Here’s A List of Documents You Require to File You Income Tax Returns

When it’s time to file our income tax returns (ITR), many go helter-skelter as they try to organize their documents. Do we need this file? Why are they asking this? I should have used this! Where is my receipt? These are some of the many questions and statements which run in our minds as the financial year end looms.

It’s is compulsory to file your income tax returns. The last date to file them is July 31st.  Not filing them on time attracts penalties and further investigations which should be avoided at all costs. Since the financial year ends soon, it’s time to collect our insurance documents, tax history, ITR forms, and all the other documents required. Still unsure? Here’s a roundup for the documents required to file your income tax returns.

1. If you are working, you must have a pan card. PAN stands for Permanent Account Number. It’s a unique 10 digit alphanumeric code used by the I-T department to keep a tab on financial transactions.
2. A salaried individual receives Form 16 from his or her employer. This form lists the tax deducted at source (TDS) by the employer and then paid to the IT department. It also lists our personal information, salary income, and tax exemptions under the various sections of the IT act. From 16 has two parts: Parts A&B, it’s mandatory to fill both of them.

When it comes to tax exemptions, you will need to prove them by providing the right receipts and documents so that you can save money.

1. You will need to present your updated bank account statements. This comes in handy when you need to show the interest you earned from your savings account, fixed deposits, and the returns you might have received from financial instruments such as mutual funds or tax saving instruments like Public Provident Fund (PPF) and others.
2. The documents of any insurance or loans you have bought such as health insurance premiums, interest on home loans, life insurance premiums and more.

Once you’ve understood your income stream, you need to choose the right ITR form to fill.

ITR1 – It’s for salaried individuals, those who earn from income from property (1 house), exempted incomes, and other sources (precludes lottery and horse race winnings).

ITR2 – It’s for salaried individuals, those who earn income from property (more than 1 house), capital gains, income from foreign assets, and other sources (includes lottery and horse race winnings).

ITR3 – It’s for salaried individuals, those who earn income from property (more than1 house), capital gains, and income from foreign assets, and share of profit earned as a partner from a partnership firm.

ITR4 – It’s for salaried individuals, those who earn income from property (more than1 house), capital gains, income from foreign assets, the share of profit earned as a partner from a partnership firm, and income from a proprietary business.

So, you’ve got all your investment documents, your pan, Form 16, and ITR form ready. Now, before you head and file your income tax, it’s wise to calculate it; you should do this to ensure there isn’t any error. You can do this using an income tax calculator.

These calculators help determine the amount of income tax you will be paying. You can use the one made available by H&R Block India, it’s simple to use and is from India’s leading tax preparation firm which also helps you file you ITR online, 100% free of cost.

Challenges People Face While Filing Income Tax Returns

The Taxation system in India underwent a huge sea of revolution in the last decade. The government introduced a number of new schemes to simplify the tax laws in the country.  This was also to encourage income earning individuals to file tax returns and pay timely taxes. One of the biggest revolutions in the taxation system was the introduction of online filing of income tax returns. The online system simplified the complicated procedures to a great extent. It eliminated the need to go to government offices and stand in long queues. A Taxpayer has to simply log on to the official website of income tax department and returns can be filed in a matter of minutes. This can be done from any internet enabled device and from the place of tax payer’s convenience.

However, the sad state is that irrespective of all the efforts taken by the government to ease the procedures, statistics does not show a positive trend. Here are quick facts and stats that show the current state of income tax in India.

• Among 130 crore Indians, only about 4% (5.1 crores) filed Income Tax returns in 2015-16. An even smaller number, only 1.3 crore individuals in 2014-14, paid income tax.
• There are just over 10 lakh income tax assesses in India declaring income in excess of Rs 10 lakh a year.
• Only two states, Maharashtra (39.9%) and Delhi (13.1%) pay 53% of India’s total income tax.
• The above-mentioned numbers and figures are expected to change drastically. Owing to the decision of demonetization, more income earning individuals are expected to pay taxes in the upcoming financial year. The introduction of strict laws and financial penalties for tax evaders is sure going to bring the change in the mindset of people. And, what is the harm when it is for the good of the nation. More tax payers will lead to accumulation of more money in Government’s fund which in turn will lead to the development of infrastructure, investment in defense sector etc.

 

 

Why Is a Comprehensive Car Insurance Plan Better Than a Third Party Plan?

All of us know that motor insurance is compulsory in India. What matters is purchasing the right type of car insurance plan. This means that it is important for you to thoughtfully select the plan. Most of the people opt for it blindly considering it as a normal insurance policy. However, one cannot underestimate the significance of a car insurance as it is a complete form of protection to people’s prized assets. There are mainly two types of car insurance policies that one can select from- third party and comprehensive car insurance policies.

For those who do not wish to spend much money when it comes to car insurance end up buying a third party plan which does not even protect the insured. Here is an example of how not purchasing a comprehensive car insurance plan is never a good idea. Rahul purchased his very first car, however, he felt that he did not require a comprehensive car insurance plan. For this reason, he chose a third party plan. One day, while he was on his way to work, he accelerated his car a bit further which bumped into another car at the crossroad.

The end result was that Rahul’s brand new car was also damaged along with the third party’s car. While Rahul’s car insurance covered for third party’s car, it did not cover for his own car for which he had to bear the expenses. Fortunately, there was no physical injury because of which he saved some more money. Rahul had to pay a sum of Rs.10, 000 for the damage to his car which could have otherwise been paid by the insurance provider had he opted for a comprehensive car insurance plan. This is the reason why one cannot simply buy any type of car insurance plan.

So the next time you think of buying a car insurance plan, look at the coverage and ensure that you buy a comprehensive one as it is always recommended. It isn’t just about the finances but also the overall protection that it promises. There are a number of car insurance policies that you can purchase from various insurance providers such as HDFC Ergo, Bajaj Allianz, Royal Sundaram and many others.

Perks Of E-filing Your Income Tax Returns

In India, tax payer’s population amounts to only 4% of total earning individuals. One of the major reasons for this small percentage of the tax paying population is the cumbersome tax laws and procedures. To do away with complicated procedures, the government in collaboration with the income tax department have been simplifying electronic filing of tax returns. Also known as e-filling, this simplifies filing of tax returns to a great extent. The process only requires you to have the form 16, which is provided by your employer organization.

You can e-file your tax returns either by logging in to the official website of income tax department or by using the service of any of the private tax portals such as H&R block. Both are convenient as well as free of cost. Below mentioned are a few advantages of e-filing tax returns:

Helps you in keeping a track of your financial portfolio

A tax return statement is something that includes everything related to your financial portfolio. From salary to tax deductions, investments to savings, it is basically a savior when it comes to dealing with stacks of papers. E-filling will help you create an electronic record for all financial and important matters.

Money Benefits

When you file your taxes through an agent, you have to pay a good amount of commission to him. Whereas electronic filing does not require you to pay anything. This way, it saves a lot of your money. Online tax portals also tell you about potential tax benefits.

Accurate

There are several online tax portals that offer tools that calculate taxes for you. It is anytime better than getting your taxes done through an agent. Accuracy is one of the major advantages of filing tax returns online and using online calculators.

Quick and Convenient

You don’t have to stand in long queues outside government offices. All you have to do is upload your form 16, and you are done with filing your tax returns. Moreover, you can do it using any internet enables device from the comfort of your home.

Faster Refund

In case you are eligible for any tax refunds, the online filed tax returns will make your refund process faster.

 

 

 

What is the difference between Bank FDs and Corporate FDs?

Fixed Deposits are an excellent financial instrument for savings and investment. It is a term deposit where an investor invests a lump sum amount of money and earn regular interest on it until the maturity date.

You can choose to open a fixed deposit with a bank or with a company which offers this facility. Companies offer fixed deposits mainly to raise funds to meet their financial requirements. Though the concept remains the same, there are some differences between Bank FDs and Corporate FDs. Let’s take a look.

	Bank Fixed Deposits	Corporate Fixed Deposits
Definition	They are fixed income savings instruments issued by banks.	They too are fixed income savings instruments, however, they are issued by corporate companies.
The rate of Interest	Bank FDs offers an average level rate of interest to the customers at best.	Corporate FDs offer a higher rate of interest to their customers compared to banks.
Tax Deducted at Source (TDS)	Income earned from interest exceeding INR 10,000.	Income earned from interest exceeding INR 5,000.
Liquidity	These deposits have a maturity period, however, they can be closed or broken anytime.	These deposits have a lock-in period prior to which the account holder can’t close or beak the account.
Risk	They are considered to be one of the safest accounts with no risk of default.	There is a higher risk compared to banks, the major factor is the financial strength of the corporation.
Ratings	Most people often don’t look at the ratings of the bank before opening an FD	People do check the credit rating of a corporation before choosing to open a Fixed Deposit with them.
Maturity Period	Maturity Period can last from a few years to 10 years.	Maturity Period ranges from 1 – 3 years.

 

Fixed Deposits are an excellent investment and savings tool. It’s no wonder that they are so popular among people across India. You can select them either from the companies themselves or from distributors like Reliance Securities. They have a great experience and make sure to offer their customers the best Corporate FDs in the market and nothing else.

Experience Delightful Journeys with Jet Airways

We all want our flight journeys to be as comfortable as possible. Uncomfortable flight journeys can be a nightmare, as one has no choice but to endure it. Jet airways understands every need of the passengers and ensures that they have a delightful time on board. Whether you are traveling for a vacation or for business, comfort will obviously be your top your top priority. That’s exactly what jet airways is renowned for! If you want an amazing start to your trip, you should definitely choose jet airways.

Jet airways is one of India’s premier international airline based in Mumbai. Jet airways has a robust network India and across the world. The airline has won several awards for providing unmatched services over the years. With the promise of generous hospitality and safety, jet airways perhaps the most preferred airline in India. Here’s why jet airways is at the top of its game.

Extensive flight network

Jet airways is the second largest airline in India, in terms of flight network and passengers carried. It operates more than 300 daily flights to 68 destinations that include 48 domestic destination and 20 international destinations across Asia, Europe, and North America. Jet Airways also has a codeshare agreement with several international airlines for enhanced connectivity.

Award winning loyalty program

Jet privilege is the award willing loyalty program by jet airways. Jet privilege members can enjoy several amazing benefits such as excess baggage allowance, priority check-in, Lounge access across airports, earning airline miles, priority boarding and much more. Since jet airways has such an extensive flight network, there’s plenty of scope to earn more airline miles.

Luxurious airports lounge

The gold and platinum members can avail complimentary access to the luxurious jet privilege lounges. The premium lounges are a great place to relax or catch up on important work, before and after your journeys. Jet privilege member can also access Etihad airways lounges due to partnership ties with jet airways.

Exceptional in-flight services

Jet Airway operates a fleet of state of the art aircraft. All of the airplanes have spacious and comfortable seating for an enjoyable flying experience. They aircraft are also equipped with top notch entertainment systems that are loaded with engaging programs. Furthermore, passengers can also enjoy warm delicious meals across all cabin classes.

 

 

All you need to know about Saudi airlines

The increase in airfare during peak travel season, non-availability of flight tickets in emergency situations, and uninformed flight delays and cancellations are some of the common misconducts by airline companies these days. Very few airlines are concerned about passenger convenience and Saudi airlines is one of them.

Saudi airlines is one of the elite air carriers of the region from past 60 years. The carrier is renowned for excellent customer services as well as their vision to provide ultimate customer satisfaction.

Connectivity:

With Saudi airlines, you can fly to a number of destinations across the world. Their wide network of connectivity includes the most popular tourist destinations in the Middle East such as Abu Dhabi, Kuwait, Dubai and much more.

To provide better on-board services, the airlines has constantly worked on adding better aircraft. Now, the fleet of the airline consists of a variety of Boeing 747-400s, 777-200s/777-300ERs, Airbus A320s, A321s, A330 and Embraer 170.

You can book with Saudi airlines to fly across several international tourist destinations such as the USA, Europe and Asia.

On board Saudi:

The airline offers bookings with distinct classes. You can make the class selection as per your budgets and needs. However, you are sure to enjoy on board services of Saudi airlines irrespective of the class you choose to travel with. Some of the on-board amenities include Comfortable seating, warm hospitality of the crew, scrumptious meals etc.

Frequent flyers with Saudi can become a member of their special programme called Alfursan.it allows you to avail several reward points thereby leading to a number of discounts.

Additional benefits:

Saudi airlines offer a unique web check-in facility. Passengers can avail this to check in hours before the actual departure time. This allows you to check in using any internet enabled device including your smartphone. Not only check in, this feature also lets you select your preferred seats and print boarding pass online.

 

 

 

 

Fly Affordable with Go Air

The common misconception about travel is that it is only meant for the rich. Well, the recent hike in airfare and accommodation prices kind of justifies this widely accepted notion. But what if we tell you, traveling can be enjoyed even on low budgets? No, we are not asking you to take a road trip to the nearest hill station. You can take a journey through the flight and fly to your favorite destination without burning a hole in your pocket. Provided that you choose to fly with Go Air.

Yes, with Go Air, you can easily fly to your favorite travel destination with extreme comfort. The airline was started in the year 2005.And back then it was first of a kind offering people cheap flight services.  With Go Air, you can fly to over 100 popular tourist destinations across Asia. Additionally, you won’t have a difficult time scheduling your flight according to your convenience, because it offers over 100 flights daily to multiple destinations.

The airline commenced with a vision and the tagline “Fly smart”. And the good part is that it has been successfully living up to its objective of providing smart and budget-friendly travel option. Go Air has also debunked the myth that budget travel carriers lack on providing quality onboard services. With Go Air, you can avail good quality journey experience.

Comfortable seating, unlimited entertainment and scrumptious meals, the airline has been awarded several prestigious recognitions. And if you are planning a trip to the Middle East, you are assured of a plethora of transit options. Your connecting flights are also planned according to your convenience.

To know more about facilities,Booking, schedule and baggage allowances of Go air, log on to the official website of the Airline. There you will find all the detailed information. Moreover, you can also take the help of private travel portals such as Cleartrip to avail hassle free flight bookings

Common Terms to Know while Buying Medical Insurance

The probability of falling ill cannot be calculated. Moreover, you may also not know the extent of medical expenses. However, you can still safeguard your wallet from the financial impact of such health-related adversities by opting for medical insurance.A health insurance or medical insurance policy is a simple contract between the insurer and the insured person wherein the insurer promises to pay the substantial amount of funds for medical expenses for a small premium. In general, a medical insurance policy will cover most of the medical expenses and hospitalization charges incurred by the insured person. These include room rent, nursing, doctor fees, surgery costs, etc.

Buyers are often confused about the various terminologies used while purchasing a medical insurance policy. Here are a few common terms used, which you should know before purchasing any such policy.

• Sum Insured:- This is the total amount the insurer promises to pay the insured person in any event of hospitalization. It may be on individual basis or family floater basis.
• Cumulative Bonus (CB):- Suppose you do not file a claim in one particular year, then the insurer will offer a discount on the premium to be paid while renewing the policy the following year. Such discount can be accrued over years.
• Health Check-up Costs:- These are the costs incurred by the insured person for performing medical tests and diagnostics. Details about this clause vary from policy to policy.
• Minimum Period of Hospitalization:- This is known as the minimum amount of time for which the insured person has to get admitted to the hospital in order to file a claim. Generally, this period is fixed at 24 hours; however, it may vary according to policy.
• Cashless facility:- Insurers have a tie-up with hospitals where the insured person does not have to pay any upfront amount for medical care. This facility is called cashless facility, and it is limited to network hospitals only.
• Pre- and Post-hospitalization expenses:- These are the expenses the insured person incurs before getting admitted and after getting discharged from the hospital.
• Exclusions:- These are the conditions for which the person insured cannot file a claim.

 

 

The Five Secrets You Will Never Know About E-Filing

As the time to file taxes inches closer, most people begin to get worried. Although the thought of parting with your hard-earned money might be unpleasant, taxes are vital for the development of the country. They are a necessary evil, that nobody can avoid. If you are a first-time taxpayer, doing your taxes might seem like a daunting task. However, you need not worry. Since the introduction of e-filing, doing taxes has become a simple tax. Here are some insider secrets about e-filing, that will make filing a very easy process.

Keep All the Documents Ready:- If you want your tax forms to be processed successfully, you need to ensure that all the details are in order. The best way to ensure accuracy is to start your tax preparations before time. Do not wait until the last minute to do your returns. Therefore, make sure you have all the documents ready well ahead of the deadline.

Don’t Worry About Making Tax Calculations:- If you are apprehensive about making mistakes while calculating your taxes, you can always seek assistance from the experts. Online tax filing websites such as H&R Block offer basic tax calculation services for free. All you need to do is, upload the tax forms and the tax software will auto read your forms and make your tax calculations accurately.

You Can Get Your Refunds Earlier With E-filing:- If you file your taxes online, you are bound to get your tax refunds earlier. The closer your tax filing date is to the deadline, the longer it takes to get the refund. Hence, if you want to get your tax refunds as early as possible, file your taxes as early as possible.

Check Your Tax Forms Twice Before Filing:- Any mistakes in the tax forms might result in fines and penalties or rejection from the income tax department. Therefore, make sure you check everything twice before filing your tax returns.

Don’t Panic Of You Made A Mistake:- If you realize you made a mistake after filing, you need not panic. You can file an amended return on paper to handle the corrections.