Frequently asked questions

Possibly yes. Tax deduction by an employer does not always mean your overall filing need disappears, especially if you want a refund or have additional income details to report.

FY is the year in which you earn income. AY is the period in which that income is generally reported and assessed.

Not always. Taxable income is usually what remains after the relevant adjustments and deductions are considered in the tax computation flow.

No. It depends on your deductions, salary structure, and how both regimes compare using your real numbers.

You should first compare both regimes using your actual deduction picture. The right choice depends on overall tax outcome, not just one deduction bucket.

The right form depends on your income profile and filing situation. A form should be selected based on fit, not because it is the most familiar name.

Often yes, because freelance income usually does not come with the same organized employer-side tax handling that salaried employees often experience.

No. TDS is only one part of the tax system. Your final return may still show refund, balance tax, or extra reporting needs.

Under the new tax regime, the basic exemption limit is ₹3,00,000 for all individuals. Under the old regime, it is ₹2,50,000 (₹3,00,000 for senior citizens and ₹5,00,000 for super senior citizens aged 80+).

Yes, if you have salary or pension income, you can switch between the old and new tax regime each financial year at the time of filing ITR. However, business/professional taxpayers have restrictions.

You may face late filing penalties, interest on unpaid tax, and lose the ability to carry forward losses. The tax department may also send a notice and even levy a penalty for under‑reporting income.

No, gifts from parents (or any relative as defined under the Income Tax Act) are fully exempt, regardless of the amount. The same applies to gifts received on marriage or under a will.

If you held the shares for more than 12 months, long‑term capital gains (LTCG) above ₹1 lakh are taxed at 10% without indexation. For short‑term capital gains (holding ≤12 months), the tax is 15%.

HRA exemption is the minimum of three amounts: actual HRA received, rent paid minus 10% of (basic salary + DA), and 40% of basic salary + DA (50% for metro cities). There is no fixed maximum — it depends on these inputs.

Yes, but you can claim a deduction of up to ₹10,000 under Section 80TTA (for non‑senior citizens) or up to ₹50,000 under Section 80TTB (for senior citizens). Interest above these limits is taxable.

Yes, even if you hold a small foreign bank account, shares, or property, you must disclose it in Schedule FA of ITR‑2 or ITR‑3. Non‑disclosure can attract severe penalties.

A late filing fee of up to ₹5,000 applies under Section 234F (₹1,000 if total income ≤ ₹5 lakh). Additionally, interest @1% per month on unpaid tax is charged under Section 234A.

Log into the e‑filing portal, go to ‘My Account’ → ‘Refund/Demand Status’. Ensure your ITR is e‑verified and your bank account is pre‑validated to avoid delays.

Employee contributions to NPS Tier‑I within Section 80CCD(1) (part of 80C) and extra ₹50,000 under Section 80CCD(1B) are deductible. Employer contributions under 80CCD(2) are also exempt up to certain limits. All are available only in the old regime.

Yes, if you live in a rented house in one city and your owned house (on which the loan is taken) is in another city, or if the owned house is let out. You cannot claim both for the same property while living in it.

It allows certain professionals (doctors, lawyers, designers, etc.) with gross receipts up to ₹50 lakh to declare 50% of receipts as presumptive income, without maintaining detailed books or getting an audit.

Yes, under Section 80D, you can claim up to ₹25,000 (₹50,000 if parents are senior citizens) for health insurance premiums paid for your parents, in addition to the separate limit for self and family.

No. To carry forward losses (except house property loss), you must file the return before the due date. Filing late means you lose the right to carry forward those losses.

Form 26AS is a consolidated tax credit statement that shows all TDS, TCS, advance tax, and self‑assessment tax deposited against your PAN. It’s crucial to match it with your ITR before filing.

No, dividends from domestic companies and mutual funds are taxable in the hands of the investor as ‘Income from Other Sources’ at applicable slab rates.

Yes, under Section 139(5), you can file a revised return within the time limit (usually 31 Dec of the assessment year) to correct any mistakes or omissions.

It is a flat ₹50,000 deduction from salary/pension income, available under both the old and new tax regimes. No documentation is required.

Agricultural income is exempt under Section 10(1). However, for calculating tax on non‑agricultural income, it is added and then partially integrated to determine the applicable slab rate.

15 June (15% of estimated tax), 15 Sept (45%), 15 Dec (75%), and 15 March (100%). Freelancers and business owners need to track these carefully.

Yes, PPF offers E‑E‑E (exempt‑exempt‑exempt) tax benefits: contribution qualifies under 80C, interest is exempt, and maturity amount is tax‑free. It's one of the safest 80C instruments.

Don’t panic. Read the section under which it’s issued. For intimation under Section 143(1), you can accept or dispute online. For scrutiny, gather supporting documents and reply within the deadline.

Yes, if they have any taxable income from part‑time work, internships, or investments. Filing also helps build financial history for loans or visas.

ITR‑1 (Sahaj) is for individuals with salary, one house property, and interest income. ITR‑2 is for those with capital gains, multiple house properties, foreign assets, or director status.

No tax on owning gold jewellery. But if you sell it and make a profit, capital gains tax applies. The holding period for long‑term treatment is 24 months.

Yes, if you pay rent to your parents and they own the house. However, the rent received by them becomes taxable in their hands as house property income. The arrangement must be genuine.

Under the new tax regime, a tax rebate of up to ₹25,000 under Section 87A is available if total income does not exceed ₹7 lakh, making tax effectively zero for incomes up to that limit.

Banks deduct TDS @10% if interest exceeds ₹40,000 (₹50,000 for senior citizens). Even if TDS is deducted, you must still report the interest income and pay tax as per your slab. The TDS can be claimed as credit.

Tuition fees (excluding development fees, donations, etc.) paid for full‑time education of up to two children are eligible under Section 80C, within the ₹1.5 lakh overall limit.

Non‑disclosure of foreign assets can result in a penalty of ₹10 lakh per assessment year under the Black Money Act, along with potential prosecution. Always disclose even minor foreign holdings.

Family pension is taxed under ‘Income from Other Sources’. A standard deduction of the lesser of ₹15,000 or 1/3rd of the pension is available, reducing the taxable amount.

Yes, if you have all details of your salary, TDS, and deductions, you can file using Form 26AS, AIS, and your pay slips. Form 16 is convenient but not mandatory for filing.

It’s an additional deduction of up to ₹1.5 lakh on home loan interest for first‑time buyers, over and above the ₹2 lakh Section 24 limit. Available only under the old regime, subject to conditions.

Yes, intraday trading (speculative business) is taxed under business income, and you need ITR‑3. Profits are added to your total income and taxed at slab rates. Losses can be set off only against speculative gains.

No, LTA exemption is only for travel within India. You can claim it for two journeys in a block of four calendar years, for yourself and family.

80TTA allows deduction up to ₹10,000 on savings account interest for non‑senior citizens. 80TTB allows up to ₹50,000 deduction on interest from all deposits (savings, FD, RD) for senior citizens.

It’s advisable to keep copies of ITRs, TDS certificates, investment proofs, and supporting documents for at least 6‑7 years. In case of scrutiny, you may need them for up to 10 years.

Yes, deposits to SSY qualify for deduction under Section 80C, and the interest earned is exempt. It is a popular choice for parents of girl children.

No, Section 80C deductions, including principal repayment, are not available under the new tax regime. Only the standard deduction and the employer’s NPS contribution remain.

If your ITR is missing information or filed on the wrong form, the CPC may issue a notice under Section 139(9). You have 15 days to correct the defects, otherwise the return is treated as invalid.

Yes, any winnings from lotteries, crossword puzzles, card games, or online gaming are taxed at a flat 30% (plus cess) under Section 115BB. No deduction of expenses is allowed.