Income tax exemption query.

Nope. You cannot. 

ConfirmPassword wrote:

Nope. You cannot. 

Is it since inception or any changes made?

Not allowed.

kartikxxx wrote:

Is it since inception or any changes made?

Inception 

ConfirmPassword wrote:

Inception 

Thanks bro.
I got confused by such news.

@admin should consider starting a "koi mera *home-work kara dou" section in the forums.



* homework/ open-book exam.

I think this can be done if you register as a HUF

karanoshan wrote:

I think this can be done if you register as a HUF

Who can register himself under huf, any criteria?

praveersavarkar wrote:
@admin should consider starting a "koi mera *home-work kara dou" section in the forums.



* homework/ open-book exam.

Are you tower?

Cc - @tappukepapa

kartikxxx wrote:

Are you tower?

Cc - @tappukepapa

Are jo koi bhi ho, kal tak ban ho hi jayega.

kartikxxx wrote:

Who can register himself under huf, any criteria?

one can register, you will be issued a new PAN number 
your taxes have to be filed under that 
however if you are salaried, most company dont agree to use huf pan to deposit tds 

kartikxxx wrote:

Who can register himself under huf, any criteria?

Contribution to SPF/PPF/RPF

• Contributions to any provident fund to which the Provident Funds Act, 1925 applies and recognized provident fund qualifies for deduction under section 80C.
• Contribution made to any Provident Fund set up by the Central Government and  notified in his behalf (i.e., the Public Provident Fund established under the Public Provident Fund Scheme, 1968) also qualifies for deduction under section 80C.
• Such contribution can be made in the name of the individual, his spouse and any child of the individual; and any member of the family, in case of a HUF.
• The maximum limit for deposit in PPF is ` 1,50,000 in a year.

Original wrote:

Contribution to SPF/PPF/RPF

Contributions to any provident fund to which the Provident Funds Act, 1925

applies and recognized provident fund qualifies for deduction under section 80C.

Contribution made to any Provident Fund set up by the Central Government and  

notified in his behalf (i.e., the Public Provident Fund established under the Public

Provident Fund Scheme, 1968) also qualifies for deduction under section 80C.

Such contribution can be made in the name of the individual, his spouse and

any child of the individual; and any member of the family, in case of a HUF. The

maximum limit for deposit in PPF is ` 1,50,000 in a year.

Bhai hindi mai ya asan bhasha mai samjhaoge🥲

Does it mean, only under huf ,one can claim deduction of ppf even it is under the name of wife?

@Awake @BubbleBoyChickenLittle

kartikxxx wrote:

Bhai hindi mai ya asan bhasha mai samjhaoge🥲

Does it mean, only under huf ,one can claim deduction of ppf even it is under the name of wife?

Abb hindi mein hi hai, check my above post 😄

HUF ki jarurat nahin...

Original wrote:

Contribution to SPF/PPF/RPF

• Contributions to any provident fund to which the Provident Funds Act, 1925 applies and recognized provident fund qualifies for deduction under section 80C.
• Contribution made to any Provident Fund set up by the Central Government and  notified in his behalf (i.e., the Public Provident Fund established under the Public Provident Fund Scheme, 1968) also qualifies for deduction under section 80C.
• Such contribution can be made in the name of the individual, his spouse and any child of the individual; and any member of the family, in case of a HUF.
• The maximum limit for deposit in PPF is ` 1,50,000 in a year.

guest_999 wrote:

@Awake @BubbleBoyChickenLittle

Naah u cannot. Every individual is taxed separately as per income tax laws.

Original wrote:

Abb hindi mein hi hai, check my above post 😄

HUF ki jarurat nahin...

Inshort, wife ka ppf savings se husband apna tax bacha sakta hai under 80c ya nhi?

kartikxxx wrote:

Inshort, wife ka ppf savings se husband apna tax bacha sakta hai under 80c ya nhi?

https://www.basunivesh.com/ppf-account-for-mino....

As per Sec.80C eligibility conditions, any investments you did for self or spouse is also eligible for deduction. But again the combined limit for deduction is only up to Rs.1,50,000. However, if she has her own earnings and if she contributing for her own PPF, then you can’t claim on behalf of her investment. The investment must be from your income. Because the eligibility condition for deduction under Sec.80C states as below.

“the aggregate amount of the deductions of income so allowed in respect of the previous year or years preceding such previous year, shall be deemed to be the income of the assessee of such previous year and shall be liable to tax in the assessment year relevant to such previous year.”

Assume that your wife is not earning or she does not have any of income source. Then you can invest in her PPF account. However, as the source of investment is from your income, the clubbing provisions apply here.

Let us say Mr.X donate Rs.1 lakh to his wife Mrs.X. Then for Mrs.X, the amount is not taxable. But what if she invests this Rs.1 lakh in Bank FD and earns Rs.10,000 on this in a year? Is it the income of Mr.X or Mrs.X? In such situation clubbing of the income, provisions will come into the picture. Such interest income of Rs.10,000 will be clubbed with Mr.X and he has to pay the applicable tax.

However, as I already stated above, PPF is the E-E-E product. Hence, even if you invest in your wife’s PPF account and any interest earning from such PPF is tax-free. Hence, at the end, there is no tax liability for you.

Instead, you can claim the tax benefits under Sec.80C if the source of such investment is from your income.

Original wrote:

https://www.basunivesh.com/ppf-account-for-mino....

b) PPF Account of Self+Wife

As per Sec.80C eligibility conditions, any investments you did for self or spouse is also eligible for deduction. But again the combined limit for deduction is only up to Rs.1,50,000. However, if she has her own earnings and if she contributing for her own PPF, then you can’t claim on behalf of her investment. The investment must be from your income. Because the eligibility condition for deduction under Sec.80C states as below.

“the aggregate amount of the deductions of income so allowed in respect of the previous year or years preceding such previous year, shall be deemed to be the income of the assessee of such previous year and shall be liable to tax in the assessment year relevant to such previous year.”

Assume that your wife is not earning or she does not have any of income source. Then you can invest in her PPF account. However, as the source of investment is from your income, the clubbing provisions apply here.

Let us say Mr.X donate Rs.1 lakh to his wife Mrs.X. Then for Mrs.X, the amount is not taxable. But what if she invests this Rs.1 lakh in Bank FD and earns Rs.10,000 on this in a year? Is it the income of Mr.X or Mrs.X? In such situation clubbing of the income, provisions will come into the picture. Such interest income of Rs.10,000 will be clubbed with Mr.X and he has to pay the applicable tax.

However, as I already stated above, PPF is the E-E-E product. Hence, even if you invest in your wife’s PPF account and any interest earning from such PPF is tax-free. Hence, at the end, there is no tax liability for you.

Instead, you can claim the tax benefits under Sec.80C if the source of such investment is from your income.

I read this, maybe on cleartax website 🥲

Awake wrote:

Naah u cannot. Every individual is taxed separately as per income tax laws.

Even if wife is housewife and the ppf of wife is funded by his husband?

kartikxxx wrote:

Even if wife is housewife and the ppf of wife is funded by his husband?

Allowed.

Original wrote:

Allowed.

U sure, @Awake what's your view on this?

kartikxxx wrote:

U sure, @Awake what's your view on this?

Sorry i thought u were asking about 1.5l for self + 1.5l for wife.

But yes for ppf and lic you can invest in your own name, spouse or children. The total limit remains 1.5l

kartikxxx wrote:

U sure,

Yup.

This is your income & you're free to invest in your spouse name.

However the max aggregate deduction you can claim under 80C remains 1.5L

Any gift to spouse is non-taxable (principal amount) for the receiver but the incomes derived out of it gets clubbed to income of the sender.

-- Here, PPF is tax free income, so even if it is clubbed to sender, 80C exemption till limit. Also maturity amount is tax free but has to be mentioned as exempted income.

Only, gifting of amount by father to adult son is different, here any income derived out of gift amount gets tagged to son, not father...

kartikxxx wrote:

Is it since inception or any changes made?

But you can get exemption for kids below 18yr if opened in their name, and your name in guardian/father. But total contribution exemption is 1.5 Lac, your & kids Account together. If kid is a Girl, then I suggest opening Sukanya Samruddhi Yojana (SSY) in her name for tax benefit & higher return. Like my post if helped.

kartikxxx wrote:

U sure, @Awake what's your view on this?

Thank you for this thread. Bookmarked.

Years ago there was very less discussion on TAX related in desidime..!

I have one query :
If an Individual Age 38 Years
Total annual salaried non taxable Income is 4 Lac
Total Interest income From Term FD is 39999/- annual from All banks
Then in which column of ITR1, that particular Income from FD Interest 39999/- needs to be declared ?
Is that 80TTA column or need to add in Income from Salary head coloum or Income from others/ Source column or somewhere else ?