The last date for filing the Income Tax Return is July 31, 2022. Income Tax Returns for the assessment year 2022-2023 can be filed till this date. Salaried employees who pay rent can claim House Rent Allowance or HRA. It can contribute towards reducing their taxable income, wholly or partially. HRA can be claimed while filing the Income-tax return.
Income Tax Return Filing Deadline
Once you are aware of the deadline for filing the ITR, it’s important to know about various components of the salary slip and other documents required for the same.
Salaried Taxpayers need to provide the following documents for filing ITR. These are as follows:
- ITR Forms- Form 16 and Form 26AS
- Aadhar Card
- Permanent Account Number
- Salary slips or Pay slips
What is a Salary Slip?
A salary slip refers to the slip provided by the employer or the organization to the employee. It is usually generated every month once the salary gets credited. It contains details like companies name and address, date/month, year of payment, employee’s name, ID, designation, and concerned department. Other than this, it contains UAN (Universal Account Number), bank details, EPF account number, and PAN number of the employee .The slip also has various components which are required while filing the ITR. They include basic salary, dearness allowance, house rent allowance, and deductions such as provident fund. For your convenience, we have got an explanation for these components.
Salary Slip Components Explained
- Basic salary – It contains about 30-40% of the total salary. It is also termed as the primary component as it acts as a base for the other ones and is mentioned on the earning side.
- Dearness Allowance– It is taxable and is provided to employees to minimize the impact of inflation. It considers the cost of living as its basis and varies for different locations.
- Leave Travel Allowance -It is about the travel expenses of the employee and their intermediate family members. It is tax exempted but to a certain limit.
- Conveyance Allowance– It covers the travel expenses of the employees when they travel for work. It is exempted from tax up to an amount of ₹1,600 per month or ₹19,200 per annum.
- Medical Allowance – It becomes taxable if the total amount goes above Rs.15,000 per year.
- Performance Bonus and Special Allowance – These components are also taxable and are provided to boost the morale of the employees.
- Other Allowances – Other allowances are different for every organization.
- Employees Provident Fund- It is a necessary contribution towards the PF account. The company pays 12%of the employee’s basic salary towards the EPF account. An employee’s contribution towards the EPF is exempted from tax as per Section 80C of the Income Tax Act.
- Professional Tax – This tax is applicable only in a few states. Based on the employees’ tax slab, it is mentioned on the deduction side of the pay slip.