❓ Income Tax — Questions & Answers

Presumptive tax for small business — Section 44AD

A small business (not a profession) with turnover up to ₹2 crore — ₹3 crore if cash receipts are ≤5% — can declare 8% of turnover (6% for digital/bank...

NPS Tier-1 withdrawal rules — at 60, early exit, and small corpus

At superannuation (60), you can take up to 60% of your NPS Tier-1 corpus as a tax-free lump sum and must use at least 40% to buy an annuity (the pensi...

How trading is taxed — F&O, ETFs, intraday, and salary + capital gains

It depends on how you trade. F&O and intraday are business income (taxed at slab, ITR-3); delivery shares and equity ETFs are capital gains (equit...

Which ITR do you file if you have capital gains — ITR-1, ITR-2 or ITR-3?

With capital gains you generally cannot use ITR-1 — you file ITR-2. The only exception: small long-term equity gains up to ₹1.25 lakh with no losses t...

How to transfer your PF to a new account — and why it beats withdrawing

When you change jobs, transfer your EPF to the new account online through the EPFO member portal — don't withdraw. Transferring keeps your 5-year cont...

PF advance withdrawal — reasons, TDS, and why claims get rejected

A PF advance (Form 31) is a partial withdrawal for a specific approved reason — house, medical, marriage, education — each with its own service/eligib...

Presumptive tax for professionals — Section 44ADA (CAs, doctors, consultants)

An eligible professional — including accountancy / tax / GST practice — with gross receipts up to ₹75 lakh can declare 50% of receipts as income under...

PF withdrawal — process, date of exit, timelines and the pension portion

To withdraw your EPF you need your date of exit updated, then file the claim online (Form 19 for PF, Form 10C for pension). Settlement usually takes 1...

PF & pension (EPS) after 10 years of service — how withdrawal works

Once you cross 10 years of pensionable service, you cannot take the EPS (pension) as a lump sum — you become entitled to a monthly pension from age 58...

Can I switch between the old and new tax regime each year?

If you have only salary/non-business income, you can pick the old or new regime afresh every year when you file — even if your Form 16 used the other...

Form 15G for PF withdrawal — when is it required (and when it isn't)?

Form 15G matters only when TDS would otherwise be deducted on your EPF withdrawal — that is, a taxable withdrawal (less than 5 years of service) of ₹5...

My Form 16 shows a higher salary than my AIS and 26AS — which is right?

It's normal for Form 16 (Part B) to show a higher gross salary than AIS/26AS — those statements report the figure on which TDS was deducted/reported,...

Can I file my ITR without Form 16?

Yes — you can file without Form 16. It's only a TDS certificate, not a pre-condition. Reconstruct your salary from pay slips, take your TDS credit fro...

Revised returns and how a TDS refund works

Yes — you can revise your ITR any number of times before 31 December of the assessment year (Section 139(5)). And filing your return is exactly how ex...

PF withdrawal — KYC documents (bank proof, cancelled cheque, PAN, Aadhaar)

To withdraw EPF online you need a bank account in your own name (KYC-verified against your UAN), a cancelled cheque or passbook showing your name, acc...

How to find your UAN (Universal Account Number)

Your UAN is a 12-digit number that links all your PF accounts. Find it on your salary slip, from your employer, or via the EPFO portal's "Know Your UA...

Deduction on savings & deposit interest — Section 80TTA and 80TTB

Section 80TTA gives a deduction of up to ₹10,000 on savings-bank/post-office interest for those under 60. Section 80TTB gives senior citizens ₹50,000...

Can I claim a past year's deduction, or file an old year's return?

You can't backdate a deduction like 80CCD(1B) — it applies only to the year you actually contributed. And an old year's return can still be filed as a...

Cash limits & tax — receiving cash (269ST), TDS on cash withdrawal (194N)

Receiving ₹2 lakh or more in cash from one person in a day/transaction attracts a 100% penalty under Section 269ST — on the receiver. Large cash withd...

Section 143(2) scrutiny notice — what it means and how to respond

A Section 143(2) notice means your return has been selected for scrutiny (detailed examination). It must be issued within 3 months of the end of the f...