The Income Tax Department has brought out a new form making it mandatory for salaried taxpayers to furnish proof of travel for claiming tax deduction on LTA or LTC. The Central Board of Direct Taxes (CBDT) has brought in a Form 12BB requiring employees to furnish their employers with evidence in relation to house rent allowance (HRA) if it exceeds Rs 1 lakh in an assessment year. The details to be furnished include the name, address, and PAN of the landlord where the aggregate rent paid exceeds Rs 1 lakh, according to a CBDT order.
For claiming a deduction of interest on a home loan, the name, address, and PAN of the lender will have to be furnished. Similarly, for claiming a tax deduction on leave travel allowance/concession (LTA/LTC), the new rule makes it mandatory for employees to furnish their employers with evidence of travel expenditure. Also, evidence of investment or expenditure will have to be provided to claim tax deductions under Chapter VI-A. Chapter VI-A pertains to allowable deductions under Section 80C, Section 80CCC, Section 80CCD, as well as other sections like 80E, 80G, and 80TTA.
These are part of new Rule 26C and Form 12BB that require employees to furnish their employers with evidence/particulars in relation to house rent allowance (HRA), leave travel concession (LTA), deduction of interest under the head 'income from house property,' and deduction under Chapter VI-A. CBDT, in the same order, also extended the time limit for depositing tax deducted at source (TDS) on the transfer of immovable property from 7 days to 30 days. Additionally, the due date for filing quarterly TDS returns in Form 24Q, 26Q, and 27Q was extended by 15 days. The amended rules will be applicable from June 1, 2016.
From India, Ahmadabad
Acknowledge(0)
Amend(0)
34For claiming a deduction of interest on a home loan, the name, address, and PAN of the lender will have to be furnished. Similarly, for claiming a tax deduction on leave travel allowance/concession (LTA/LTC), the new rule makes it mandatory for employees to furnish their employers with evidence of travel expenditure. Also, evidence of investment or expenditure will have to be provided to claim tax deductions under Chapter VI-A. Chapter VI-A pertains to allowable deductions under Section 80C, Section 80CCC, Section 80CCD, as well as other sections like 80E, 80G, and 80TTA.
These are part of new Rule 26C and Form 12BB that require employees to furnish their employers with evidence/particulars in relation to house rent allowance (HRA), leave travel concession (LTA), deduction of interest under the head 'income from house property,' and deduction under Chapter VI-A. CBDT, in the same order, also extended the time limit for depositing tax deducted at source (TDS) on the transfer of immovable property from 7 days to 30 days. Additionally, the due date for filing quarterly TDS returns in Form 24Q, 26Q, and 27Q was extended by 15 days. The amended rules will be applicable from June 1, 2016.
From India, Ahmadabad
Acknowledge(0)Amend(0)
That means we are again going back to a state where IT returns filing is going to be complex, with proof of investments, proof of expenditure on LTA, etc.
The easier the filling of IT return, the better the compliance will be. Probably, a lot of noise will be made, and this will also get withdrawn.
From India, Pune
Acknowledge(0)Amend(0)
The easier the filling of IT return, the better the compliance will be. Probably, a lot of noise will be made, and this will also get withdrawn.
From India, Pune
Acknowledge(0)Amend(0)Looking for something specific? - Join & Be Part Of Our Community and get connected with the right people who can help. Our AI-powered platform provides real-time fact-checking, peer-reviewed insights, and a vast historical knowledge base to support your search.