5. Interest on NSC VIII issue accrued every year is deemed to be reinvested and is eligible for deduction u/s 80C. However, Interest for the last year is received on its
maturity and will not qualify for deduction.

6. The maximum deduction allowable u/s 80D for medical insurance premium paid is Rs. 15,000 (Rs. 20,000 in case the person insured is over 65 yrs.). From A.Y. 2009-10, an additional deduction up to Rs. 15,000 (Rs. 20,000 in case of a Senior Citizen) shall be allowable in respect of medical insurance premium for parent(s).

7. Deduction u/s 8ODDB is allowed during a year in which expenditure on medical treatment of the assessee or a dependent relative for specified diseases or ailments is actually incurred, for the amount actually paid or Rs. 40,000 [Rs. 60,000 in case the patient is over 65 years], whichever is less. However, any amount received under a medical insurance policy shall be reduced from the amount deductible.

8. Deduction for house tax on let out property is allowable u/s 23(1) first proviso only if it is actually paid.

9. Deduction for repairs shall be allowed  @ 30% of the net annual value on rental
property.

10. Income from self-occupied house  property which cannot be occupied during
a year for reasons of employment/  profession at some other place, is deemed
as Nil’.

11. Loss from house property can be set off against income from another house property.

If there is net loss under the head house property’ it can be set off against income under other heads. If not fully set off the same can be carried forward upto next eight years and adjusted only against income from House Property.

At the end of the financial year it’s time to start filing the income tax returns relevant to the assessment year. The income may be from any one or more sources including salary, income from property, business and profession, capital gains, and income from any other source. In case the income from all these sources during the financial year exceeds the basic exemption limit, you are required to file the tax returns.

Tax is payable on the amount of income that exceeds the basic exemption limit. The requirements for filing of annual income tax returns are contained under Section 139 of the Income Tax Act. According to these provisions, every person having income in excess of the amount not chargeable to tax is required to file the returns.

The returns should be signed by the individual himself or in case he cannot do so for any reasons, by a person duly authorised by him, with a valid power of attorney. The income in respect of which the returns is to be filed may be either his own total income or the total income of any other person in respect of which he is assessable under the Act.

In case an individual has incurred a loss, it is mandatory for him to furnish the returns of income if he wishes to carry forward the loss. The returns should be filed in the prescribed form.

The returns can be submitted to the Income Tax Department

• lnpaperform

• Electronically under digital signature

• Electronically and there after submitting the verification of the returns in Form ITR-V. Here, the assessee needs to print out two copies of Form ITR-V. Both copies should be verified by the assessee and submitted to the Income Tax Department. The receiving official will return one copy after affixing a stamp and seal.

• Through a bar-coded paper form

The returns has to be filed before the due date in the prescribed form and duly verified in the prescribed manner. Under the Act the assessing officers do not have any power to extend the date for filing of the returns. Failure to file the returns of income on or before the due date entails a penalty.