Section 80EE of the Income Tax Act allows first-time homebuyers to claim an additional deduction of up to Rs. 50,000 per year on interest paid on home loans sanctioned between FY 2016-17. To qualify, the property value must not exceed Rs. 50 lakh, and the loan amount must be Rs. 35 lakh or less.

Income Tax Returns in India is broadly classified into ITR-1 to ITR-7 based on the type of taxpayers, income level and source of income. ITR-2 is applicable for individuals and HUF not having business income. Usually, individuals having capital gains income choose ITR-2. It is slightly complicated ITR form as compared to ITR-1, with capital gains taxation and foreign assets disclosure, etc.,Key HighlightsITR-2 is applicable for individuals and HUF not having business or professional income.Non residents, taxpayers having capital gains, crypto income, income from foreign assets can opt for ITR-2.Changes made in ITR-2 this year include, capital gain tax rates, buyback taxation, etc.What is ITR-2?ITR-2 is an Income Tax Return form used by individuals and Hindu Undivided Families (HUFs) who do not have income from business or profession. This form is generally applicable to taxpayers earning income from:Salary or pensionCapital gains (short-term or long-term)More than one house propertyForeign assets or foreign incomeOther sources such as interest, dividends, etc.It is ideal for those who do not qualify for simpler forms like ITR-1 (Sahaj) but still need to report non-business income in detail.ITR 2 Release Date The Income Tax Department released the offline utility tool for ITR-2 on 11th July 2025, enabling taxpayers to file ITR-2 offline.

Currently, 17 Indian states levy professional tax on employed or self-employed individuals, and Tamil Nadu is also one of them. Professional tax in Tamil Nadu is one of the state's major revenue sources. It applies to employees and individuals associated with all trades, professions, calling and employment.In this Article we will learn about professional tax in Tamil Nadu. Professional Tax in Tamil NaduThe Tamil Nadu state government imposed a professional tax on every salaried employee working in government and private sectors and self-employed individuals in any business or profession, such as doctors, engineers, lawyers, chartered accountants, freelance professionals, etc. Those working in Tamil Nadu must pay professional tax according to the applicable income slab and professional tax rate.Employers deduct professional tax from employees' salaries monthly or half-yearly, and self-employed people deposit professional tax half-yearly (in six months). However, professional tax paid by salaried employees can be claimed as a deduction under the old income tax regime while filing an ITR.Tamil Nadu Professional Tax RuleProfessional tax in Tamil Nadu is levied under the Tamil Nadu Panchayats, Municipalities and Municipal Corporations Rules, 1998.

A partnership firm shares its profits among partners based on the terms agreed in the partnership deed. Depending on their role, partners may be working partners, who invest and actively manage the business, or silent partners, who only contribute capital. The remuneration paid, whether as salary, bonus, commission, or interest, is determined by the remuneration clause in the deed and is subject to specific tax rules under Section 40(b) of the Income Tax Act.What is Partner’s Remuneration?A partner’s remuneration is the salary, bonus, or commission paid to a partner by a partnership firm. Similar to regular employees, partners receive monthly payments for their contribution to the firm. Partners receive the following compensation for their work:RemunerationInterest on Capital InvestedShare of ProfitWhat is TDS on Partner's Remuneration?As per section 194T, wherein the TDS will be required to be deducted for any salary, remuneration, bonus or commission payments made to a partner by a firm at the rate of 10% if payment in a financial year exceeds Rs.

Electronic Tax Deducted at Source (e-TDS) and Electronic Tax Collected at Source (e-TCS) are the processes that allow for electronic filing of TDS and TCS statements or returns respectively. These electronic processes simplify the compliances for deductors and collectors regarding their tax obligations.The Return Preparation Utility (RPU) and File Validation Utility (FVU) are essential tools designed to assist in the preparation and validation of these returns. They help to ensure that the returns are prepared correctly and meet the required format before submission to the tax authorities.Overview of RPU Version 5.7 and FVU Version 9.2The latest version of RPU is Version 5.7, and the latest version of FVU is 9.2, both effective from 4th July 2025. These versions facilitate the preparation of regular and correction quarterly e-TDS/TCS returns and are suitable for filings for Financial Year 2007-08 onwards for Forms 24Q, 26Q, 27Q, and 27EQ.You can download the latest version of the RPU even if you have an older version installed, as both the older and latest versions can coexist on your system since they are independent Java-based utilities. However, it is advisable to back up any files or returns created with older RPU before making the switch. Always use the latest RPU for current filings to ensure compliance with the most recent rules and regulations made under the Income Tax Act. Key Updates in RPU Version 5.7 and FVU Version 9.2The changes made are applicable from Q1 FY 2025-26 onwards.

Tax Deducted at Source (TDS) is a withholding tax that requires the payer to deduct a certain amount as tax before making the payment. The TDS deducted has to be deposited with the government against the PAN/TAN of the payee within the specified TDS due dates. However, if the TDS deducted is more than the actual tax liability, the taxpayer is eligible to get the excess TDS as a refund by filing an Income Tax Return. In this article, we will discuss how the taxpayer can get a refund of excess TDS deducted.What is TDS Refund?A TDS Refund arises when the tax paid by way of TDS is greater than the actual tax payable for the Financial Year. In simple terms, if the final tax liability while filing ITR is lesser than the actual TDS deducted, then the excess TDS will be refunded to the taxpayer. At the time of filing ITR, the taxpayer would sum up all the income earned during the year through various sources, find out the tax liability, and subtract the TDS deducted during the FY from the final tax liability. If the TDS is higher than the total tax liability, it means a refund is due from the government.Example If you have failed to disclose all the deduction details to your employer, they may end up deducting more tax from your salary as TDS.

The ITR-3 form is specifically designed for individuals and Hindu Undivided Families (HUFs) engaged in business or profession, who are required to maintain books of accounts. Those who do not have income from business or profession is not eligible to file under ITR-3. Buy, individuals earning from salaried employment and additional sources like freelancing or part-time business activities can also use the ITR-3 form to file their income tax returns as long as they have business income.ITR 3 Released For FY 2024-25The Income Tax Department released the online filing for ITR-3 on 30th July 2025, thus allowing eligible taxpayers to start filing their Income Tax Returns using online and utility tools for FY 2024-25 (AY 2025-26). Taxpayers can download the ITR-3 utility tool from the Income Tax Portal. What is the ITR-3 Form?The ITR-3 is applicable for individual and HUF who have income from profits and gains from business or profession. One can call it a master Form, as this is the one form where an individual or HUF can report all the possible incomes.Download Form ITR-3 for AY 2025-26!Who is Eligible to File the ITR-3 Form?Individuals and HufsCarrying on business under presumptive schemeCarrying on ProfessionIncome From Dividend/InterestIncome from freelancing or consultancyIncome from F&O Trading/Intraday/Share TradingThe return may include income from house property, salary/pension, capital gains, and other sources.Remuneration received from a partnership firm (Not from LLPs)Who is Not Eligible to File the ITR-3 Form?No persons other than individuals & HUF are eligible to file ITR -3 Form.Individuals & HUFs not having income by way of business or profession or partnership firm are not eligible to file the ITR-3 Form. In other words, any person who is eligible to file ITR-1, ITR-2 and ITR-4 is not eligible to file ITR-3.Due date for Filing the ITR-3 formFor non-audit cases, the due date  to file ITR-3 for FY 2024-25 (AY 2025-26) has been extended to 15th September 2025 from 31st July 2025 and for accounts requiring audit, the due date is 31st October. Major Changes in ITR-3 form for AY 2025-26Schedule - Capital Gain Split (Before/After 23rd July 2024)Capital gains will now be split based on the Finance Act, 2024, changes that affect gains before and after 23rd July 2024. This will require taxpayers to categorise their gains and calculate tax accordingly.The change aims to streamline capital gain reporting by specifying the timeframes impacted by the Finance Act amendments, ensuring clearer tax treatment.Capital Loss on Share Buyback (After 01.10.2024)As per the new provisions, capital losses on share buybacks will be allowed if the corresponding dividend income is reported under "Income from Other Sources." This change applies from 01st October 2024, adding clarity to the treatment of capital losses related to buybacks.Taxpayers must ensure that dividend income is reported correctly to claim the loss under capital gains.Asset & Liability Reporting Limit Increased to Rs.

TDS, or Tax Deducted at Source, is a mechanism wherein tax is deducted at the source of income generation and remitted to the government. The person who is supposed to pay the income tax to the recipient deducts a certain percentage of money as TDS and remits it to the government. The balance after the deduction of TDS is paid to the recipient. One can verify the TDS deducted from his/her income from Form 26AS available on the Income Tax e-filing portal. You might often wonder, "How do I check my TDS amount?" or "Is there an easy way to keep track of my TDS deductions?" This article will show you how to check your TDS amount online, which will help you pay your taxes.What is TDS?TDS, also known as Tax Deducted at Source, is one of the most effective tax collection mechanism followed by the government.Tax is deducted at the source level, i.e., the person who is liable to pay the money to us, deducts the tax amount from the total amount and pays it to the government. Only the net amount is received by the taxpayer in this case.It is deducted against various kinds of income like rent, commission, professional fees, salary, interest, etc.,The recipient will add the gross amount to his income and the amount of TDS is adjusted against his final tax liability. The recipient takes credit for the amount already deducted and paid on his behalf.

Section 10 of the Income Tax Act exempts various incomes like House Rent Allowance (HRA), interest on provident fund, Leave Travel Allowance (LTA), gratuity, agricultural income, etc. These exempt incomes are not included, or considered for total income and tax calculation, though disclosure of exempt income is mandatory in ITR. It is to be noted that certain exemptions are exclusively available only under the old regime, from the introduction of new tax regime in the year 2020. Key HighlightsSection 10 allows certain income not to be charged under income tax.In most of the cases, exemptions are provided when the specific conditions are satisfied.Popular exemptions are House Rent Allowance, agricultural income, gratuity, Leave encashment, etc.What is Section 10 of the Income Tax Act?While calculating the tax liability of an individual, there are certain incomes which is exempt and do not form a part of the total income. Section 10 of the Income-tax Act 1961 includes all those exemptions that a taxpayer can claim while paying income tax. From an employee's perspective, the exemptions available under the act can be classified as exempt allowances, and other exempt income. They are presented as follows:Exempt AllowancesSection 10(13A) - House Rent Allowance (HRA)Section 10(14)(ii) - Children’s Education AllowanceSection 10(5) - Leave Travel Allowance (LTA)Section 10(14) - Exemption of Special AllowanceOther Exempt Income for Salaried EmployeesSection 10(11) - Provident Fund and Sukanya Samriddhi Account InterestSection 10(10) - GratuitySection 10(10AA) - Leave EncashmentSection 10(10A) - Commuted PensionSection 10(10B) - Retrenchment CompensationSection 10(10C) - Voluntary Retirement CompensationSection 10(10D) - Life Insurance PolicyOther IncomeSection 10(1) - Agricultural IncomeSection 10(2A) - Partner’s Share in ProfitsSection 10(15) - Interest on Savings CertificatesSection 10(23C) - Tax Exemption for Educational and Medical InstitutionsSection 10(26) - Tax Exemptions for Scheduled Tribe Members in Specific Northeastern StatesSection 10(26AAA) - Tax Exemption for Sikkimese IndividualsSection 10(34) - Exemption on DividendsSection 10(34A) - Exemption on Buy-Back of SharesSection 10(35) - Exemption on Income from Specified Mutual FundsSection 10(37) - Exemption on Capital Gains from Compulsory Acquisition of Urban Agricultural LandSection 10(38) - Exemption on Long-Term Capital Gains from Sale of Equity Shares and Equity-Oriented Mutual FundsSection 10AA - Units In Special Economic ZonesWhat are the Income Tax Exemptions Under Section 10?Here is a list of exempted income under Section 10:Section 10(13A) - House Rent AllowanceSection 10(13A) of the Income Tax Act covers House Rent Allowance (HRA).

Indian taxes are divided into two types, Direct Taxes and Indirect Taxes. Talking about direct taxes, it is levied on the income that different types of business entities earn in a financial year. There are different types of taxpayers registered with the Income tax department and they pay taxes at different rates. For eg, an individual and a company being a taxpayer are not taxed at the same rate.What is Corporate Tax in India?A corporate is an entity that has a separate and independent legal entity from its shareholders. Domestic as well as foreign companies are liable to pay corporate tax under the Income-tax Act.