Income tax on rent

Hello Sir, Basic exemption limit for an individual is Rs. 250000/-. In case of senior citizen I.e age above 60 years it is Rs. 300000/-.

If she is a salaried employee then you should show her salary income and rent income with interest Income, if any. You should apply for pan card first online and start filing the returns.

As you are paying rent to your parents showing it in their return is necessary and should keep document executed between both of you duly signed on revenue stamp and payments through bank account.

Please let me know if any further query. Thanks

Firstly you get PAN card for your mother.

Also if her income is above the tax limit then she need to file tax returns. As per your inputs it looks that she is above tax bracket. Thus we suggest to file her returns .

yes do it before 31-03-2016

Last year :

Total income of your mother [180000+70% of 180000] = 306000..You can tae deduction of LIC, PPF, mediclaim etc

In case your mother do not take any exmpetion, she has to pay tax of INR 3708 plus interest thereon

Current Year :

Total income of your mother [180000+70% of 210000] = 327000..You can tae deduction of LIC, PPF, mediclaim etc

In case your mother do not take any exmpetion, she has to pay tax of INR 5871.

We can help you in filing your mother's return and pay taxes.

Further, we suggest you to keep following documents for HRA :

1. Rent agreement

2. Rent Recipts

3. Amount should be preferably paid via bank(NEFT/RTGS/Cheque)

None of the above three documentation requirements are hard and fast. You should adhere as much as you can.

Please feel free to get in touch with us

Regards

CA Abhishek Dugar

Dear Sir,

Please apply for a PAN first as that is the most important document to start with.

After applying for a PAN you can file your Mothers return and pay the due taxes. Do not worry as it can be done before 31st March 2017 assuming that your last year was FY 2014-15. You will only be charged an interest on the amount of Tax payable.

In case you need any assistance for filing of returns, we will be happy to help.

Trust this clarifies your query.

Feel free to get back/ call back for any further clarifications.

Thanking You.

Regards,

Rohit R Sharma

BCOM, ACA, LLB - GEN, CERT. FAFP

If in Your salary break up, HRA also includes then you can take benefit of section 10(13A) otherwise go for section 80GG and take benefit 0f 60,000 per annum from current Financial Year

Handy documents are

Rent slips paid

Form 10BA declaration