Calculation of Income Tax in the case of an employee below age of sixty years where medical treatment expenditure was borne by the employer
Example 3
For Assessment year 2018-19
Calculation of Income Tax in the case of an employee below age of sixty years where medical treatment expenditure was borne by the employer (with valid PAN furnished to employer)
|
S.No |
Particulars |
Rupees |
|
1 |
Gross Salary |
5,20,000 |
|
2 |
Medical Reimbursement by employer on the treatment of self and dependent family member |
35,000 |
|
3 |
Contribution of GPF |
20,000 |
|
4 |
LIC Premium |
20,000 |
|
5 |
Repayment of House Building Advanc |
25,000 |
|
6 |
Tuition fees for two children |
60,000 |
|
7 |
Investment in Unit-Linked Insurance Plan |
30,000 |
|
8 |
Interest Income on savings account |
8,000 |
|
9 |
Interest Income on Time Deposit |
15,000 |
|
S.No |
Particulars |
Rupees |
|
1 |
Gross Salary |
5,20,000 |
|
2 |
Add: Perquisite in respect of reimbursement of Medical Expenses In excess of Rs.15,000/- in view of Section 17(2)(v) |
20,000 |
|
3 |
Income from Other Sources i) Interest Income on savings Account Rs. 8000 ii) Interest Income on Time Deposit Rs.15,000 |
23,000 |
|
4 |
Gross Total Income |
5,63,000 |
|
5 |
a. Less: Deduction U/s 80C (i) GPF Rs.20,000/- (ii) LIC Rs.20,000/- (iii) Repayment of House Building Advance Rs.25,000/- (iv) Tuition fees for two children Rs.60,000/- (v) Investment in Unit-Linked Insurance Plan Rs.30,000/- Total = Rs.1,55,000/-
Restricted to Rs.1,50,000/- b. Less: Deduction u/s 80TTA on Interest Income on savings account (restricted to Rs.8000/- available only on savings account interest) Rs.8000 Total deduction available Rs.1,58,000 |
1,58,000 |
|
6 |
Total Income |
44.05.000 |
|
7 |
Income Tax thereon/payable |
7,750 |
|
8 |
Add: (i) Education Cess @2% (ii) Secondary and Higher Education Cess @1% |
155 78 |
|
9 |
Total Income Tax payable |
7983 |
|
10 |
Rounded off to |
7980 |
Computation of Tax.
Source: https://www.incometaxindia.gov.in