Various Threshold Limits under Income Tax Act For Assessment Year 2015-2016

1. a) Rs 5,000
2. b) 1/5th of salary (excluding

any allowance, benefit or

perquisite)

1. c) Actual entertainment

allowance received

employee)(Subject to certain conditions)

1. a) Amount actually received
2. b) Unutilized earned leave**

X Average monthly salary

1. c) 10 months Average

Salary**

1. d) Rs. 3,00,000

*While computing unutilized

earned leave, earned leave

entitlements cannot exceed

30 days for each year of

service rendered to the

current employer

**Average salary = Average

Salary*** of last 10 months

immediately preceding the

retirement

***Salary = Basic Pay +

Dearness Allowance (to the

extent it forms part of

retirement benefits)+

turnover based commission

1. a) an amount calculated as

per 10(10B)of the Industrial

Disputes Act, 1947;

1. b) Rs. 5,00,000; or
2. c) Amount actually received.

1972 (other than Government employee) (Subject to

certain conditions).

1. (*15/26) X Last drawn salary** X completed year

of service or part thereof in

excess of 6 months.

2. Rs. 10,00,000
3. Gratuity actually received.

*7 days in case of employee

of seasonal establishment.

** Salary = Last drawn

salary including DA but

excluding any bonus,

commission, HRA, overtime

and any other allowance,

benefits or perquisite

1972 (other than Government employee)(Subject to

certain conditions).

1. 1/2 X Average Salary* X

Completed years of service

2. Rs. 10,00,000
3. Gratuity actually received.

*Average salary = Average

Salary of last 10 months

immediately preceding the

month of retirement

**Salary = Basic Pay +

Dearness Allowance (to the

extent it forms part of

retirement benefits)+

turnover based commission

1) Actual amount received as

per the guidelines i.e. least of

the following

(a) 3 months salary for

each completed year

of services

(b) Salary at the time of

retirement X No. of

months of services left

for retirement; or

2) Rs. 5,00,000

residence and place of duty

blind and handicapped

employees)

during his duty performed in the course of running of such transport from one place to another place

provided employee is not in receipt of daily allowance.

2BB

1. 70% of such allowance;

or

1. b) Rs. 10,000 per month.

an orderly and for meeting

expenses incurred to wards

secretarial assistance an

contract basis.

2BB

2BB

1,300 per month.

2BB

exemption in respect of border area allowance

(Subject to certain conditions and locations)

2BB

exemption in respect of border area allowance

(Subject to certain conditions and locations)

2BB

permanent locations. If this exemption is taken,

employee cannot claim any exemption in respect of

border area allowance (Subject to certain conditions

and locations)

2BB

(Subject to certain conditions)

2BB

conditions and locations)

2BB

1. a) Up to Rs. 1,060 per

month (for altitude of 9,000

to 15,000 feet)

1. b) Up to Rs. 1,600 per

month (for altitude above

15,000 feet)

conditions and locations)

2BB

group of Island (Subject to certain conditions and

locations)

2BB

taxable if employer’s

contribution is Rs. 1 lakh or

less per year)

shall be exempt in the hands of an employee

perquisite in the hands of the employee

previous year does not

exceed Rs.20,000

the hands of the employee

manufacturing company after 31-03-2013 but before 01-

04-2015 exceeds Rs. 25/100 Crores, as the case may be

(Subject to certain conditions).

expenditure in the nature of cost of any land or building)

expected to be incurred on such project exceeds the

threshold limit (Subject to certain conditions)

read

with

section

35CCC

• If total sales, turnover or

gross receipts exceeds Rs.

10,00,000 in any one of the

three years immediately

preceding the previous year; or

2) If income from business or profession exceeds Rs.

1,20,000 in any one of the

three years immediately

preceding the previous year

Crore in any previous year, in  case of business; or

2) If gross receipts exceeds Rs. 25 Lakhs in any previous year, in case of profession.

and maintain the specified information and documents

original assets during the financial year, for claiming exemption

(Subject to certain conditions)

original asset is transferred and in

subsequent financial year

15,000

1. Life insurance premium for policy:
2. a) in case of individual, on life of assessee, assessee’s

spouse and any child of assessee

1. b) in case of HUF, on life of any member of the HUF
2. Sum paid under a contract for a deferred annuity:
3. a) in case of individual, on life of the individual,

individual’s spouse and any child of the individual

(however, contract should not contain an option to

receive cash payment in lieu of annuity)

3. Sum deducted from salary payable to Government

servant for securing deferred annuity or making provision

for his wife/children [qualifying amount limited to 20% of

salary]

4. Contributions by an individual made under Employees’

Provident Fund Scheme

5. Contribution to Public Provident Fund Account in the

name of:

1. a) in case of individual, such individual or his spouse or

any child of such individual

1. b) in case of HUF, any member thereof
2. Contribution by an employee to a recognized provident

fund

7. Contribution by an employee to an approved

superannuation fund

8. Subscription to any notified security or notified deposit

scheme of the Central Government

9. Subscription to notified savings certificates[National

Savings Certificates(VIII Issue)]

1. Contribution for participation in unit-linked Insurance

Plan of UTI:

1. a) in case of an individual, in the name of the individual,

his spouse or any child of such individual

1. b) in case of a HUF, in the name of any member thereof
2. Contribution to notified unit-linked insurance plan of

LIC Mutual Fund:

1. a) in the case of an individual, in the name of the

individual, his spouse or any child of such individual

1. b) in the case of a HUF, in the name of any member

thereof

2. Subscription to notified deposit scheme or notified

pension fund setup by National Housing Bank [Home

Loan Account Scheme/National Housing Banks (Tax

Saving) Term Deposit Scheme, 2008]

3. Tuition fees (excluding development fees, donations,

etc.) paid by an individual to any university, college,

school or other educational institution situated in India, for

full time education of any 2 of his/her children

4. Certain payments for purchase/construction of

residential house property

5. Subscription to notified schemes of(a) public sector companies engaged in providing long-term finance for

purchase/construction of houses in India for residential

purposes/(b)authority constituted under any law for

satisfying need for housing accommodation or for

planning, development or improvement of cities, towns

and villages, or for both

6. Sum paid towards notified annuity plan of LIC or

other insurer

7. Subscription to any units of any notified [u/s

10(23D)] Mutual Fund or the UTI (Equity Linked Saving

Scheme, 2005)

8. Contribution by an individual to any pension fund set

up by any mutual fund which is referred to in section

10(23D) or by the UTI (UTI Retirement Benefit Pension

Fund)

9. Subscription to equity shares or debentures forming

part of any approved eligible issue of capital made by a

public company or public financial institutions

1. Subscription to any units of any approved mutual fund

referred to in section 10(23D), provided amount of

subscription to such units is subscribed only in ‘eligible

issue of capital’ referred to above.

1. Term deposits for a fixed period of not less than 5

years with a scheduled bank, and which is in accordance

with a scheme framed and notified.

2. Subscription to notified bonds issued by the

NABARD.

3. Deposit in an account under the Senior Citizen

Savings Scheme Rules, 2004 (subject to certain

conditions)

4. 5-year term deposit in an account under the Post

Office Time Deposit Rules, 1981 (subject to certain

conditions)

under Section 80C, 80CCC and

80CCD)

conditions).

under Section 80C, 80CCC and 80CCD)

conditions).

• Deduction is available in respect of any payment made by an assessee on account of preventive health check-up of self, spouse, dependent children or parent during the previous year up to a limit of five thousand rupees within the existing prescribed limits
• The age for defining a senior citizen is reduced from sixty five years to sixty Payment on account of preventive health check-up may be made in cash.

1. In case of individuals, premium

paid:

1. a) for self, spouse and dependent children: Rs. 15,000 (Rs. 20,000

if person insured is a senior citizen);and

1. b) for parents of the assessee: (Additional) Rs. 15,000 (Rs. 20,000 if person insured is a senior citizen)
2. In case of HUF, premium up to Rs.15,000 (Rs. 20,000 if person insured is a senior citizen) paid to insure any member of the family.

oriented funds are first acquired

1. a) Any expenditure incurred for the medical treatment

(including nursing), training and rehabilitation of a

dependent, being a person with disability

1. b) Any amount paid or deposited under an approved

scheme framed in this behalf by the LIC or any other

insurer or the Administrator or the specified company [as referred to in UTI (Transfer of Undertaking & Repeal) Act, 2002] for the maintenance of a dependent, being a person with disability (Subject to certain conditions).

of:

1. a) In case of Individual: Assessee himself or wholly

dependent spouse, children, parents, brothers and sisters

1. b) In case of HUF: Any member of the family who is wholly dependent upon the family (Subject to certain conditions).

purpose of acquisition of a residential house property

whose value does not exceed Rs. 40 lakhs (Subject to

certain conditions).

[This deduction will be allowed only during Assessment

Year 2014-15 and 2015-16]

(Subject to certain conditions)

1. a) Rent paid in excess of 10% of total income*;
2. b) 25% of the Total Income; or
3. c) Rs. 2,000 per month.

Total Income = Gross total

income minus capital gains, short term capital gains under section 111A, deductions under section

80C to 80U (other than 80GG) and income under section 115A.

programme or for carrying out an eligible project or

National Urban Poverty Eradication Fund shall be

allowed (Subject to certain conditions)

No deduction shall be allowed if

contribution is paid in cash in

excess of Rs.10,000

1. a) In case of Lump sum payment

– Amount of royalty income subject   maximum of Rs. 3,00,000

1. b) In other cases – amount of such income subject to maximum of 15% of value of books sold during the previous year.

certain conditions)

society engaged in banking business, etc.

(Subject to certain conditions)

society carrying on transport business or a society

engaged in the performance of any manufacturing

operations with the aid of power,) in respect of income

by way of interest on securities or any income from house property.

2,50,000 for an individual, Rs. 3,00,000 for

Senior Citizens and Rs. 5,00,000 for Super

Senior Citizens)

substantially interested. Provided interest is

paid by account payee cheque to resident

individual or HUF

persons

paid to resident individual

any time during the previous year

co-operative bank on time deposits

Scheme Rules, 2004

Tribunal

1. a) If sum paid or payable to a contractor in a single payment does not exceed Rs. 30,000
2. b) If sum paid or payable to contractor in aggregate does not exceed Rs. 75,000 during

the financial year

resident (w.e.f. 01-10-2014) person

and machinery

remuneration

property (other than Agricultural Land)

securities) to residents without deduction of

tax

1. a) Rs.10,000 where payer is banking company or co-operative society;
2. b) Rs.5,000 in other case

of bullion or jewellery, shall, at the time of

receipt of such amount in cash, collect from

the buyer income-tax.

1. a) for bullion (excluding any coin or article weighing 10 grams or less), exceeds Rs.

2,00,000

1. b) for jewellery, exceeds Rs.5,00,000

India may file an application for certificate

authorizing receipt of interest and other

sums without deduction of tax under section

195 (Subject to certain conditions).

the earlier year exceeds Rs.50,00,000

foreign company, any interest or salary or

any other sum chargeable to tax under the

provisions of the Act, shall furnish

information in Part A of Form No.15CA

during the financial year

with Rule

12

year

assessment year

Rs. 1,00,000

assessment year

Rs. 1,00,000

or gross receipts,

etc., or Rs.

1,50,000, whichever

is less

under Section 285BA(5)

statement

1. a) answer questions
2. b) sign statement
3. c) attend to give evidence or produce books of account, etc.,

incompliance with summons under section 131(1)

1. a) furnish requisite information in respect of securities as required

under section 94(6);

1. b) give notice of discontinuance of business or profession as

required under section 176(3);

1. c) furnish in due time returns, statements or certificates, deliver

declaration, allow inspection, etc., under sections 133, 134,

139(4A),139(4C), 192(2C), 197A, 203, 206,206C, 206C(1A)

and 285B;

1. d) deduct and pay tax under section226(2)
2. e) file a copy of the prescribed statement within the time specified

in section 200(3) or the proviso to section 206C(3) (up to 1-7-

2012)

1. f) file the prescribed statement within the time specified in

section206A(1)

(Subject to certain

conditions)

1. a) Rs.250 if total income as computed by AO is up to

Rs. 1 lakh

1. b) Rs. 500 if total income as computed by AO is more

than Rs. 1 lakh but up to Rs. 2 lakhs

1. c) Rs.1,000 if total income as computed by AO is more

than Rs. 2 lakhs

1. d) Rs.250 in any other case

1. a) Rs.500 if total income as computed by AO is up to

Rs. 1 lakh

1. b) Rs.1,500 if total income as computed by AO is more

than Rs. 1 lakh but up to Rs. 2 lakhs

1. c) 1% of assessed income subject to maximum of Rs.

10,000 if total income as computed by AO is more than

Rs. 2 lakhs

1. d) Rs. 500 in any other case

turnover or gross receipts in any previous

exceeds the threshold limit

read with

Rule

114B

1. a) Sale or purchase of any immovable property

valued at Rs. 5 lakhs or more

1. b) A time deposit with a banking company exceeding Rs. 50,000
2. c) A deposit in any account with Post Office Saving Bank exceeding Rs. 50,000
3. d) A contract of a value exceeding Rs. 1 lakh for sale or purchase of securities
4. e) Payment to hotels and restaurants against their bills for an amount exceeding Rs. 25,000 at any one time
5. f) Payment in cash for purchase of bank draft or pay orders or banker’s cheque for an amount Rs. 50,000 or more during any one day
6. g) Deposit in cash aggregating Rs. 50,000 or more during one day with a bank
7. h) Payment in cash in connection with travel to any foreign country of an amount exceeding Rs. 25,000 at any one time
8. i) Payment of an amount of Rs. 50,000 or more to a Mutual Fund for purchase of units or

to a company for acquiring shares or debentures or bonds issued by it

1. j) Payment of an amount of Rs. 50,000 or more to RBI for acquiring bonds issued by it
2. k) Payment of an amount of Rs. 50,000 or more in a year as life insurance premium to an

insurer

1. l) Payment to a dealer for purchase of jewellery or bullion of an amount of Rs. 5 lakh

or more at any one time or against a bill for an amount of Rs. 5 lakh or more.

transferee to that effect

1. Rs. 75,00,000 if immovable property is comprised within in area of Greater Bombay
2. Rs. 50,00,000 if immovable property is comprised within in area of Union territory of Delhi
3. Rs. 25,00,000 if immovable property is comprised within in area of Calcutta Metropolitan Area and Madras Metropolitan Planning Area
4. Rs. 25,00,000 if immovable property is comprised within in area of Bangalore Metropolitan Region and the areas declared as Ahmedabad Urban Development Area and the areas comprised in the city of Ahmedabad
5. Rs. 25,00,000 if immovable property is comprised within in area of Pune
6. Rs. 20,00,000 if immovable property is comprised within in areas other than those mentioned above and notified vide SO 339(E), dated 8th May, 1989; SO 53(E), dated 19th January, 1990 and SO 180(E), dated 14th March, 1991
7. Rs. 10,00,000 if the agreement for transfer is entered into, on or before the 31-07-1995

transferee to that effect

officer, in favour of any other person during the

pendency of any proceeding under the act of

which notice is served on the assessee to be considered as void

value of asset transferred exceeds 10,000

of financial year or within thirty days from the date

of the completion of the production of the film,

whichever is earlier

engaged by him in such production which

exceeds Rs. 50,000

property

draft or electronic clearing system (Subject to

certain conditions)

bank draft or electronic clearing system (Subject

to certain conditions)