Income from Other Sources to Be Included for Income Tax Calculation

It is important that one files the income tax (IT) correctly and for that one must make sure to include following income as stated below:

• Dividend Income ( Sec 2(22) - Includes debentures issued to shareholders and bonus shares allotted to preference shareholders).
• Winning from Lotteries, Crossword Puzzles, Horse Races and card Games.
• Interest on Securities ( securities is taxed at special rate of 30% (cess 3%) irrespective of one’s income tax slab. )
• Pension Received by legal heirs of Deceased ( sec 57 legal heirs can claim standard deduction of 33 1/3% or Rs 15000 whichever is less.)
• Gifts of money from unrelated Person (section 56(2)).
• Interest from Savings A/C which is exempt upto Rs 10,000 wef FY 2012-13

It is important that one files the correct income tax by calculating these amounts else one can get a notice with penalty for the payment of IT dues.