tax Deduction at Source (TDC) deduction at source means that the person responsitie for mating Tex 7 in income earns deduct income tax at the prescribes rates ne omes before payment is made to them. The amount 50 deducted ans shall be deposited by the deductor in the Government tra. ¥ ai souroe bed time limit. The tax so deducted is called, deduction. of The Specified cases of income tax is deductible at source are normaity se cases where the income can be calculated in advance ie the ee see can know his income even before the expiry of that previous year mei in these cases assess’s income may be more or less is known Section 192 to 206 deal with the deduction of tax at source ‘WXCOLLECTED AT SOURCE (TCS). in certain cases, tax is collected at source by the seller from buyer or a person from his licence or lease at the time of debiting the amount to account of the buyer or licence or lease or the receipt of payment whichever is easier. in case of certain income or payments tax is deducted at source by the payer at the prescribed rate at the time of accural or payment of such Salaries interest on securites Winnings from lottories and crossword puzzles Payment to contractors ‘surance commission Winning from horse races etc, *hanice TAK aay, — Assessee in cerlain cases is under the obligation to pay tax in oes $8 certain ingtallments Th : fer ee ‘Seducted at source on tax collected at source paid as advance 00 iam ate YER" itself are called prepaid taxes. Such prepsid taxes f '0" Yolal tax due from assessee ange MENT UNS 140 4 the assossee has to pay self assessment bs the return if any tax is stil due on the basis of the TDS / TCS, advance tax and tax pat! Cya v2 Tax Deduction a, . TDS! a ee ee a OBJECTIVES OF TDS sei 4) EA maximise revenue collection and minimising the cost of coy), 2) To Preentation of evasion of tax and increasing the tax base 3) To ensuring continuous flow of funds to the governments TAX DEDUCTION ACCOUNT NUMBER (TAN) TAN means Tax Deduction Account Numbers. It is 10 digit alphany, number required to be obtained by all persons who are responsi deducting or collecting tax at source. Under section 203A of the Act, it is mandatory to Quote TAN alloties - the IT department on all TDS returns. The procedure for application of TAN is very simple and can be done > online by filling up form 498 TDS CERTIFICATE TDS certificates are issued by the deductor (the person who is dedu tax) to the deducted (the person from whose payment the tax is ded TYPES OF TDS CERTIFICATE There are two types of TDS certificate issued by the deductors. 1) Form 16 This is a TDS certificate issued by the employer to the employe incorporating details tax deducted by the employer during the financial yea's and Form 16A This TDS certificate is issued in case of payments other than salary SUMMARY OF TAX DEDUCTED AT SOURCES 1) TDS is based on the principle of 'Pay as and when you earn’. 2) TDS is a small amount of tax that can be deducted monthly, annually: Periodically or occasionally from the earning of an individual 0! @ business. 4 Tax deducted at source or TDS is a type of tax that is deducted from 2° individual's income on a Periodical or occasional basis. 4) The collection of tax as source means that the person responsible (" making eens of certain incomes to the income earners deduc' income tax at the prescribed rates on such incom ment SF made to them. es before pay! 5) Tax has to be collect 3) ie al the time of debiting of the amount payabl® @ of receipt of payment, whichever i 1 8) TDS is collected as a able teyeniintseuree means to ke ‘ Shean ep a stable revenue source for 6 year TDS tule directs the pay 66 oF employer to deduct a in amount tax before making full payment to the receiver. cue 7)peductic at Source ee eae TDSI3 - 301 ec The deductor is the person who is making payments to the deducte: The employer is responsible for deducting taxes every month in aaa instalments. His responsibility iS to deduct the tax from the deductee. Pay the deducted tax amount to the central government. The deductor must know the rates on which tax is to be deducted at sources. 6) Deducter must deduct the tax amount and submit the amount in time. 2) DEDUCTEE : % 4) The person whose payment is getting deducted is called the deductee. 2) EX: employee, stock broker etc. 3) A deductor is the employer paying salary to an employee (the deductee). 1) Salaries. 2) Interest on securities. 3) Dividend 4) Winning from lottery or cross word puzzles. 5) Winning from horse race. 6) Payments to resident contractors 7) Payments of insurance commission. 8) Payment to an off shore fund. 9) Payment of brokerage. 10) Payment to non-resident sport man 0! 11) Payment of NSS. 12) Payment of commission on sale of lotte : : = ‘on payments made to the Reserve Bank of India, d when interest is the 2 Savermment of India ete. TDS will not be collecte OF paid to: ir sport association. ry tickets. 2) Seen State Financial Corporations. 3) imenitg companies 4) neyo Patt under or refund from the \T department. Ae . cores ee be from recurring deposit or savings account in coopera interest Danks. > terest Vikas Patra KVP, or NSC. All NRE account. under no TDS.tit peducted at Source 271 5 ducted at Source ret i Filing TAX De ‘urns is mandatory for all the persons who nave deductedTDS. TOS return is to be submitted quarterly and various gatails need to be furnished like TAN, amount of TDS deducted, type of payment, PAN of deductee, etc. Differ ‘ ent forms are prescribed for filing returns depending upon the purpose of the deduction of TOS/Type of income. Once the TDS return is fi : : led electronically, the details of TDS and income is shown in the 26AS/AIR in the assessee login. Various types of return forms used to file quarterly return are as follows: |__Transaction __—‘[ Due Date of filing ——*d Form 24Q |TDS on salary Q1-31st July Q2-31st October Q3-31st January Q4-315! Ma’ Form 27Q |TDS on all payment made | Q1-31st July (Other than salary) to Non | Q2-31st October Residents Q3-31st January Q4-31st Ma Form 26QB] TDS on sale of property 30 days from the end of the month in which TDS is deducted Form 26QC/ TDS on Rent 30 days from the end of the month in which TDS is deducted heteatt.. a.ad 7 Advance tax payment means making payment of portion of total annus taxes in advance. It means that tax has to be paid in the year in whic income is earned. Every person is liable to Pay advance tax if tax payable by asses: is Rs.10,000 or more during a financial year. A resident individual wh, attains the age of 60 years at any time during the previous year Not having any income from business or profession ig not liable to pay advance tax Computation and Payment of Advance Tax The amount of advance tax payable by an assessee in the financia year shall be computed by estimating his current incomes. The income tax payable on such estimated income shall be reduced by the amount of deductible at source and tax collectible at source to arrive at the adva tax payable for that year. Installment of Advance tax and Due date: Due dates of Installment 1. On or before 15th June 2. On or before 15th September s Sec. 211 15% of Advance tax 145% of advance tax less amount paic earlier ecember| 75% of advance tax less amount p3 earlier 100% of advance tax less amount paid earlier 3. On or before 15th D 4 On or before 15th March if any assessee does not pay any i y installment of advance tax, he $ be deemed to be an assessee in default in respect of such install” Any sum paid by the assessee a : s advance tax shall be treate? °" pesresnt er mH en of the income assessable in the relev art. nd credit shall be given to the assessee in the reg eo for Defaults in Payment of Advance Tax Sec. 234B pe erseree Jen to pay advance tax u/s 234B has failed & ce tax paid by the assessee is less than 90% o assessed tax, the assessee sh st © for every month or part of a ae liable to pay simple interestaroun, 3 Tax to be deducted at average Income tax (u/s 192(8) Any person responsible for Paying any income chargeable under the head salaries shall at the time of Payment deduct income tax on estimateq income of the employee under the head "Salaries" for the financial year. The TDS is to made at the average of income tax computed on the basis of the rates in force for the financial year in which the payment is made. In otherwords, the total tax to be deducted, on the estimated income of the employee for the relevant financial year, is divided by the number of months of his employment during that financial year. The amount SO arrived at is the monthly deduction of tax at source. No tax will however, be required to be deducted at source for financial year 2022-23 in any case unless the estimated salary income including the value of isites exceeds : In case of an individual being in India who is the age of 60 years or more but less than 80 years at any time during the previous year. ‘ In case of an individual being resident in India. Whos of the age of 80 years or more at any time during the previous year. In case of an employee other than those covered undef clauses mentioned in (i) and (ii) above However, if the employee opts for the concessional rate of tax under section 115 BAC, no tax will be required to be deducted at source for financial year 2022 - 23 in any case unless the estimated salary income including value of perquisities Rs. 250000 ii WHO WILL DEDUCT THE TAX : ne The person responsible for paying any income to his employee whey chargeable under the head "Salaries" shall at the time of payment deProvisions Regarding Tax Deducted at Source (TDS) The Income Tax Act, 1961 lays out detailed provisions regarding Tax Deducted at Source (TDS) to ensure efficient tax collection at the point of income generation. These provisions cover the applicability, rates, deductions, payments, and consequences of non-compliance. Below are the detailed provisions regarding TDS: 1. Applicability of TDS (Sections 192 to 194N) TDS provisions are applicable to various types of payments. The following are the key sections under which TDS is deducted: a) Salary (Section 192) TDS is deducted at the time of payment of salary by the employer. Rate of TDS: As per the applicable income tax slab rates. Deduction allowed for exemptions such as HRA, Standard Deduction, and Chapter VI-A deductions (e.g., Section 80C) b) Interest Payments (Section 194A) TDS applies to interest payments on deposits, loans, etc., except for savings accounts Rate: 10% if payrnent exceeds %40,000 (250,000 for senior citizens). c) Rent (Section 1941) Applicable to rent payments for land, building, machinery, etc. Rate: 10% for land/building and 2% for machinery/equipment if the annual rent exceeds %2,40,000.d) Commission/Brokerage (Section 194H) Applicable to commission or brokerage payments. Rate: 5% if payment exceeds 715,000 annually. e) Professional/Technical Services (Section 194J) TDS is deducted on payments for professional or technical services. Rate: 10% (2% for technical services). f) Purchase of Immovable Property (Section 1941A) TDS applies to payments for the purchase of immovable property (except agricultural land). Rate: 1% if payment exceeds %50 lakhs. g) Cash Withdrawals (Section 194N) TDS is deducted on cash withdrawals exceeding 1 crore from a bank account. Rate: 2% on the excess amount. 2. Threshold Limits for Deduction TDS is deducted only if the payment exceeds the prescribed threshold limits for specific categories. For example: Interest on securities: 240,000 (%50,000 for senior citizens). Professional fees: 30,000. Rent: %2,40,000 annually. 3. Timing of TDS Deduction TDS must be deducted at the earlier of the following events: Sil ie aia re atinaees Hastesrnescon acs sabnen: a a1. At the time of crediting the income to the account of the payee. 2. At the time of actual payment (cash/cheque). 4. Depasit of TDS (Section 200) Deducted TDS must be deposited with the government within the prescribed time: Non-Government Deductors: By the 7th day of the following month. Government Deductors: On the same day or by the next working day. 5. TDS Certificate Deductors must issue TDS certificates to the deductees as proof of tax deduction: Form 16: For salary payments. Form 16A: For non-salary payments. 6. TDS Return Filing Deductors are required to file quarterly TDS returns providing details of deductions and payments: Form 24Q: For salary TDS. Form 26Q: For non-salary TDS. Form 27Q: For TDS on payments to non-residents. Form 27EQ: For TCS (Tax Collected at Source). 7. TAN (Tax Deduction Account Number) Every deductor must obtain a TAN under Section 203A. TAN is mandatory for deducting and remitting TDS.8. Consequences of Non-Compliance a) Interest for Late Deduction/Deposit 1% per month or part of a month for late deduction. 1.5% per month or part of a month for late deposit. b) Late Filing Fees (Section 234E) 2200 per day for delay in filing TDS returns, subject to the amount of TDS. c) Penalty (Section 271H) 210,000 to %1,00,000 for failure to file TDS returns. d) Disallowance of Expenses (Section 40(a)(ia)) Expenses for which TDS is not deducted or deposited are disallowed in the computation of taxable income. 9. Exemptions from TDS a) Nil/Lower TDS Certificate (Section 197) The payee can apply for a nil or lower TDS certificate if income is below taxable limits or tax liability is less. b) Submission of Form 15G/15H Individuals and senior citizens can submit these forms to avoid TDS if their total income is below the exemption limit. 10. Refund of Excess TDS If excess TDS is deducted, the deductee can claim a refund while filing their income tax return.11. TDS on Non-Residents Special provisions under Section 195 for deducting TDS on payments to non-residents. Rate: As specified in the relevant Double Taxation Avoidance Agreement (DTAA) or as per Income Tax Act, whichever is lower. 12. Provisions Under GST Under GST laws, certain payments attract TDS at 2% for specific contracts exceeding ®2.5 lakhs. 13. Technology Integration Tools like TRACES (TDS Reconciliation Analysis and Correction Enabling System) allow for: Online filing of TDS returns. Verification of challans and refunds. Generation of Form 16/16A. Conclusion The TDS provisions ensure a steady flow of revenue for the government and simplify the tax payment process for taxpayers. By adhering to these provisions, individuals and businesses can ensure compliance, avoid penalties, and contribute to a robust tax system.income Rate of Limit i 50000 10000 5000 5000 Salaries Interest on Securities Interest on other securities Dividend Interest on Banking companies Co-operative society, post office (Rs. 50000 for Senior citizen) Winnings from lotteries Crossword Puzzles etc Winnings from online games Winnings from horse races Contractor single transaction Individual / HUF Others insurance Commission Maturity of Life Insurance policy Payment to Non Resident Sport man or Sports association Payment in respect of Deposit under NSS Commission on sale lottery tickets Commission or Brokerage 10000 10000 10000 30000 30000 45000 100000 2500 15000ffustration-1: ; . Aresident employee Mr. Suresh aged 45 years is working in XYZ & Co. oF ; monthly fixed salary of Rs. 1,00,000. He invested Rs 50,000 in LIC. Rs 60,000 in PPF, Rs 40,000 in NSC. What will be the monthly TDS u/s 19% in the AY 2023-24? Assume he has not opted for new tax regime. U Sie BAC, Solution: Computation of Tax liabili ty (1,00,000 x 12) Less: Standard Deduction u/s 16(i) Income from salary Less: Deductions under VIA 80C LIC 80C PPF 80C NSC per month and the amount of TDS Tax Caleulation Taxable income vn 8. 2,50,000 » 2,50,000 @ 5% Next Rs, , o A - 5,00,000 @ 20% @4% a Total Tax 10/12 Tp . S per Month (1,17,00wustration 3 I shri Ravindra is an employee of Jindal company at Ballari (Population exceeding 25 lakhs). He furnish the following information for the year ending 31-3-2023. Basic salary 100000 P.M Dearness Allowance 50000 P.M Bonus 50000 P.A Children education allowance Rs. 200 pm per child for 3 children. 84000 Annual contribution to RPF He has been provided rent free accommodation the fair rental value Rs. 190000 He paid LIP 36000 60000 Purchase of NSC Donation to prime Ministers National relief fund Rs. 2000 by cheque. He paid mediclaim premium by cheque 12000 Compute his income from salary liable to deduction of tax at source and the amount of tax to be deducted. Solution : Computation of Taxable salary 200000 eae salary 100000 x 12 vera arness alloy oy wance 50000 x 12 50000 Children eduction allowance 3 x 200 x 12 se 4800 Less exemption 100 p.m x 2 x 12 —2400 im pre house i of salary le EA) 1200000" eS eee. : 188220 or Actual rent paid 190000 _sgaza0 Whichever Is 1088 3043020 Gross salary eeTDSI8 Tax Deduction a Sy, * Less Standard deduction u/s 16(ia) Less Deduction u/s 80 C co Contribution to RPF 84000 LIP 36000 Purchase of NSC __60000 180000 But maximum limit Rs. 150000ay 150000 Less Deduction u/s 80 DD Medical Insurance 12000 Less Deduction for donation u/s 80G Donation to Prime Minister National relief fund at 100% 20000 182 Taxable salary 181104 Computation of tax deduction On first Rs. 250000 NIL NL On Next Rs. 250000 5% 12500 On Next Rs. 250000 20% 50000 On Balance Rs. 1061020 30% 31830 38080 Add Health and education cess at 4% 1528 Tax payable 39608 Amount of tax deducted every month pes = 3300! iS SeMlustration : 9 From the following Gross Income compute the amount of tax deducteg at source if the recipient is an individual and resident in India. >~eaoca Interest on listed debentures Rs. 7500 Winning from lottery Rs. 20000 Dividend from domestic company Rs. 10000 Interest at 6.5% on bank deposits of Rs. 300000 Interest on unlisted securities Rs. 12000 Interest on Government of India Bonds Rs. 5000 (Mysore Uni. 2006) Winnings from lottery interest on listed debentures Dividend from domestic company iw x 10000 1000 Interest of bank deposit 6 * 900000 = 19600 x 41Deduction at Source 1# Tosie3 on unlisted debentures hr x 12000 interest interest 07 (ho TDS) Government bonds = 1200 stration : 10 ‘al ant ci During the financial year, find out TDS in the followi L member is an individual and resident of india “a Sie, Ne a Income from interest on securities (listed) Rs. 20000 b Lottery winnings 4 Rs. 50000 ¢ Dividend from domestic company Rs. 10000 d Winnings from a horse race Rs. 20000 e Winning from another horse race Rs. 3000 f Commission to lottery agent Rs. 30000 g_ insurance commission Rs. 10000 h Interest on bank deposits Rs. 15000 i Winnings from cross word puzzle Rs. 30000 j Payment made to contractor Rs. 100000 (Mysore Uni, May-June 2014) Solution : Computation of amount of TDS Income Section Rate of Amount TDS of TDS ite 0 2000 Interest on securities 700 x 20000 193 10% Lottery winnings wy x 50000 4948 30% 5000 Dividend from domestic company 10 194 10% 1000 700 * 10000 Winnings ftom horse race 30 6000 soy * 20000 1o48B 90% cana fom another horse race 194BB ee int less than Rs, 10000) 500 mmission to lottery agent } upp 2 94D % i" te oo * 30000 1 noe Commission IWereet eh2” Rs. 16000) as 40% 1500 Nn bank a 10 leposits Winnin 100 15000 9000 "ngs from cross of gasp 90%TOSISB Tax Deduction at Bou ey 5 fAscertain the amount of Tax deducted of source from the follow incomes during the financial year if the receipent is an individual residen india 8} Lottery winnings (Gross) Rs 100000 b) Winnings from horse race Rs. 50000 ¢) Commission to lottery agent Rs, 15000 4) Insurance commission Rs. 12000 @) Interest on Karnataka Government securities Rs. 200000 f) Dividend payable by a domestic company Rs. 30000 Ans : Amount of TDS = 48600 (Mysore Uni. 2007) Hint : Computation of amount of TDS Rate | Amount of Income TOs 4) Winnings from lottery 30000 WI, x 100000 2) Winnings from horse race 15000 PI soe x 50000 3) Commission to lottery agent - (No TDS it does not exceed Rs. 15000) 4) Insurance Commission 600 “Legg * 12000 5) Interest on Karnatak Government = Securities (No TDS) 6) Dividend from Domestic Company 3000 Total amount of TDS 48600 6 During the financial year, find out the tax to be deducted at source in he following eases, if the member is an Individual and resident of India. 2) Income from interest on securities (listed) 6000 b) Payment regarding lottery winnings 500 c) Dividend from domestic company 40000 4) Winnings from a horse race 10000 ©) Winnings from another horse race 2000 {, Commission to lottery agent 15000 f) Insurance commission 14000 : 10! Ans : Amount of TDS = 4750 (Mysore Uni. May/June 7° _. Computation of ToS —. financial year, find out the tax to be deducted at source j Ze celbea if the receipt is an individual and resident India. @ in the regres from interest on securities (listed) Rs. 6000 zl Wana from lottery Rs. 1200000 5 Winning from horse race Rs. 2000 d) Commission to lottery agent Rs. 5000 f) Insurance commission Rs. 8600 : (Mysore Uni. April-May 2008) Ans : TDS = 360600 Computation of TDS Income Interest on securities (No TDS Becare it does not) Exceed from lottery Winnings Rs. 10000 Winnings from horse race (No deduction, it does not exceed Rs. 15000) Commission to lottery agent (No deduction because it does not &xceed Rs, 15000) Insurance Commission a Seduction, Because it does *eeed Rs. 15000) 360000Summary of Deductions —r = a si. | Section Details of deductions Quantum of Deduction No. | | | | 80C Deduction in respect of Life Insurance Premia, Contributions to Provident Fund, ULIP, Stamp duty on house, Fixed deposits for 5 years, bonds, | | | A.DEDUCTIONS IN RESPECT OF CERTAIN PAYMENT Maximum Rs 1,50,000 is allowed Investment need not be from taxable income | Sukanya Samrudhi Scheme etc Ea | 80CCD(1 80CCC 80CCD Contribution to Annuity Plan. Notified Pension Scheme (NPS) Deposit made by assessee Deposited under NPS notified by by Central Government. Contribution made by the Central Government or any other employer Maximum is Rs 1,50,000 10% of his Gross Total Income Maximum Rs.1,50,000. Rs. 50,000 The limit is not appli 10% of his salary and in any other case at 10% of his gross total income. The limitis nota The aggregate amount of deductions ws 80C, 80CCC & SC SCX? “ subject to an over limit of Rs. 1,50, 000: _404 Deductions from Gross Total Income ‘der Equity Savings | 50% of the amount invested in eee lerace eee glee such shares or Rs. 25,000 whichever is lower. Rs. 25,000 for self, spouse & children Medical Insurance Premia Extra Rs 25,000 for parents. i mP es In case senior citizen Rs.50,000 instead of Rs.25,000 7 | 8000 | Maintenance including Medical Disability : Rs. 75,000 Treatment of a Dependant severe Disability: Rs. 1,25,000 who is a person with Disability 8 | 80DDB] For medical treatment of self or Maximum Limit of Rs. 40,000. relatives Senior Citizen Rs. 1,00,000 For interest payment on loan Interest allowed in respect of taken for higher studies for self | the initial AY and 7 A.Y or until or education of spouse or children | the said interest is fully paid, E whichever is earlier 10 | 80EE | For interest on loan for Rs. 50,000 residential _house | 7 Interest payable on loan B0EEA | taken for acquisitor of Max. limit 1,50,000 residential house 2 Interest on loan taken for 80EEB | purchase of electric vehicle Max. limit 1,50,000 13 | 80G | Donationste charitable institution | 1. 100% deduction without Adjusted Gross Total Income: | anymax. limit. Gross total Income 2. 50% deduction without any Less: 1. Long Term Capital Gain max limit. 2.ShortTerm Capital Gain | 3. 100% deduction with max. taxable ws 1114 limit of 10% of adjusted GTI 3. Dedustion u's 80C to 80U | 4. 50% deduction with max. » (except u/s 80G)_ limit of 10% of adjusted GTI 14 | 80GG | Forrentpaid. Least of the following: “Total income” means the 4. Actual rent paid in excess of income after allowing all other 10% of his "Total income” or or ork in iyeed f ee of "Total income” or only not s. penne pen 5,000 per month, 15 | 80GGA| For donation to entities in scientific | 100 % of donatk research or rural development ee 16 "| 80SCC |For contribution to politcal parties | 100% of donation 3 [8 DEDUCTIONS IN RESPECT OF CERTAIN INCOMES Royalty Income, etc., of authors Royalty ir of certain books other than wie text-books Maximum 15% of book sold Royaly on pater Le eee ee | C. OTHER DEDUCTIONS ‘BORRE Interest on deposits in savings apeoure Maximum of Rs. 10,000 Interest on deposit (saving & fixed) | Maximum of Rs,60.000 Disability : Rs, 75,000 Severe Disability : Rs. 1,25,000Ans.: Note: 10. Calculate the amount of deduction allowable u/s 60C in the case of the following individuals __ Particulars Mr-Rohan | Mr.So I 20,000 | 25,000 | 08,000} Contribution to Recognised Provident Fund Life insurance premium paid (own life) Life insurance premium paid (on brother's life) Life insurance premium paid (on son's life) Repayment of housing loan Payment of son's tuition fees Contribution to 10 years’ Cumulative Time 25,000) 25,000 (KUD 2020 * 2023 Mod) Deduction allowable to Mr. Rohan Rs. 1,43,000, to Mr. Sohan Rs. 95,000 Life insurance premium paid brother's life do not qualify for deduction From the following information regarding savings and investments of S. Ramesh compute the amount of deduction allowable to him u/s 80C National Savings Certificates purchased (viii issue) 20,000 Contribution to Unrecognised Provident Fund 6,000 Life insurance premium paid (own life) 8,000 Life insurance premium paid (on daughter's life) 4,000 Life insurance premium paid (on mother's life) 2,000 Accrued interest on N. S. Certificates (viii issue) 40,000 Repayment of house building loan 30,000 Interest paid on the above loan 15,000 (Bijapur 2017, GUG 2019, KUD 2018 & 2023 Mod)12. Tere me sey wy niu ia @ person with “Disability” From the following information submitted by Mr. Kumar compute the qualified savings and deduction available u/s 80C of the Act for the assessment year 2023-24: (a) Life insurance policy of Rs. 2,00,000 on own life. Premium paid is Rs.24,000 (b) Paid the tuition fees of his son studying full time higher education in Bangalore Rs. 50,000 and Rs. 10,000 as hostel fees. (c) Purchased national savings certificates of Rs. 30,000 (viii issue) (d) Repayment of housing loan to State Bank of India for construction of residential house Rs. 1,00,000 which includes interest Rs. 65,000 a (e) Life insurance premium paid on his brother's life Rs. 6,000. (f) Contributed Rs. 10,000 to Public Provident Fund (Karnataka May 2010, RCUB 2015 & Bijapur 2018 Mod.) Ans.: Qualifying amount u/s 80C Rs. 1,45,000 (i.e: 20,000 + 50,000 + 13, 30,000 + 35,000 + 10,000) ; * (1) Life Insurance Premium qualifies up to 10% of the a amount Therefore, only Rs. 20,000 are qualified (10% of 2,00,000) (2) The hostel fees paid for higher education are not qualified for — (3) Repayment of principal loan only allowed as deduction u/s 80C. 35,000 (i.e, 1,00,000 - 65,000 interest) é (4) Life insurance premium paid on the life policy of brother does not quaity for deduetion. his . Ram regarding From the following information furnished by Shri re 8 Gyenenis compute the amount of deduction aiiowable Savings and Rs to hi 000 cen to N. S, Certificates (vill issue) $o.000 bution to Public Frovien rue iu on own 1 ease Oey prewaant nd » 2000, interest on N.S, Certiionten (vil 1800) ay mori Ans.: Hint: Note: 15. Ans.: Hint: Note: 16. Fi Ans.: acer Deductions from Gross Total Income .; Deduction allowable u/s 80C Rs. 1,20,000 From the following information compute the deduction allowable u/s 80C of the Act: (a) Subscription to N S. Certificates (vii issue) 10,000 (b) Contribution to Public Provident Fund 20,000 (c) Life insurance premium on his own life 20,000 (Sum assured Rs. 80,000) (d) Contribution to Unrecognised Provident Fund 12,000 (e) Contribution to statutory provident fund 8,000 (f) Accrued interest on N. S. Certificates (viii issue) 10,000 (g) Life insurance premium on mother's life 10,000 (h) Investments in infrastructure bonds 20,000 (Gulbarga Nov. 2013) Deduction allowable u/s 80C Rs. 76,000. Life insurance premium on his own life qualify for deduction only 10% of policy amount i.e.,Rs. 8,000. Following investmentsdo not qualify for deduction u/s 80C (4) Contribution to Unrecognised Provident Fund . (2) Life insurance premium paid on mother's policy. Mr, Suresh has made donations to the following funds and institutions during the previous year 2022-23. 5 (a) National Defence Fund 30,000 (b) Prime Minister's National Relief Fund 15,000 (c) Aid to poor students 41,500 (d) Books donated to approved college 3,000 (e) Vijayanagar University College Association (approved) 45,000 (f) Municipality for promoting family planning 415,000 His gross total income amounted to Rs. 4,50,000 including long-term capital gain of Rs. 90,000. + Compute the deduction allowable to him u/s 80G for the assessment year 2023-24. (VSKUB 2013, 2015, 2017 & RCUB 2023 Mod) Deduction allowable u/s 80G Rs. 70,500 (i.e. 100% of 30,000 + 145,000 + 15,000 and 50% of 21,000 (36000-15000) Adjusted gross total income Rs. 3,60,000 (18. 4,50,000 + 90,000) Aid to poor students and books donated do not qualify for deduction. ill in the blanks = i) Deduction u/s 80 DD is for. ii) Deduction u/s 80 D is for. ili) Deduction u/s 80 GG is for. iv) Deduction u/s is available to a disabled assessee while computing his total Income. (Gulbarga University 2010) (i) Specified Deseases for Handicaped Dependent Relative (ii) Mediclaim Insurance Premia (iii) For Rent paid (iv) 80U be Ccinime damsiibie sek bala tie Moule Gat inane cunng he~~ peti < from Gross Tote C1 cvons from Gross Total Income a) National Defence Fund Rs. 10,000 b) Prime Minister's National Relief Fund Rs. <) Aid to poor students Rs, 500 5,000. 4) Books dontated to approved college Rs. 1,000 e) Gulbarga University Private College Teacher's Association (approved) Rs. 15,000 409 f) Municipality approved for promoting family planning Rs. 5,000 M Srinivas's gross total income for the assessment year 2023-24 2s Rs. 1,50,000 including long-term capital gain of Rs. 30,000. Compute the deduction allowable to him under section 80 G. (B.Com V Sem. Gulberga University 2008 & RCUB 2018 Mod) ans.: Deduction : Rs. 23,500 1) Qualifying amount Rs. 27,000 2) Adjusted gross total income Rs. 1,20,000 Section -C Questions of 15 marks each From the particulars given below calculate the amount of deduction allowable u/s 80C in the case of the following individuals: [ Particulars Mr.Ram |Mr.Sham Subscription to National Savings Certificates (viii issue) 20,000 | 10,000 Accrued interest on N.S.C.(vili issue) 4,000 | 2,000 5 years nationalised bank term deposits 5,000 | 3,000 Life insurance premium paid (on wife's life) | 3,000 - Life insurance premium paid (on father's life) - | 7,000 Subscribed to Home Loan Account (National Housing Bank) 50,000 | 20,000 Investment in approved shares & debentures 30,000 | 15,000 Amount paid to Unit linked Insurance Plan | 8,000 s Payment towards deferred annuity plan of LLC. - | 02,500 Subscription to units of specified Mutual Fund - |_ 03,500 (RCUB 2020 & 2021 Mod.) ‘Ans: Deduction allowable to Mr Ram : Rs. 1,20,000, Mr Sham : Rs. 56,000 Wote: Life insurance premium paid by Mr Q Rs. 7,000 on his father's life does not ‘Qualify for deduction 2 Shri Ram's gross total income for the previous year 2022-2023 is Rs.48,00,000. He makes the following donations: {@) Rs. 50,000 to Rajiv Gandhi Foundation (b) Rs. 1,00,000 to Prime Minister's Drought Relief Fund (©) Rs. 25,000 to National Foundation for Communal Harmony {¢) Rs. 25,000 to Prime Minister's National Relief Fund (8) Rs, 25,000 to Prime Minister's Armenia Earthquake Relief Fund () Rs, 25,000 to Andhra Pradesh Chief Minister's Cyctone Relief Fund {9) Rs. 1,00,000 to National Defence Fund fh) Rs. “50,000 to National Children's Fund410 Ans.: Hint: Note: Hint: .: Deduction u/s 80G Rs. 29,001 Deduotions from Gross Total Income i 10 Hubli Municipal Corporation for Opening Girls! ee Hen School at Hubli which will not be of national eminence @) Rs. 2,00,000 for repairs and renovation of a church which hag | been notified by the Central Government as a place of public worship. (k) Rs. 2,00,000 for repairs of the TajMahal (renowned historical building) : (@) Rs. 10,000 worth of clothes given to an orphanage ‘ (m) Rs. 1,50,000 to a recognised educational institution which is approved by the Commissioner of Income-tax but the institution is not of national eminence (n) Rs. 1,00,000 to Karnataka State Government for promotion of family planning Compute the total income of Shri Ram for the assessment year 2023-24 (RCUB Nov. 2013) Total income Rs. 41,85,000 (i.e. G.T.. 48,00,000 - 6,15,000 deduction u/s 80G) Deduction u/s 80G Rs. 6.15,000 (i.e. 100% of 3,50,000 and 50% of 5,30,000 ie. 2,65,000) i Qualifying amount of donations Rs. 8,80,000 (ie. amount qualifies in full 4,00,000 + 4,80,000 which is subject to deduction being 10% of the adjusted gross total income of Rs. 48,00,000). Donation in clothes to an orphanage does not qualify for deduction. Shri Shankar paid the following donations during the previous year ended 31-3-2023: (a) The Indira Gandhi Memorial Trust 10,000 (b) The Rajiv Gandhi Foundation 40,000 (c) Zila Saksharta Samiti (duly constituted) 5,000 (9) Municipality approved for promotion of family planning 10,000 (e) Corporation of notified minority community 25,000 Shri Shankar's gross total income for the previous year was Rs. 2,00,000 which includes Rs. 20,000 being a share of income from an association of persons which has paid tax on its total indome. Determine the deduction allowable to him u/s 80G. (Karnataka Apr.92 & RCUB 2013 mod.) 10 (100% of 15,000 and 50% of 28,000) ualfying amount RB. 43,000 (Le. 25,000 + 18,000), Adjusted gross. tota! income Rs. 1,80,000 (.¢. 200000 - 20000) Mr. Anant has paid the followi don: it age ing donations during the previous year {a) The National Children's Fund (fl Ree Minister's National Relief Fund {onana Fr ra a oa 2.00 th fone a ete mot (h) Municipality approved meet, colege 30.000 for family planning 1,00,000 ) Chief Ministers & Lieutenant Govemors Relief Fund 1,00,000pede Hint Hint Note’ Note Ans. Hint: Note: tions from Gross Total Income ai anant’s gross total income amounted to Rs. 62,00,000 which includes the long-term capital gain of Rs. 2,00,000 Calculate the deduction allowable to him u/s 80G for the assessment year 2023-24 (Bijapur 2009, 2011, GUG 2009, 2015, 2009, KUD 1996, 2019, 2020 RCUB 2019 & 2021) Deduction u/s 80G Rs. 7,50,000 (i.e. 100% of 5,00,000 + 50% of 5.00,000 fie 2,50,000). Total qualifying donations Rs. 10,00,000. Qualifying amount Rs. 10,00,000 (i.e. 4,00,000 + 6,00,000) Adjusted gross total income Rs. 60,00,000 (i.e. 62,00,000 - 2,00.900) :Aid to poor students and books donated being in kind do not qualify for deduction 100% deduction for (a), (b) and (i) and 10% of the adjusted gross total income of (c), @), (e) and (h) will be the qualifying amount Mr, Ajit donated to the following funds and institutions in the previous year 2022-2023 (a) National Defence Fund 10,000 ) Prime Minister's National Relief Fund 5,000 ) Approved charitable institution 15,000 (d) Aid to poor students 2,000 ) Books donated to an approved college 3,000 () Municipality approved for promoting family planning 5,000 Ajit's gross-total income for the assessment year 2023-24 was Rs, 1,95,000. He has incurred an expenditure of Rs. 25,000 on the medical treatment of dependent person with disability Compute the deduction allowable to him uls 80G (KUD 1993, 2000, GUG BBM 2009, RCUB 2015 & Bijapur 2018 Mod) + Deduction u/s 80G Rs. 23,500 (100% of 20,000 and 50% of 7.000) The adjusted gross total income Rs. 1,20,000 i.e. 1,95,000 - 75,000 u/s 80DD (1) The deduction allowable u/s 80DD is the flat amount of Rs. 75,000 {2) Aid to poor students and books donated being in kind will not qualify for deduction. Shri Anil earned a gross total income of Rs. 5,00,000 in the previous year 2022-2023 and made the following donations: (a) Rs.10,000 to Chief Minister's Earthquake Relief Fund. Maharashtra {b) Rs. 15,000 to National Foundation for Communal Harmony {c) Rs. 40,000 to Municipal corporation for promotion of family planning {d). Rs. 25,000 to Corporation of notified Minority Community Compute the deduction allowable to him u/s 80G for the assessment year 2023-24. (Karnataka Apri 1995! MS: Deduction u/s BOG Rs. 70,000 (Le 100% of 65,000 and 50% of 10,000) fing amount Rs 75.000 Ve 25000 + $0,000) 19% of the adjusied grows total income of R& 5,00,000, qualities fore 8412 Ans.: Hint: Hint: Note: 10. Deductions from Gross Total Income Mr. Ahuja has made the following donations during the previous year 2022-2023 (a) The National Sports Fund 10,000 (b) The National Cultural Fund 10,000 (c) The National Illness Assistance Fund 10,000 (d) The National Blood Transfusion Council 10,000 (e) The National Foundation for Communal Harmony 10,000 (f) The National Children's Fund 10,000 10,000 (g) The National Defence Fund Compute the deduction allowable to him u/s 80G for the assessment year 2023-24. Deduction u/s 80G Rs. 70,000. Qualifying amount Rs. 70,000 100% of (a) to (g) is allowed as deduction. The adjusted gross total income of Mrs. Usha amounted to Rs.6,00,000 for the previous year ended 31-3-2023. She made the following donations to : (a) The Prime Minister's Armenia Earthquake Relief Fund Rs.40,000 (b) The Africa (Public Contributions-India) Fund Rs. 10,000 (c) Approved educational institutions Rs. 15,000 (d) Approved temple Rs. 35,000 (e) Clothes distributed to the poor worth Rs. 5,000 (f) Municipal corporation for promotion of family planning Rs.20,000 Compute the amount of deduction allowable to her u/s 80G for the assessment year 2023-24. : (Karnataka Oct. 1994) : Deduction u/s 80G Rs. 95,000 (i.e. 100% of 70,000 and 50% of 50,000) Qualifying amount Rs. 1,10,000 (i.e. 50,000 + 70,000) Clothes distributed to the poor will not qualify for deduction. From the following details of Mr. Abhishek for the previous year ending 31-3-2023, Compute the allowable. deduction U/s. 80G: i) Donation to the National Children's Fund Rs. 10,000. ii) Donation to the National Sports Fund (set-up by Central Government) Rs. 20,000. iii) Donation to the National Foundation for Communal Harmony Rs. 15,000. iv) Donation to Sri Channabasava Swamy Trust (approved) Rs. 14,000; vy) Donation to Municipalty for the Promotion of Family Planning Rs. 16,000. His adusted gross total income is Rs. 2,80,000. (Gulbarga University B.Com April 2010) .: Deduction a) 100% of Rs, 51,000 51,000 b) 50% of balance of qualifying amount (73000-51000) 50% 11,000 62,000 Pilisied gross total income Rs. 2,80,000 Total qualifying amount 8. 73.000 (45000+30000 or 10% of 2,80,000 whichever is lower) Mr. Mahesh an incivéceiedeads sail io ap wis di as ce ak(a) 100 Az NONE ON 2 |. The Andhra Prades! . Any fund set ) aL ce ‘Subject to | { without any Maximum Limit Maximum Limit of 10% of adjusted Gross Total Income } 50% deduction 50% Cae deduction deduction amount of the of the donated amount amount donated donated % deduction without any maximum limit. The Prime Minister's National Relief Fund The Prime Minister's Armenia Earthquake Relief Fund National Children's Fund The National Foundation for Communal Harmony The National Defence Fund set up by the Central Government The Africa (Public Contributions ~ India) Fund A University or any educational institution of national eminence as * thay be approved by the presoribed authority in this behelf The Maharashtra Chief Minister's Relief Fund during the period beginning on the tst day of October, 1993 and ‘ending on the 6th day of October, 1993 of to the Chief Minister's Earthquake Relief Fund, Maharashtra h Chief Minister's Cyclone Relief Fund, 1996 up by the State Government of Gujarat exclusively for quake in Gujarat providing relief to the victims of earth The Chief Minister's Relief Fund The Lieutenant Governor's Relief Fund in respect of any State or Union territory ZilaSakshartaSamiti. The National Blood Transfusion Council . Any State Blood Transfusion Council. The National lliness Assistance Fund The Army Central Welfare Fund The Indian Naval Benevolent Fund : The Air Force Central Welfare Fund established by the armed forces of the Union for the welfare of the past and present members of indants to be set up by the Central Government id set up by the Central Government ‘The Fund for Technology Development and Application sot up by the Government up by @ State Government to provide medical relief to Trust for Welfare of Persons suffering with Autism, , Mental Retardation and Multiple Disabilities,394 Deductions from Gross Total Incor me 25. The Swachh Bharat Kosh, set up by Central Government 26. The Clean Ganga Fund, set up by Central Government 27. The National Fund for Control of Drug Abuse. (B) 50% deduction without any maximum limit. 1. Jawaharlal Nehru Memorial Fund 2. Prime Minister's Drought Relief Fund 3. Indira Gandhi Memorial Trust 4, The Rajiv Gandhi Foundation {C) 100% deduction with maximum limit of 10% of adjusted GTI. 4. Donations to the Government or a local authority for the purpose of Promotion of family planning. 2. Sums paid by a company to Indian Olympic Association (D) 50% deduction with maximum limit of 10% of adjusted GTI 4. Donation to Govt. or Approved Institution for any charitable purpose, except family planning. 2. Any approved charitable institution, which is not for the benefits of any particular COMMUNITY. 3. Authority engaged in planning, development of cities. 4. Donation for repair or renovation of any temple, mosque, church, gurudwara or other place notified by the CG to be historic or national Importance sort the aggregate of the donations made to fundslinsttutions covered under (C) & (b) exceeds 10% ofthe Adjusted Gross Total Income, excess amount wil be ignored 2 Adjusted Gross Total Income: Gross Total Income . 000 Less: Long Term Capital Gain XXXX Short Term Capital Gain taxable u/s 111A _ XXXX Deduction u/s 80C to 80U (except u/s 80G) - XOK ‘Adjusted Gross Total Income __ XXXX MMlustration: 17 Mr. Suraj paid following donations. His gross total. income is Rs. 3,50,000 for the previous year ended 31-3-2023 and : (a) Prime Minister's Drought Relief Fund 40,000 (b) The recognised educational institution 20,000 (c) Corporation of notified minority community 10,000 Mr. X has paid insurance premia on the health of his dependent children by cheque Rs. 8,000. Calculate the deduction allowable to him u/s 80G. Solution: Calculation of deduction u/s 806 | (a) Prime Minister's Drought Relief Fund 0,000 (b) The educational institution { © Corporation of minority community __ iin sires 70 50% of the qualifying amount of Rs, 70,000 i.e, 35,000 is aqduetibleyctions from Gross Total income (a) The full amount in item a quai 395 note: (5) The aggregate of i es tol more ee “he ce8® HOt exceed 10% of the adjusted Adjusted ; '@ actual donatio; oe (8) Adjusted gross total income coy NS paid will qualify, health insurance premia wis 80D) '© Re, 3,42,000 (ie, 3,60,000-8,000 8 without any limit justration: 18 mrs, Soumya made donation to the following funds and institutions. Her ross total income is Rs. 6,75,000 for t g(a) National Children’s Fund he previous year ended 31-3-2023 i 41,50,000 (b) The Jawaharlal Nehru Memorial ‘00, (c) A political fund ees ee (d) The approved charitable trust eae (e) A municipal corporation (not for family planning) 40,000 Mrs. Soumya incurred expenditure of Rs. 55,000 on medical treatment of a dependent, who is a person with disability. Compute the amount of deduction allowable to him u/s 80G. Solution : Computation of Allowable Deduction u/s 80G | Particulars. Imitol(%of | Qualifying | Deduction \ adjusted GTL| Amount ‘A 100% deduction without any maximum limit. : 1. National Children's Fund —| 1,50,000 | 1,50,000 50% deduction without any maximum limit 4. The Jawaharlal Nehru Memorial Fund . 100% deduction with maximum limit of 10% of adjusted GTI D. 50% deduction with maximum limit of 10% of adjusted GT! 2 --} 1,00,000 50,000 ° 4. The approved charitable trust 50,000 2. A municipal corporation 40,000 (not for family planning) © & D is limited to 10% of 90,000} 54,000) 27,000 the adjusted gross total income of Rs. 5,40,000 (W.No.1) ab Total Deduction allowable ws 80G| 3,04,000 | 2,27, Working Note 4: 1 ulation of Adjusted Gross Total income EF on 75,000 expenses on dependent (disability) ‘Political Fund ~80,000 1,35,000 : Adjusted gross total income 5,490,000 political fund are allowable as deduction ws 80GGC. ‘of Re. 75,000 is allowable w/s 8000396 Deductions trom Gross Total Income Mlustration: 19 Mr. A has paid the following donations during the previous year endeg 31-3-2023; (a) The National Children's Fund 2,00,000 (b) The Prime Minister's National Relief Fund 2,00,000 (c) A medical college 4,00,000 (d) An approved charitable institution 2,00,000 (e) For repairs and renovation of notified temple 50,000 (f) Aid to poor students 20,000 (g) Books donated to an approved college 30,000 (h) A municipality duly approved for the purpose of promoting family planning 1,00,000 Mr. A's gross total income amounted to Rs. 62,00,000 which includes the share of income of Rs. 2,00,000 from an association of persons which has paid tax on its total income. Calculate the amount of deduction allowable to him u/s 80G for the assessment year 2023-24 (GUG 2009, RCUB 2020 & BJP 2023 Mod) Solution : Computation of Allowable Deduction u/s 80G Particulars: Deduction | allowable A 100% deduction without any maximum limit. 1. National Children's Fund 2. Prime Minister's National Relief Fund B. 50% deduction without any maximum limit C. 100% deduction with maximum limit of10% of adjusted GTI 4. Donation to municipality for promoting family planning D. 50% deduction with maximum te of 10% of adjusted GTI . Donation to medical college 2. Donation to approved charitable institution 3. Donation for repairs, etc. of the temple C & D is limited to 10% of the adjusted gross total income of Rs. 60,00,000 2,00,000 2,00,000 1,00,000 6,00,000 2,00,000 2,00,000 1,00,000 2,50,000 50% of ((6,00,000- 4,00,000) (W.No.1) Total Deduction allowable u/s 806 W.N. 1) Adjusted gross total income Gross total income 62,00,000 Less : Share of profit from A.O.P. 2,00,000 Adjusted gross total income —60,00,000peactions from Gross Total income 397 (4) Donation in kind do not quality for deduct cor 4 est! ae rae ie ae ais het ion « Aid to poor students and (a) The assessee is entitled for deduction of ta there of profit from en essociation cf persone. Oe nustration: 20 For the previous year ended 31-3-2023 the adjusted gross total income of Mr Raghavendra amounted to Rs.8,00,000 and the following are the donations paid by him during the year (4) The Prime Minister's Armenia Earthquake Relief Fund 4,00,000 (2) The Africa (Public Contributions-India) Fund 40,000 (3) Donation for repair of temple 45,000 (4) The approved charitable institution 55,000 (5) Books given to an orphanage (worth Rs.) 15,000 (6) The Army Central Welfare Fund 2,00,000 Compute the amount of deduction allowable to him u/s 80G Solution: Computation of Allowable Deduction u/s 80G Particulars limit of 10% of A 100% deduction without any maximum limit. 4. The Prime Minister's Armenia Earthquake Relief Fund 2. The Africa (Public Contributions-India) Fund 3. The Army Central Welfare Fund B. 50% deduction without any maximum limit €. 100% deduction with maximum limit of10% of adjusted GTI D. 50% deduction with maximum limit of 10% of adjusted GTI 1. Donation for repairs of the temple 2. Donation to approved charitable institution C&D is limited to 10% of the adjusted gross total income of Rs. 8,00,000 (Given) 45,000 55,000 Note: Donation in kind do not qualify for deduction - Books given to an orphanage.398 Mlustration: 24 Mr. Balaji made the following donations in the previous year ende, 31-3-2023. His gross total income was Rs.30,00.000: . National Foundation for Communal Harmony Chief Minister's Earthquake Relief Fund Maharashtra Deductions from Gross Total 1 to municipal corporation approved for family planning (a) Rs. 1,50,000 to (b) Rs. 1,70,000 to (c) Rs. 75,000 to National Children's Fund (d) Rs. 40,000 to a University of national eminence (e) Rs. 60,000 to Jawaharial Nehru Memorial Fund (f) Rs. 20,000 to Indira Gandhi Memorial Trust (g) Rs. 90,000 to an approved charitable institution (h) Rs. 80,000 (i) Rs. 45,000 for repairs of the temple @) Rs family planning 4,25,000 to approved Institution for charitable purpose, not for Compute the deduction allowable to him u/s 80G. Solution: Computation of Allowable Deduction u/s 806 | Particulars limit of 10% of | Qualifying | Deduction adjusted GTI Amount_|_aliowabie A 100% deduction without | any maximum limit. 1. National Foundation for -| 1,50,000 | 1,50,000 Communal Harmony 2. Chief Minister's Earthquake -| 1,70,000 | 1,70,000 Relief Fund Maharashtra 3. National Children's Fund -| 75,000 | 75,000 4. A University of national emi -| 40,000 | 40,000 B. 50% deduction without any maximum limit 4, Indira Gandhi Memorial Trust -| 20,000 | 10,000 2. Jawaharlal Nehru Memorial -| 60,000 | 30,000 Fund C. 100% deduction with maximum limit of10% of adjusted GTI 4. Municipal Corporation approved 80,000 80,000 for family planning D. 50% deduction with maximum limit of 10% of adjusted GTI 14. Donation for repairs of the 45,000 temple , 2. Donation to approved charitable} 90,000 4,10,000 institution 50% of 3. Approved Institution for any 1,25,000 £3,00,000 charitable purpose, not for 0,000) GE erty planning is limited to 10% of Y : Saliepereegte Y 3,40,000 | 3,00,000 Rs. 30,00,000 (Given) _—| Total Deduction allowable uls 8,15,000 6,65,000 Note: Donation in kind do not ually for dedvction - Books given to an orrhens®