Guys, I earn 1.1 lac per month. After 10% tax, it is 99,000.
My question is how much tax do I need to pay? Do I need to pay more tax over 10% TDS, like at the standard rates applicable to employees?
And when do I need to file Income tax returns? I am really confused. Does it mean that if was to be a legal counsel, my tax liability would have been less?
If you are a retainer (which you are with 10% TDS) then you file as a professional. For your income level don't both too much. You file under the 50% deemed income route (net receipts (1.1x12)/2) is your taxable income. From this reduce your investments and other deductions and you'll end up with a refund.
Heck even without deductions you'll end up with a refund as your annual income will be 6.6L and you would have paid a tax of 1.30 already.
For the first 5 years on the job, don't go to a CA. File your taxes yourself and learn how tax law works. Trust me. Its very easy to do it.
Just wanted to add that you don't need to go to a CA. Go to the new filing portal (https://eportal.incometax.gov.in/) register yourself and file for ITR-4 (don't file ITR-3 unless you have significant other sources of income - it's too complicated).
Under ITR-4, file as a 'professional'. In the income section, enter the amount calculated as
(1.1L x 12 months) whole divided by 2.
[Keep in mind it's gross salary i.e. 1.1L and not net salary which is 99,000 in your case]
Your TDS will automatically be reflected in the account as firm must have filed the TDS using your PAN.
So TDS - tax payable will be the refund you will get and that will be automatically generated.
My question is how much tax do I need to pay? Do I need to pay more tax over 10% TDS, like at the standard rates applicable to employees?
And when do I need to file Income tax returns? I am really confused. Does it mean that if was to be a legal counsel, my tax liability would have been less?
I am an A0. Please help me out.
Heck even without deductions you'll end up with a refund as your annual income will be 6.6L and you would have paid a tax of 1.30 already.
For the first 5 years on the job, don't go to a CA. File your taxes yourself and learn how tax law works. Trust me. Its very easy to do it.
Just wanted to add that you don't need to go to a CA. Go to the new filing portal (https://eportal.incometax.gov.in/)
register yourself and file for ITR-4 (don't file ITR-3 unless you have significant other sources of income - it's too complicated).
Under ITR-4, file as a 'professional'. In the income section, enter the amount calculated as
(1.1L x 12 months) whole divided by 2.
[Keep in mind it's gross salary i.e. 1.1L and not net salary which is 99,000 in your case]
Your TDS will automatically be reflected in the account as firm must have filed the TDS using your PAN.
So TDS - tax payable will be the refund you will get and that will be automatically generated.