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Income under Chapter VIA - Common mistakes in filling of Income Tax Return
(ITR) form - AY 2014-15
o Most mistakes have occurred due to incomplete details or leaving blank the value of
deductions under schedules. In most of the cases only total deduction is mentioned.
o The deduction amount claimed should be entered in Items 5a to 5m in ITR 1 and in Items a to
o in Schedule VIA in ITR 2.
o Eligible donation for the purpose of deduction under 80 G for donations to charitable
institutions (other than certain specified institutions or funds such as Prime Minister's Relief
Fund or Rajiv Gandhi Foundation) is restricted to 10 % of total income after excluding income
chargeable to special rates of tax.
o Likewise, all deductions have specific criteria and limits for claim. In present utility a user enter
field for claiming deduction has been mentioned & correspondingly System Value for deduction
claimed is also mentioned for the benefit of the assessee.
o The sum of all deductions also cannot exceed the total income.
o Deduction cannot be claimed against income chargeable to special rate tax. o Reasons for
difference in calculation of Tax or Interest under section 234A, 234B and 234C and Interest on
Refunds.
o Mistakes in computation of Income as mentioned above leading to an increase in Income.
o Mistake in entering data or Income chargeable to tax at special rates such as STCG on sale of
share, Long term capital gain where indexation benefit can be claimed for winnings from
lotteries.
o Incorrectly computing special rates of tax.
o Mistakes in entering data or leaving blank, important field relevant for any computation of tax
such as date of birth (relevant for senior citizens) or gender (relevant for female taxpayers),
resident or non-resident, status (relevant in case of HUF).
o In case of any shortfall of tax payment either due to non-payment or due to non-matching of
the tax payment or Tax Deducted of Salary interest may be charged.
o Typically, interest till the date of processing under 234A is charged if the return is filed beyond
any due date, interest under section 234B is charged for any shortfall in payment of advance
tax and interest under 234C is charged for deferment of advance tax.
o Interest under 234C is also charged in case advance tax on account of Short Term Capital
Gain under section 111A, Long term capital gain or Winning from lotteries is not paid, from the
next quarter from quarter in which the income is earned.
o Details of quarter wise breakup of STCG, LTCG and Winnings from Lottery as mentioned in
Schedule SI after adjustment of Losses and adjustment of basic exemption threshold, if
applicable, are used for calculation of advance tax liability and interest under 234C.

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Income under chapter via

  • 1. Income under Chapter VIA - Common mistakes in filling of Income Tax Return (ITR) form - AY 2014-15 o Most mistakes have occurred due to incomplete details or leaving blank the value of deductions under schedules. In most of the cases only total deduction is mentioned. o The deduction amount claimed should be entered in Items 5a to 5m in ITR 1 and in Items a to o in Schedule VIA in ITR 2. o Eligible donation for the purpose of deduction under 80 G for donations to charitable institutions (other than certain specified institutions or funds such as Prime Minister's Relief Fund or Rajiv Gandhi Foundation) is restricted to 10 % of total income after excluding income chargeable to special rates of tax. o Likewise, all deductions have specific criteria and limits for claim. In present utility a user enter field for claiming deduction has been mentioned & correspondingly System Value for deduction claimed is also mentioned for the benefit of the assessee. o The sum of all deductions also cannot exceed the total income. o Deduction cannot be claimed against income chargeable to special rate tax. o Reasons for difference in calculation of Tax or Interest under section 234A, 234B and 234C and Interest on Refunds. o Mistakes in computation of Income as mentioned above leading to an increase in Income. o Mistake in entering data or Income chargeable to tax at special rates such as STCG on sale of share, Long term capital gain where indexation benefit can be claimed for winnings from lotteries. o Incorrectly computing special rates of tax. o Mistakes in entering data or leaving blank, important field relevant for any computation of tax such as date of birth (relevant for senior citizens) or gender (relevant for female taxpayers), resident or non-resident, status (relevant in case of HUF). o In case of any shortfall of tax payment either due to non-payment or due to non-matching of the tax payment or Tax Deducted of Salary interest may be charged. o Typically, interest till the date of processing under 234A is charged if the return is filed beyond any due date, interest under section 234B is charged for any shortfall in payment of advance tax and interest under 234C is charged for deferment of advance tax. o Interest under 234C is also charged in case advance tax on account of Short Term Capital Gain under section 111A, Long term capital gain or Winning from lotteries is not paid, from the next quarter from quarter in which the income is earned. o Details of quarter wise breakup of STCG, LTCG and Winnings from Lottery as mentioned in Schedule SI after adjustment of Losses and adjustment of basic exemption threshold, if applicable, are used for calculation of advance tax liability and interest under 234C.