*87A. *[*Rebate of income-tax in case of certain individuals.*
- 87A is* applicable on total Income not on Gross Income*. Gross income means total of income under all five heads i.e. Salary, House Property, Business or Profession, Capital Gains and Income from other sources. When we deduct all losses of business or other under other heads and deductions u/s 10, 16 and chapter VI A then it becomes Total Income. It means this income must be reduced by all available deductions and rebate except sec 87A. So this makes possible that Gross income can be more than 5,00,000/-. It must be equal or below 5,00,000/- after deductions of sec 10, 16 and all deductions of chapter VI A for claiming rebate under this section. - Filing of income tax return is necessary in spite of fact that total income is below exempt limit after this rebate. Calculation method of rebate amount u/s 87A 1. First calculate total income by deducted all possible deductions and rebates from Gross total income except sec 87A, it is total income for normal tax rate. 2. From this total income liable to tax, calculate tax in normal course which will be 10% slab as it is normal rate for total income upto 5,00,000/-. 3. Now deduct total tax or 5,000/- whichever is less from above calculated tax. 4. Calculate education cess and secondary and higher education cess on this amount. 5. Total of this will be tax payable by individual. -- 1. If a teacher wants to join STF, visit http://karnatakaeducation.org.in/KOER/en/index.php/Become_a_STF_groups_member 2. For STF training, visit KOER - http://karnatakaeducation.org.in/KOER/en/index.php 4. For Ubuntu 14.04 installation, visit http://karnatakaeducation.org.in/KOER/en/index.php/Kalpavriksha 4. For doubts on Ubuntu, public software, visit http://karnatakaeducation.org.in/KOER/en/index.php/Frequently_Asked_Questions 5. Are you using pirated software? Use Sarvajanika Tantramsha, see http://karnatakaeducation.org.in/KOER/en/index.php/Why_public_software ಸಾರ್ವಜನಿಕ ಇಲಾಖೆಗೆ ಸಾರ್ವಜನಿಕ ತಂತ್ರಾಂಶ --- You received this message because you are subscribed to the Google Groups "Maths & Science STF" group. To unsubscribe from this group and stop receiving emails from it, send an email to [email protected]. To post to this group, send an email to [email protected]. Visit this group at https://groups.google.com/group/mathssciencestf. For more options, visit https://groups.google.com/d/optout.
