House wife income tax

Yes Raghuram, it is advisable to file your wife's ITR and show FD interest as other income.

Please feel free to call /revert in case you need more clarity.

Thanks and regards

Abhishek Dugar

CA CS B.Com

Principal amount in not your income. Hence no need to pay tax act on that. Only interest portion is your income.

Yes, for everyone exempt slab is 2.5 lacs.

Hi Raghuram

For both FYs, file income tax returns. For the year of earning, income is taxable as above 2.5 lacs.

FD interest is also taxable. Show accrued interest

on FD annually and file income tax returns accordingly.

Hii

file her AY 2017-18 ITR and show income from other sources upto 270000 tax is nil thus show amount below such amount and file ITR,

if in future any income tax notice receive (chances to receive notice is less then 10 %) then we can show income proof as last year income and other accumulated savings over the years.

Hello,

No tax is to be payable, as the amount of saving is because of past savings and not because of income earned in one specific year.

It is always advisable to keep filing your regular returns to avoid income tax complications.

Trust this clarifies your query.

Feel free to call / get back in case of further clarifications.

Thanking You.

Regards,

Rohit R Sharma

BCOM, FCA, LLB, CERT. FAFP

The tuition fee of Rs 3 Lakhs earned by your wife during the last financial year is taxable but your tax liability may be NIL after claiming expenses in earning such income and deductions available u/s 80C and 80D.

The interest earned on the fixed deposits is taxable. You need to include this income as income from other sources.

If the tuition fee and the interest earned on fixed deposits together is more than the taxable limit, you need to pay tax and file return. However, the interest on FD may be around Rs 20,000/- at current rates of interest and you may still have not any tax liability. Still, pl. check your 26AS in the efiling portal of the Income Tax Department for any TDS. If there is any TDS, you may file return and claim refund, if applicable.