1)      Visit the Income Tax Dept / NSDL website. https://onlineservices.tin.nsdl.com/etaxnew/tdsnontds.jsp

2)      Click on the “CHALLAN NO./ITNS 280”

3)      On this page choose “(0021)INCOME-TAX (OTHER THAN COMPANIES)”

4)      Type your “Permanent Account No*”

5)      Choose “Assessment Year*” choose “2010 – 2011”

6)      Fill up all other details requested (highlighted in red in the below Image)

7)      For “Type Of Payment*” choose “(300)SELF ASSESSMENT TAX”

8)      Choose your “Bank Name*” where you have online banking, so that you can pay your taxes

9)      Click on Proceed, (located at the bottom of the page)

10)   Once you have paid your taxes, Income tax department will issue you a receipt. Using this receipt please fill up our “Advance Tax / Self Assessment Tax” page in RoboTax.in

11)   Then continue with your tax return preparation process and file you income tax return.

Self Assessment Tax

Now you can use RTI to know the status of your tax refund. In a landmark ruling, the Central Information Commissioner has passed an order which says information on refunds is covered under the Right To Information (RTI) Act. While directing the income tax department to disclose information for the inordinate delay, he also ordered the issue of refunds within three months. The CIC also rapped the department for failing to appear in a hearing arranged by the commission where the appellant was present.

Source : THE ECONOMIC TIMES

No income tax at source will be deducted if banks have only made a provision for interest on fixed deposits and not actually paid it to the depositor, the Finance Ministry has clarified.
Until now, tax was supposed to be deducted by banks even if only provisioning was made for interest payment. The matter was considered by the Central Board of Direct Taxes to plug this loophole.
According to a Finance Ministry official, CBDT clarified that since no credit is given to the depositors while calculating interest on fixed deposits on daily or monthly basis in the CBS software used by banks, tax need not be deducted at source on such provisioning of interest. “In such cases, tax shall be deducted at source on accrual of interest,” the board clarified, according to a source. Income tax is charged at the rate of 10 per cent on interest income of more than Rs 10,000 in a year.

Please refer to the income tax department notification for more details.

Income Tax department has notified tax payers about phishing emails being sent  randomly asking for your credit card details. Please note that the Income Tax department will never request your credit / debit card information for your refund purpose. The below is the press release issued by the department.

“Information has been received from several quarters that people are receiving electronic mails informing them of their income-tax refunds and seeking their credit card details. It is clarified that the Income Tax Department does not send e-mails regarding refunds and does not seek any information regarding credit cards of taxpayers. Taxpayers are, therefore, cautioned that they should not respond to such mails and if they do so it would be at their risk and responsibility”.

The Central Government have authorized the Indian Railway Finance Corporation (IRFC) to issue tax-free, secured, redeemable, non-convertible bonds of the total value of Rs.5,000 crore carrying an interest rate in the range of 6.50% to 7.25% per annum, through public issue or otherwise by 31st March 2010. The interest income on investment in these bonds will be exempt from income tax under item (h) of sub-clause (iv) of clause (15) of section 10 of the Income-tax Act, 1961 in the hand of the person in whose name such bonds are registered.

Nice to Know:

• The interest earned is tax free.
• Not included in 80C deductions. So you can consider this on top of your 80 C deductions.

Please note that the above article is presented as a news and not as an investment advice. Please read the offer / related document for more details. For more information on this press release please visit income tax department website.

*Updated for FY 2009 – 2010