COMBINED INCOME TAX CALCULATOR FY0708 & FY0809

Dear Friends,

In response to queries and requirements from the readers, I am pleased to upload a combined Excel file containing an income tax calculator for FY 2007-08 and 2008-09. The file is compatible with MS Excel 2002 and later versions. The creation is aimed to help those in need. The calculator provides an idea about income tax on salary and its planning. There are validations and auto-checks set at various cell levels with informative tips. You can change the parameters at various cells for varied auto calculations. I am sure this will serve the purpose of most salaried individuals to a great extent. Every care has been taken to minimize errors; however, I invite and would be thankful for your suggestions for improvement.

With warm regards,
vijay

Dear Vijaya,

I hope the most common particulars of salary components are covered in the calculation. Did I get it right, or could you please shed more light on it?

Best regards,
Vijay Vyas

Hi,

Thank you very much for this tool. I just have a few queries.

1. Treatment of bonus - I wanted to know the treatment of bonus. In our company, initially, TDS was deducted on the bonus amount. However, later the TDS effect was nullified, and the bonus amount was considered as income while calculating tax.

2. Is fixed medical reimbursement different from medical reimbursement? On our salary slip, it is mentioned as medical reimbursement.

Swati

Madam,

Bonus is part of income and is considered a taxable head. Normally, employers estimate the total income and calculate the income tax. Monthly estimated tax is then deducted from the salary. At the end, employers collect the savings proof and consider the exemptions and deductions. Due to these effects, your income tax on bonus may be nullified.

Regarding fixed medical reimbursement or medical reimbursement, it depends on company policy. If there is a claim against medical bills, the employer normally considers it as exemptions under section 10, which is limited to 15000/- in both situations.

I am not a tax consultant, but I still believe in the above.

With kind regards,
Vijay

It is not like that if you are using the file with Excel version 2002 and later. In the case of file protection removal, it will ask for the password. You can drop an email to vijaykumar.vyas@gmail.com for more clarification required regarding this matter.

Hi Vijay,

Really amazing! I highly appreciate your hard work on this. Keep posting...

Regards,
Bhaskar

Hi Vijay,

It is a great service you are doing for many by posting this calculator. While there are many calculators like this, yours differs in the way that it includes the last year as well. This feature is very useful for comparison purposes and for addressing any queries later on.

How about considering the preparation of a database and linking it to the Excel file so that five years of data can be accessed with detailed analysis?

Thank you for your efforts and a standing ovation.

Goodbye

Hi Friends!

I need to withdraw my PF from two of my previous companies. I don't have an SSN, which is needed by the PF office in Delhi for withdrawal. Is it necessary, or is there a bypass?

Please guide me, as I am in need of your valuable replies!

Regards,
Dinesh Arya
Delhi

Nice calculator.

Also, check out www.personalmoney.in for related articles and investment, tax-related tips, tricks, and tools.

Thank you to everybody here for their comments. Special thanks to Mr. Manish for providing such helpful links and for sharing his knowledge on tax and financial planning.

I appreciate all the valuable contributions from each of you.

Dear Vijay,

Thank you very much for providing such an easy-to-understand income tax calculation programme. I appreciate your assistance. If you have any other income tax return filing programmes, please share the details with me.

Once again, thank you. Best of luck for the future.

Warm regards,
Subhash Shah