(E-Book) Class X Mathematics: Chapter - 7 (Income Tax)

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Chapter 7

Income Tax


PERSONAL INCOME TAX

Tax imposed by the Government on the income of an indivisual person is known as personal Income tax.

Every indivisual, whose annual income exceeds a certain limit, has to pay tax to the Government known as income tax.

SOME TERMS RELATED TO INCOME TAX
Assessess
: - Every individual who pays income tax is called assessee.

Financial Year:- 31st Every year from 1st April to 31st March is called financial year.

Assessment Year: – The year next to financial year is called assessment year. For example assessment year is 2006-2007 for the financial year 2005-2006.

Income Tax Return: - Every assess files a statement of previous years income to the income tax department which is called income tax return. It is must.

Income from Salary: - Income from salary includes. Basic Pay; Dearness Allowance (DA), City compensatory allowance (CCA), Interin Relief (IR); Honorium; Bonus; Overtime Allowance, Children’s Education Allowance; Refund of Tuition Fees; Pension, Family Pension; Leave Encashment during service period other than at the time of retirement...[..]