|Form 16 and 26as matched while filing the return, why tax payable?|
You may have some tax due and may be wondering why I need to pay taxes even when TDS is deducted?
Why do I have tax due?
- Tax Payable is a very common occurrence when you change jobs or have interest income.
- This happens because a lower income slab would've been taken twice. Together, the income may put you in a higher tax slab.
- This could also happen because the 80C deduction is taken twice. It can only be claimed once in the year.
- Banks always deduct TDS on FD interest at 10%. If your income falls in a higher slab, you will need to pay TDS based on that slab. If you pay advance tax on interest income, you won't have to do it at the end of the year.
- Our interactive guide can help you understand this in detail: https://cleartax.in/guide/efile-if-you-changed-jobs
Can I avoid declaring Income?
- No. Tax Experts will not file a return with improper claims
- The Income Tax Department tracks your income & tax that is payable. They may send you a notice if you don't declare income. Non-declaration of income and tax avoidance is illegal.