It's that time of the year again. Time to get ready with your investments and taxes.
Were you prudent with your investments last year? Did they help you save tax? Or did you end up paying more than you could afford?
What investment mistakes did you make last year? Are there ways to rectify them? What investment options should you go for this year?
What should you do to bring your tax liability to the minimum level?
Direct tax expert Vikas M Gandhi offered some valuable tips. Here is the transcript.
Vikas Gandhi says, Good Evening friends
pradeepkhanna asked, Any limit of Tax Benefit on Medi-Claim amount ?
Vikas Gandhi answers, at 2009-02-12 16:05:38The limit to claim deduction of premium on medi-claim is Rs.15000/- for all Individuals who are not senior citizen & for Senior citizen it is Rs.20000/-
Ramjee asked, An inherited property held by the members of the family together is sold and prorata share of sale value is being received.Please let me know whether there will be capital gains on sale of the property and hwo much? Whether the acquisition is to be taken as zero as it is inerited with no value paid.How to treat the sameas long term or shrot term capital gain,if so.
Vikas Gandhi answers, Since the property is jointly inherited each co-receiver will declare capital gain prorata. If from the date of the original owner owning the property till sale has exceeded 3 yrs then it will be long term capital gain else short term. The cost of the property will not be NIL but the same as that paid by the original owner & capital gain has to be accordilny calculated.
GPS_ICWA asked, HELLO SIR IF I HAVE RENTED OUT MY HOUSE PROPERTY HOW MUCH DEDUCTION I CAN CLAIM FOR INTERERST ON HOUSE LOAN (IS LIMIT OF 150000 PERTAINS TO RENTED OUT PROPERTY ALSO)
Vikas Gandhi answers, No the limit does not apply to rented house
prakashsl asked, I am a salaried person having income from other sources like interest from FD. Can I offset my loss in futures against income from other sources as I have no business income
Vikas Gandhi answers, In my opinion since loss in futures is considered as business income/loss the same can be set off against other sources but not against salary income
VKumar asked, I have an income > 5 Lakh pa, Please clarify: is this correct, if I can avail tax rebate in Medical 15000, Mediclaim 15000, Pension Plan: 12K Housing Loan principal amount (50K) and interest amount (150K) and LIC & other savings 1 L All of those can be taken or not
Vikas Gandhi answers, Interest on Housing loan can be claimed at Rs.150000/- which seperate from other premiums & principal repayments etc put together upto 100000/-
ajoy asked, if i gift a property held by me and my mom jointly to my mom fully then what will be the treatment of it. shall the property be gifted as per the market value of at the actual cost price. Please advice and what will be the tax implication if the property is sold at a later date.
Vikas Gandhi answers, By Gifting your share of property to your Mom there is no income tax implication. However for transfering the same there will be stamp duty implicatiion. Later on selling the same she will be liable for the capital gain.
m_mahendi asked, how often i can claim my LTA . I claimed in dec 2006 , can i claim now
Vikas Gandhi answers, LTA can be claimed twice in four years
its asked, when you sale property. Within how much time you should buy a new one to avoid long term capital gains.
Vikas Gandhi answers, Your should buy another Residential property within 2 years from the transactiion
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date to save long term capital gain tax. In between if the financial year is ending then before your IT return filing date (generally for all 31st July) you should invest the amount in Capital gains account if you have not purchased the property by then. Utilise this money only to buy the property