wef 01.10.09) Rate
Interest > 5000 pa [Rs 10000 10.00% *Contractor / Ind/HUF---> 1.00%
in case of pymt of banks/PO] Subcontractor>
uneration to partners 40(b)- Fin Yr 2009-10: 20000 (single) Others ----> 2.00%
- Sec 194A
Allowability or 50000 pa Sec 194C
---
Rs 150000 Commission or Brokerage 10.00% *[transport Operator - Nil if PAN furnished]
higher of 150000 or 90% >2500 pa -Sec 194H Rent - Plant & Machinery 2.00%
>1,20,000 pa - 194-I
60% Fees for Prof or Technical 10.00%
Services > 20000pa - Sec 194J
in eligible assessee not required to maintain Rent - Land / Building / 10.00%
accounts, not required to pay advance tax, if Furniture / Fittings >1,20,000 pa
Dividend u/s 2(22)(e) > 2500 10.00% - 194-I
rnover/gross receipts does not exceed Rs 40 pa - Sec 194
d they show income @8% (wef: Fin Year Compensation on acquisition of 10.00%
) certain immovable
winning from lottery / horse 30.00% properties-194LA
an include any other issue [not mentioned in race etc - 194B/BB Insurance Commission - 194D 10.00%
during assessment u/sec 147
Note:w.e.f. 01.04.2010 furnishing of PAN to deductor, in 15G/H/I and to AO for lower
dedn. is mandatory - noever TDS will be higher of 20% or prescribed or in force
Int @ 1% pm or part of the Important Prescribed Forms under Income Tax Rules 1962
mth from the end of Due
Date for filing of return Return of Income & FBT Form No. Return of Income Form No.
Int @ 1% pm or part of the
1. corporate assessee ITR-6 1. Individual with Salary & Int ITR-1
mth from the 1st day of April
of the AY 2. Firms, AOPs and BOIs ITR-5 2. Ind/HUF without Busi/Prof ITR-2
Int @ 1% pm or part of the 3. Person reqd. to furnish return ITR-7 3. Ind/HUF being partners in ITR-3
mth on the deficit amt as u/s 139(4A) / (4B) / (4C) / (4D) firm (without prop.Busi/Prof)
applicable
Int @ 1% pm or part of the 4.Return for Fringe Benefits ITR-8 4. Ind/HUFwith prop.Busi/Prof ITR-4
mth from the end of 30 days
of Demand Notice 5.Manual Form for no DS ITR-V Appeal
Int @ 1% pm or part of mth Other Forms 1. To CIT(Appeals)-2copies 35
from the date on which tax
was deductible 1. PAN Application 49A 2. To ITAT - 3copies 36
ax Saving cum Investment Schemes: 2. TAN Application 49B 3. Memorandum of cross 36A
Investment and accrued 3. Wealth Tax Return Form BA objection to ITAT-3 copies
interest qualify for tax 10DB/10DC 4. To ITAT-to refer to High
4. STT pymt evidence 37
deduction u/sec 80C Court any question of law
5. Annual Tax Statement 26AS 3 copies
Inv qualify for tax Challans Charitable & Religious Trusts
deduction u/sec 80C;Int 1. Income Tax 280
exempt u/sec 10(11) 1. Appln for regn 10A
2. TDS/TCS Tax Challans 281 2.Appln for approval/ cont 10G
Bonus is totally exempt; 3. Misc Direct Taxes 282 -inuance u/s 80G(5)(vi)
3 copies
Inv qualify for tax 4. Fringe Benefit Tax 283 3. Notice for accumulation of
deduction u/sec 80C 10
Income to AO
ference to year wherever appears represents asst year unless otherwise specified.
metax-indiaefiling.gov.in For PAN/TAN related matters: www.tin-nsdl.com or www.utitsl.co.in