I am not a permanent employees either in Government or a private organisation. I provide secretarial, research and other assistance to my employer who employs me for one-year contract (after the contract ends, it may or may not be renewed for the next year). During Financial Year 2014-14 (Assessment Year 2015-16)I got Rs. 30,000 per month and therefore, Rs. 360000 for the year for this work. I also got some extra for free lance work which is Rs. 7000. My TDs is Rs. 30,000. My LIC payment is R. 7622. My tax came to Rs. 12380. So I calimed for refund of 17610. But in this financial year (2015-16), I am getting Rs. 974000, but actually Rs 720000 is the money I get for the work that will have to do in the next two years (those who pay cannot certify that the money is paid in advance for the work yet to be done). The question is how can I avoid the huge tax liability which is important for me because I will not pracically get any income for the next two years ? I am not a professional with formal educational qualification, but self-learned (therefore ineligible for formal employment)
I am not a permanent employees either in Government or a private organisation. I provide secretarial, research and other assistance to my employer who employs me for one-year contract (after the contract ends, it may or may not be renewed for the next year). During Financial Year 2014-14 (Assessment Year 2015-16)I got Rs. 30,000 per month and therefore, Rs. 360000 for the year for this work. I also got some extra for free lance work which is Rs. 7000. My TDs is Rs. 30,000. My LIC payment is R. 7622. My tax came to Rs. 12380. So I calimed for refund of 17610. But in this financial year (2015-16), I am getting Rs. 974000, but actually Rs 720000 is the money I get for the work that will have to do in the next two years (those who pay cannot certify that the money is paid in advance for the work yet to be done). The question is how can I avoid the huge tax liability which is important for me because I will not pracically get any income for the next two years ? I am not a professional with formal educational qualification, but self-learned (therefore ineligible for formal employment)
I am not a permanent employees either in Government or a private organisation. I provide secretarial, research and other assistance to my employer who employs me for one-year contract (after the contract ends, it may or may not be renewed for the next year). During Financial Year 2014-14 (Assessment Year 2015-16)I got Rs. 30,000 per month and therefore, Rs. 360000 for the year for this work. I also got some extra for free lance work which is Rs. 7000. My TDs is Rs. 30,000. My LIC payment is R. 7622. My tax came to Rs. 12380. So I calimed for refund of 17610. But in this financial year (2015-16), I am getting Rs. 974000, but actually Rs 720000 is the money I get for the work that will have to do in the next two years (those who pay cannot certify that the money is paid in advance for the work yet to be done). The question is how can I avoid the huge tax liability which is important for me because I will not pracically get any income for the next two years ? I am not a professional with formal educational qualification, but self-learned (therefore ineligible for formal employment)
I really doubt the authenticity of this article after various furor in comments but would like you to tell about website for finding IFSC Code of State Bank of India
Re: Misleading Information - Rediff should fire the author.
by naveena ck on Feb 10, 2012 01:59 PM
Please clarify me on the above point once again. I was reading a book in that also it is mentioned that it is 1.5 Lacs. Are you sure it is 15 Lacs? Thanks much for the help
Rediff should write article,because i am also contract ,retainer base emplyeee for multinational and even my emplyer payroll cutting flat 12 per cent tax on my salary as per central govt. rules,so every year ,i am paying 15 to 20 k extra tax and claiming refund ,but my refund takes 3- 4 years,as Swargate ,pune ,income tax emplyees demanding bribe of 20 per cent to process my tax refund fast,even they are rejecting RTI application,Can anybody tell me ,whom to approach ,when swargate,pune income tax office reject RTI application,pls. write here
Re: Contract,retainer based emplyees getting 12 per cent flat tax
by iota on Jul 24, 2010 04:22 PM
Go to the media.. (BEST APPROACH) OR RTI Commissioner/Ombudsman - google it. OR Visit Income Tax Website - there are a few grievances links there too.
Good luck my friend - i know IT department like rest of Govt Clerks have many Crooks.
Hi, I am working in a MNC and all my tax on the income from salary is already deducted by TDS. I am also doing some part time work and I earned money in foriegn currency which I directly transfers to my bank account through Paypal. Suppose in last financial year I earned Rs. 1 lack extra through my part time business Do I need to pay tax on that money? Is there another tax slot for money earned as a part time business and in foriegn currency? Please help me
Re: Do I need to pay more TAX?
by Pradeep Shenoy on Jul 23, 2010 02:45 PM
If your tax liability is more than 10000 per year, you need to pay advance tax commeasurate with the total tax liability, else you will have to pay penal interest. Unless you have declared additional income to your employer, it is highly likely that TDS cut is not enough.
Re: Re: Do I need to pay more TAX?
by deepak chaudhari on Jul 23, 2010 02:49 PM
I have not declare additional income and TAX on salary income is already diducted. TDS of rs. 8500 is already diducted from my employer as a TAX on salary income. but this additional income I have not declared yet. So now How can I declare this additional income and pay the tax on it? also do I need to provide any supplimentary document for this income?
Re: Re: Re: Do I need to pay more TAX?
by iota on Jul 24, 2010 04:28 PM
Hi... its easy.
1. Yes you have to declare this income - it comes under the head called: 'Income from Other Sources'.
2. File your Income Tax using a Chartered Accountant. Give him your Form-16 and information relating to what you earned via your Professional Services (Paypal etc).
C.A may charge you something like Rs 1000, but it will be worth it.
3. Do you need to provide any documentary proof of this additional income? Well i think No. Proof if needed by anyone is there in your bank statement of money being transferred to your acct.
Rest assured you are not alone - there are thousands of people like you who have same case as yours. Its pretty routine.
Re: Do I need to pay more TAX?
by Pandurang Bhole on Jul 23, 2010 02:44 PM
it is ur business income u have to prepare income expenditure account and show net profit from Business/profession, pay self assessment tax
