PROJECT REPORT
ON
INCOME TAX RETURN (E-FILING) WITH RESPECT TO INDIVIDUALASSESSEE
SUBMITTED FOR THE PARTIAL FULFILLMENT OF REQUIREMENTFOR THE AWARD OF
POST GRADUATE DIPLOMA IN MANAGEMENT
2012-2013
UNDER THE GUIDANCE OF: SUBMITTED BY:
Mr.SANDEEP AGARWAL SUBROTO DAS
Associate Professor-Marketing ROLL-1113101054
PGDM-2012-2013
MANGALMAY INSTITUTE OF MANAGEMENT STUDIES
GREATER NOIDA 201 310
ACKNOWLEDGEMENT
Completing the project work is never one-man effort. It is often the result of valuable contributions of a number of individuals in a direct or indirect manner that helps in shaping and achieving stated objectives.
This project report bears the imprint of those who had rendered their wholehearted support and encouragement without whose help this effort of us would be in vain.
I would like to express my sincere thanks to Prof. Sandeep Agarwal, my guide at the college whose guidance was instrumental in helping me to complete my project.
Thank you all for your time and guidance in helping me achieve my goal of completing this project to the best of my ability.
DECLARATION
I, Subroto Das, hereby declare that the Project Report on “INCOME TAX RETURN (e- ITR filing) WITH RESPECT TO INDIVIDUAL ASSESSEE” is written by me.
The empirical conclusion & findings in the project are based on the data collected by me and the entire project work is not a reproduction of any other sources.
Name: SUBROTO DAS Signature:
Date:
PREFACE
I, student of MANGALMAY INSTITUTE OF MANAGEMENT STUDIES pursuing a PGDM course and submitting the final project report for the partial fulfillment of the requirement of the award of PGDM. I have put my sincere efforts to accomplish my objectives within the stipulated time.
Despite all the limitations, obstacles, hurdles and hindrances, I have toiled and worked to my optimum potential to achieve the desire goal. Being neophytes in the highly competitive world of business, I came across some difficulties to make my objectives a reality. Anyhow, with the kind help and genuine interest of one and all and formally supported by the guidance of my guide, I am presenting this hand carved effort in colored.
I tried my level best to conduct a research to gain a thorough knowledge about the project in my topic “INCOME TAX RETURN (e-ITR) filing. I have put the best of my efforts and have also tried to do justice with the available. If anywhere something is found unacceptable or unnecessary to the theme, you are welcome with your valuable suggestions.
Thanks & Regards
SUBROTO DAS
TABLE OF CONTENTS
INTRODUCTION
Taxation
Taxation refers to the act of a taxing authority actually levying tax. Taxation as a term applies to all types of taxes, from income to gift to estate taxes. It is usually referred to as an act; any revenue collected is usually called "taxes."
Taxation can also refer to taxes as an abstract concept, an actual dollar amount of tax that has been levied or the material funds that have been received as taxes. Although all of these definitions are technically correct, the one listed above is the most common. Taxation is one of the primary powers of government over the people.
Income Tax Planning in India with respect to individual assesse
Income Tax Act, 1961 governs the taxation of income generated within India and of income generated by Indians overseas. Income Tax Act, 1961 is the guiding baseline for all the content in this report and the tax saving tips provided herein are a result of analysis of options available in current market. Every individual should know that tax planning in order to avail all the incentives provided by the Government of India under different statures is legal.
This project covers the basics of the Income Tax Act, 1961 as amended by the Finance Act, 2012 and broadly presents the nuances of prudent tax planning and tax saving options provided under these laws. Any other hideous means to avoid or evade tax is a cognizable offence under the Indian constitution and all the citizens should refrain from such acts.
What is E-Filing?
•The process of electronically filing Income tax returns through the internet is known as e-filing.
•It is mandatory for companies and Firms requiring statutory audit u/s 44AB to submit the Income tax returns electronically for AY 2007-08 onwards.
•E-filing is possible with or without digital signature.
Income Tax Return
Obligation of filling Tax Return
It is a legal obligation for every individual to file a return of income, whose taxable income during the year has exceeded the exemption limit.
Documents Required:
Form No.16 (received from the employer). Form No.16 A (received from all the payers who have deducted tax). Summary of all bank accounts operated during the year. Details of property owned during the year. Sale & purchase bill/documents/contract note in respect of investments/assets
sold during the year. Details of tax payments made during the year. This is required only if you have
made advance tax payment during the year.
ITR FORMS
Meant For Individuals who have income e from salary, interest income (taxable/exempt), family pension and income from agricultural activities.
Introduction to Income Tax and Income from Salary
Previous Year: Income Year ( 2011-2012)
Assessment Year: Tax Year ( 2012-2013)
ASSESSMENT YEAR: it is defined as a year in which the income of the previous year is to be assessed and this is known as the tax year also.
PREVIOUS YEAR: It means income year which immediately proceeds the assessment year.
Income Tax Act of 1961
The major tax enactment in India is the Income Tax Act of 1961 passed by the Parliament, which imposes a tax on income of individuals and corporations. This Act imposes a tax on income under the following five heads
ITR
ITR 1
ITR 2
ITR 3
ITR 4
Individuals who are partner in a partnership firm and does not carry out any other separate business/profession.
Individuals not having any income on account of carrying out business/profession or on account of being a partner in a partnership firm.
Individuals who is carrying out business/profession under a proprietary concern.
Income from Salaries, Income from House and property, Income from Business and Profession, Income in the form of Capital gains, and Income from Other Sources
However, this Act is about to be repealed and be replaced with a new Act which consolidates the law relating to Income Tax and Wealth Tax, the new proposed legislation is called the
Direct Taxes Code (to become the Direct Taxes Code, Act 2010). Act was referred to Parliamentary standing committee which has submitted its recommendations. Act is expected to be implemented with changes from the Financial Year 2013-14.
Income Tax Return:
After making all possible investments to save tax, it’s time for Income Tax Return filling, which all about giving details of the income you have earned in that financial year.
Income tax return is a term which is often used when we talk about income tax. It is a way by which we pay this tax. When total annual income of a person, including all sources, is more than maximum exemption limit ( at present it is Rs 180000/- and 190000 for female ) then that person is liable for income tax return.
According to Income Tax Act 1961, every person, who is an assesses and whose total income exceeds the maximum exemption limit, shall be chargeable to the income tax at the rate or rates prescribed in the finance act.
The Benefits of Filling Income Tax return :
Standard Income Proof: ITR is Considered Customary income proof not only in India but also globally. if you are looking for higher education or employment abroad, ITR is largely accepted income proof.
Speed your loan application process: Apart from a good Credit history, the fact that you are filling your ITR regularly gives you speedier access to credit.
Power of PAN: Permanent Account Number or PAN issued by the IT authority is not only a pre requisite for filling ITR but is also now mandatory for all financial transactions- from opening a bank account, or purchasing mutual fund to real estate for investment.
Claim your Tax Refund: Filling ITR is not always about paying Tax, It can be used as a means to reduce your tax liability. e.g Salaried employees for whom TDS has been cut during the financial year can claim refund if the tax outgo has been more than the actual tax payable.
PERSONAL TAX RATES:
The new and revised income tax slabs and rates applicable for the financial year (FY) 2011-12 and Assessment year (AY) 2012-13 are mentioned below:
New Income tax slab for FY 2011-12
New Income Tax Slabs for FY 11-12 for Resident Senior Citizens above 60 years.
S. No. Income Range Tax Percentage (%)
1 Up to Rs 2,50,000 No tax / exempt
2 2,50,001 to 5,00,000 10%
3 5,00,001 to 10,00,000 20%
4 Above 10,00,000 30%
New Income Tax Slabs for AY1 2-13 for Resident Senior Citizens above 80 years (FY 2011-12)
S. No. Income Range Tax percentage
1 Up to Rs 5,00,000 No tax / exempt
2 5,00,001 to 10,00,000 20%
3 Above 10,00,000 30%
Income Tax Slabs for AY 12-13 for Resident Women (below 60 years) (FY 2011-12)
1 Up to Rs 2,00,000 No tax / exempt
2 2,00,001 to 5,00,000 10%
3 5,00,001 to 10,00,000 20%
4 Above 10,00,000 30%
New Income Tax Slabs for ay 12-13 Others & Men (FY 2011-12)
1 Up to Rs2,00,000 No tax / exempt
2 2,00,000 to 5,00,000 10%
3 5,00,001 to 10,00,000 20%
4 Above 10,00,000 30%
Surcharge: The surcharge on Income Tax for Individuals for total income exceeding Rs.10 lacs stands removed.
Education Cess: 2% of the Income-tax.
Note:
Education Cess is applicable @ 2 per cent on income tax, inclusive of surcharge if there is any.
A marginal relief under section 89(1) provides that if an individual receives any portion of his salary in arrears or in advance, or receives profit in lieu of salary, he can claim relief in respect of such salary received.
Agricultural income is exempt from income tax.
Mode of Collection of tax:
Taxes are collected by three means:
1. Voluntary payment by persons into various designated Banks. For example Advance tax and Self Assessment Tax
2. Taxes deducted at sources (TDS) on your behalf from the payments receivable by you.
3. Taxes collected at sources (TCS) on your behalf at the time of spending.
It is the constitutional obligation of every person earning income to compute his income and pay Tax correctly.
ADVANCE TAX
Advance tax is paying a part of your yearly taxes in advance. Advance tax should be paid in the year in which the income is received. Advance tax is applicable when an individual has sources of income other than his/her salary.
For instance, if one is earning through
Capital gain
Interest on individual
Lottery
House property
Business
The advance tax is required to be paid in three installments.
Schedule of Advance Tax
A On or before 15th September Not less than 30% of advance tax
B On or before 15th December Not less than 60% of advance tax as reduced by amount paid earlier.
C On or before 15th march Full advance tax as reduced by the amount or amount if any, paid in earlier installments.
If the assesses does not pays the advance tax as described above, an interest of 1% is charged per month for 3 months for the deferment of advance tax instalments. If the total amount of advance tax is not paid on or before 15 March, an interest of 1% is charged per month.
TDS (TAX DEDUCTION AT SOURCE):
TDS is one of the modes of collection of taxes, by which a certain percentage of amounts are deducted by a person at the time of making/crediting certain specific nature of payments to the other person and deducted amount is remitted to the govt. account. it is similar to “pay as you earn” scheme. It includes salary, interest, commission and contract fees, rent, professional fees, etc. This type of deduction is popularly known as TDS. Such tax is subject to certain limits and certain conditions
TAXABLE HEAD OF INCOME TAX
The total income of a person is divided into five heads, viz., taxable.
1. Income from salary.
2. Income from house property.
3. Income from business or profession.
4. Income from capital gains.
5. Income from other sources.
1) Income from Salary:- Whatever is received by an employee from an employer in cash, Kind or as a facility (perquisite) is considered as salary.
All income received as salary under employer-employee relationship is taxed under this head. Employers must withhold tax compulsorily, if income exceeds maximum exemption limit, as Tax Deducted at Source (TDS), and provide their employees with a FORM 16 which shows the tax deductions and net paid income. In addition, the form 16 will contain any other deductions provided from salary such as:
1. Medical reimbursement: up to Rs. 15,000 per year is tax free it supported by bills. (company pay fringe benefit /facility tax on this amount)
2. Conveyance allowance: up to Rs.800 per month (Rs. 9,600 per year) Is tax free if provided as conveyance allowance. No bills are required for this amount.
3. House rent allowance the least of the following is available as deduction.
a. Actual HRA received
b. 50% or 40% (metro/ non-metro) of ‘Basic salary’
c. Rent paid minus 10% of ‘ Basic salary’. Basic salary for this purpose is basic pay + DA forming part + commission on sale on fixed rate.
2) House property Income : - Unlike the other heads of income, income from house property is a notional income based on a concept called annual value. This is the value a property is expected to fetch if it is let out. it may be more than actual
rent being received if let out. If it is not let out the expected market or fare rent will be considered as annual value for the purpose of taxation. Property includes the building and the land surrounding it.
3) Income from capital gain :- Surplus from capital assets from transfer of it.Eg archaeological collection, drawings, paintings, sculptures, any other work of art. Thus, now any surplus received from sale of these articles would be liable to tax under the head capital gain.
but does not include some items like any stock-in-trade for businesses and personal effects. Transfer has been defined under section 2(47) to include sale, exchange, relinquishment of asset, extinguishment of rights in an asset, etc. certain transactions are not regarded as ‘Transfer’ under section 47.
For the tax purpose,
There are two types of capital assets:
Long term Capital Assets: Long term asset are held by a person for three years except in case of shares or mutual funds which becomes long term just after one year of holding. Sale of such long term as sets gives rise to long term capital gains.
Short term Capital Asset: Any Capital gain arising out of asset transferred or sold before 12 months or 36 months depending on the asset, qualifies for STC.
4) Income from Business or Profession :- Any type of income received from business.
5.) Income from other Sources :-
Dividend, commission, lotteries, crossword puzzles, races including horse races, bull races, card games, any sort or from gambling or betting, or from any Key man insurance policy.
TAX BENEFITS – DEDUCTIONS, REBATES & DONATIONS
Deduction With under Section 80C:
Maximum Exemption Limit - R.s 100000/- in the following Investments:
1. Life Insurance Premiums.2. Contributions to Employees Provident Fund3. Public Provident Fund4. NSC (National Savings Certificates)
5. Unit Linked Insurance Plan (ULIP)
6. Repayment of Housing Loan (Principal)
7. Equity Linked Savings Scheme (ELSS) of Mutual Funds
8. Tuition Fees including admission fees or college fees paid for full-time education of any two children of the tax payer.
9. Infrastructure Bonds issued by Institutions/ Banks such as IDBI, ICICI, REC
10. 5-Year fixed deposits with banks and Post Office Savings Schemes.
11. Senior Citizens Savings Scheme (SCSS).
12. Voluntary provident fund.
13. Stamp Duty and Registration Charges for a home.
BEYOND SECTION 80C:
80GG Rent paid in respect of property occupied for residential use
Maximum deduction allowed is least of the following:
1) Rs.2000 per month; 2.) 25% of total income
3.)excess of rent paid over 10% of total income
80GGC Contribution made to any political parties or electoral trust.
Amount donated to Political parties is full exempt
80U Person suffering from Specific physical disability Maximum Deduction allowed up to R.s 100000/-
80CCF Investment in long term infrastructure Bonds Maximum deduction allowed 20000
Section 10A HRA Allowance 1.) Actual HRA received
2.) Rent paid-10%of basic salary.
3.) 50%or 40% basic salary
.(depend on metropolitan city).
Whichever is less.
Section 24 Interest on house loan Maximum deduction 150000
(self occupied).
TYPES OF INCOME TAX RETURN FILING:
1.) E-Filing (Electronic file).
2. Manually or Physical Filing.
E-filing of Income Tax returns: The process of electronically filing income tax returns
through the internet is known as e-filing.
It is mandatory for companies and firms requiring statutory audit u/s 44AB to
submit the income tax returns electronically from AY 2009-10.
Any company/firm requiring statutory audit u/s 44AB return submitted without a
e-filing receipt will not be accepted.
E-filing is possible with or without digital signature.
TYPES OF E-FILING:
There are three ways to file returns electronically.
Option 1 : Use digital signature, in this case no further action required.
Option 2: File without digital signature, in which case ITR-V form is to be filled with
the department. This is a single page receipt cum verification Form.
Option 3: File through an E-return intermediary Who would do e-filing and also assist
the assesses file the ITR-V form.
Documents required in e-filing:
Form no. 16 (for tax deducted by employers)
Account statements of bank accounts
Property details.
Sale and purchase of investments/ assets
Details of tax payments made
PAN card number.
Birth date.
TAN number
Bank account no.
Bank details – MICR code, type of a/c.
Email id.
Address details.
Important Date for filing ITR:
31st march For Tax Deposit.
31st July for Filing Income Tax return.
PROCESS OF E-FILING:
Steps Process For Filing Income tax return:
Whether you go for E-filing Process or Manually filing income tax return. This link assists
you in completing and submitting Your ITR.
1) Go to the website http://www.incometaxindia.gov.in/
2) Click the link e- file income tax return at the top left corner of the home page
3) Select the correct form – there are two income tax forms for salaried individuals.
ITR-1 is for those who derive their income from salary, pension or interest while
ITR-2 is for income from capital gains, house property and other sources.
Those who wish to submit their tax returns manually may download the PDF forms –
external website that opens in a new window form here. These forms need to be
printed, filled by hand and signed before submitting to your local income tax office.
4) Use of return Preparation Software – Those citizens who wish to avail the e-filing
system need to download the return preparation software-external website that
opens in a new window for each ITR form. This software is an excel file that
requires one to type in personal details as well as financial information from TDS
certificates, bank statements, deductions made and interest statements.
5.) Generating an XML file – After filling the details, check once for accuracy. After
you are satisfied, click the ‘generate’ button to create your tax return in XML
format. Save this XML file on your computer.
6.) Register – The next step requires you to register at the income tax website –
external website that opens in a new window. You registered Permanent Account
Number (PAN card) has to be entered as your username.
7.) Login – after registering, enter your user id and password to login. Click on the
relevant form on the left panel and select ‘submit return’.
8.) Upload XML – browse to select the XML file, which you had generated and saved
in step 3. Click on the ‘upload’ button to upload the file.
9.) Acknowledgement – after the file is successfully uploaded, acknowledgement
details or the ITR-V form will be displayed. Take a printout of this
acknowledgement for your records.
Digital signature – if your income tax return was digitally signed, then no further
paperwork or Visit to the income tax office is needed but if it was not digitally signed, in
this case the ITR-V form should be filled and send to Income Tax office, Bangalore.
You need to Print and fill up the verification part of the acknowledgement cum
Verification form (ITR-V). This has to be signed and submitted to the local income tax
office within 60 days to complete the e-filing process.
Additional assistance – In case you require any more help in filing the paper copy of the
return, please contact the public relations officer at your local income tax office. One
may also phone the Aayakar Sampark Kendra (ASK) call centre at 124-2438000 or email
WHO CAN USE WHICH ITR FORM:
ITR-1: For Individual having income from Salary/pension/Family Pension and interest.
ITR 2: To be used by individuals and HUFs having income from any source except
business or profession. It is more comprehensive and seeks more detailed information
by way of different schedules for salary, income from house property, capital gains and
income from other sources. As regards the schedule for income from house property, it
allows the taxpayer to fill in the details of up to two house properties. If there are more
than two house properties, the details of remaining properties are to be attached on a
separate sheet with the form.
ITR-3: For individuals/HUFs being partners in firms and not carrying out business or
profession under any proprietorship.
ITR-4: For individuals &HUFs having income from a proprietary business or profession.
ITR-5: For Firms, AOPs and BOIs
ITR-6: For companies other than companies claiming exemption under section 11.
ITR-7: For person including companies required to furnish return under section 139(4A)
or 139(4B) or 139(4C) or 139(4D).
ITR-8: Return for fringe Benefits.
ADVANTAGE OF E-FILING.
E-filing is easy, fast, and the most reliable and secure method.
Fast Processing: The acknowledgment of ITR submission is fast and the refunds
are processed faster by the ITD for E-Filed ITRs.
More Accurate: E-Filing software with built-in validations and electronic
connectivity to ITD are seamless and help minimize errors. Paper based filing
with self calculations can be prone to error. Also, when any paper based form is
transferred to electronic system, there is always a possibility of human error in
data entry.
No Time , place constraint: You can file anytime, anywhere. E-Filing is available
24 hours a day, seven days a week, so taxpayers may always file at their own
convenience.
More Secure than Paper based filing: E-filing is safer than paper based filing.
With paper based filing your confidential identity information is lying in files and
can be passed from person to person in the CA’s office or in ITD’s office.
You can easily access and use your data for future returns: Most of the paid E-
filing software applications store your data in a secure manner and allow you to
access it whenever you are ready to file subsequent returns.
It is good for the environment: E-Filing is environment friendly. You just need to
print no or at most one page instead of multiple copies of multiple pages that is
required in case of paper based filing.
DISADVANTAGE OF E-FILING:
E-filing doesn’t have many disadvantages but some time technological problems occur at the time of filing ITR online.
Lack of control is another issue that certain individuals have with e-filing. Using an electronic technology that you may not thoroughly understand can be daunting and the idea of a paper-based tax return over which you have more control is more comfortable.
Other than small provider fee, however, there aren’t many reason the average taxpayer wouldn’t want to consider giving e-filing a try.
PHYSICAL FILING/MANUAL FILING
Physical Filling Method leaving behind, because of the new trend of e-filling. Physical filling method is very easy but time consuming method of filling the ITR. Facility of physical filling of ITR is also available in SPA capital. In the physical filling advantages are less but disadvantages are more. Physical filing is also called as a Manual filing. For Manual/physical filing, the individual takes a print out of the respective ITR form, from the income tax site, along with the acknowledgment form, and after duly filling it, files it with the respective income tax office. Forms are available free of cost.
PROCESS OF PHYSICAL FILE:
Prepare the ITR through manually/through software.
Take the print out (hardcopy) of the ITR if prepare through software.
Take the signature of the respective clients on that ITR.
Go to Nearest Income tax office.
Submit the duly signed return.
Take acknowledgement slip.
PHYSICAL FILING’S ADVANTAGE:
It is reliable on primary data provided by the user.
In Physical filing numbers of defects are less.
Physical filing are filled in only original form, form can’t be download by internet.
PHYSICAL FILING’S DISADVANTAGE:
Physical filing is lengthy process.
Physical filing takes more time.
Refund from physical filing come after 3 month.
Physical filings are not filled by some companies when the annual salary of user is not more than 5 Lac.
How SPA Capital Services Limited Files ITRs Of its Prospective Clients:
SPA capital services ltd. Files approximately more than 18000 ITRs of its Prospective Clients all over India.
The Work Process in Delhi-NCR is as follows:
The Employees who are engage in this process are Divided at three locations
Janakpuri (Head Office)
Noida
Gurgaon
And the respective works are assign by these Way:
Noida and Gurgaon’s employees With the help of Trainee Students
Distributes Questionnaires form to their Clients (Different companies), now these trainee students Collect completely duly filled questionnaires forms and Form 16 of every Client and if any query arise from the client side, with the help of their mentor they solve it.
If the Income of employees are less than 5 lakh, they filled ITRs Physically/Manually.
Income more than 5 lakh, they send it to Janakpuri location for e-filing.
Roll of janakpuri’s employees:
1. Janakuri’s employees file ITRs electronically.
2. With the help of Computax software, generates XML file of respective ITRs.
3. Upload these xml files online on income tax department websites.
4 .After successful upload, a Token number along with Acknowledgement generate.
5. These Token number and Acknowledge are keeps for future benefits.
Note: People from outside Delhi send theirs form 16 and filled questionnaires via e- mail with the help of using Company link to get filled theirs ITRs and Janakpuri’s employees do it.
1. Nature of the company
Spa is dealing with finance sector .spa is one of leading companies in India
SPA is being managed by its promoters along with a young and dynamic team of over
1000+ professionals with rich experience, in their respective fields. The Group has
established itself as one of India’s leading financial advisory house, offering various
financial solutions to its Institutional, corporate and individual clients.
2. INTRODUCTION
SPA Group was promoted by a team of finance professionals in 1995 with an objective
to provide value added financial services. Initially, the Group focused as a niche financial
solutions provider in corporate finance and wealth management to Indian companies
and high net worth individuals. In January 2000, the Group expanded its operations and
the range of services. Today, SPA provides services for securities broking, merchant
banking, wealth management, financial advisory, corporate finance, risk management
and insurance broking.
SPA is being managed by its promoters along with a young and dynamic team of over
1000+ professionals with rich experience, in their respective fields. The Group has
established itself as one of India’s leading financial advisory house, offering various
financial solutions to its Institutional, corporate and individual clients.
Customer centric approach of SPA’s dedicated professional team has helped carve a
niche for itself in financial services arena and won confidence of its clients. Clients of
SPA are from a wide spectrum and comprise of Banks and other financial institutions,
Mutual funds, Insurance companies, foreign institutional investors, public sector
undertakings and government departments, private corporate, trusts and individuals.
Company is operating in finance sector. There are following areas under the company
or in which the company deals/work.
1. SPA Capital Services Limited
2. SPA Merchant Bankers Limited
3. SPA Securities Limited
4. SPA Insurance Broking Services Limited
5. Financial management system
3. COMPANY’s VISION AND MISSION
VISION
Vision, a compelling view of a future yet to be, creates meaning and purpose which
catapults both individuals and organizations to high levels of achievement. We create
meaning in our lives by pursuing our future visions, and we refine our visions based on
the meaning we are discovering through our experience.
To provide best value for money to investors through innovative
products.
Trading investment strategies.
State of art technology and personalized
Clear understanding of applicable law
MISSION
A mission statement is a statement of the purpose of a company and organization. The
mission statement should guide the actions of the organization, spell out its overall goal,
provide a path, and guide decision-making. It provides "the framework or context within
which the company's strategies are formulated.
To create long term value by empowering individual investors through
superior financial services supported by culture based on highest level
of teamwork, efficiency and integrity
4. Organizational structure
Members with whom I interact with their level in company
Mr. Anish is our leader in his leadership I had completed my summer training. He is a
financial advisor and a good leader he guides us very well throughout our training
period.
I interact with other employees of the company as follows;-
Mr.Rohit (Vice President Janak Puri Branch)
Mr.Anish (Senior manager NOIDA Branch)
Miss Yogita Manhas ( Branch Co-odinator Janak Puri Branch )
Trainee
1. MR ROHIT –VICE PRESIDENT
2. MR ANISH -SR.MANAGER
3. MS.YOGITA – BRANCH CO-ORDINATOR
4. MS.DIVYA - EMPLOYEE
5. MS.JASLEEN KAUR – HR MANAGER
PROBLEM OF THE STUDY
The research suffers from the following problem:
1. The findings of the sample may not be the accurate representation of the
population.
2. It is a time consuming method it required lot of time to collect data about spa
from corporate clients.
3. The study may suffer with the Nom-response error i.e. the responses were
not given by some sampling units.
4. The primary data used in the study may also suffer from some defects like
human biasness, inconsistency or ambiguity in the answers, wrong
interpretation of the questions by respondents, measurement error, and data
analysis error
5. As the secondary sources are used. These may be biased.
RESEARCH OBJECTIVE
Based on the project title, research objectives can be formulated as
1. To understand the methods of calculating income tax of an individual assessee.
2. To understand the entire process of e-ITR filing.
SCOPE OF THE RESEARCH WORK
Based on the above mentioned research objectives, scope of the research work can
be formulated as
1. To understand the available tools for calculating income tax.
2. To give suggestions for various scheme available for tax rebate.
3. To understand the methods of calculating income tax of an individual assesses.
4. To understand the entire process of e-ITR filing.
RESEARCH METHODOLOGY
Detailed research methodology to be adopted for this research project work is as
follows.
1. Type of Research : Descriptive Research
2. Mode of Data Collection: The data has been collected from two sources as-
Primary Data Collection: Questionnaire method
Secondary Data collection: Through various text books will be used as reference.
Internet.
3. Research Approach: Personal survey
4. Research Tools and Techniques: The tool adopted is-
Questionnaire-
Types of Questionnaire : Structured Questionnaire
5. Type of Questions: questionnaire will have open ended and close ended
questions.
6. Designing of Questionnaire: A structured questionnaire will be prepared to
collect the information’s on various parameters from the respondents. once the
questionnaire is prepared, it will be discussed with the academic mentor.
SAMPLING PLAN:
Following sampling plan will be used during the research work:
Type of sampling: Convenient sampling is used.
Sampling Unit: Corporate employees
Sample Size: 50 clients.
Sample Area: Delhi and NCR
Sampling Procedure: Primary data will be collected by personal meeting with the
respondents. Questions will be asked and discussed on the basis of questionnaire.
DATA ANALYSIS AND INTERPRETATION
Graphical Representation of ITRS filing in SPA Capital Services Limited.
% of Physical filing and E-filing
E-filing (80%)Physical filing (20%)
Graphical representation of Percentage of different ITRS filing at SPA Capital Services Limited.
Percenatge of different ITRs fil-ing
ITR 1 (85%)ITR 2 (10%)ITR 4 (5%)
Common mistakes people make while filing tax returns
The most common notion among salaried employees is that since tax has already been deducted from their salary, there is no need to file their income tax returns. This is not at all true or legal. Even though tax has been deducted and there is no further liability to pay tax, an employee has to compulsorily file his / her income tax return. Form No. 16 received from employer is not their income tax return.
Employees do not include the interest that they receive on their savings bank account. The entire interest earned on your savings bank account is taxable.
Omission of income received by a minor child. A minor child is not required to file a separate return of income. However, this income has to be included in the hands of either of the parents, although it might be a small amount of bank interest.
1. What will u prefer at the time of ITR filling?
e-filling39%
physical fill-ing25%
any16%
depends on time20%
Sales
Interpretation
In this survey has taken from some group if people and they answer about the question that how much they like to fill their ITR. Mostly people like to fill their ITR by online process. Then some 25% people like to fill physical filling .some of people don’t bother about the way they prefer any present way to fill the ITR.
2. Are u satisfied by the services of SPA capital?
42%
5%32%
21%
Sales
yes nonever think about this highly satisfied
Interpretation
In this some people who are using the SPA capital services or have used the spa capital services in past .mostly(21%) people are highly satisfied with the services
provided by the SPA capital.(32%) people never think about the satisfaction about services they are using .but some people are not satisfied with their services.42% are satisfied but not highly.
3.Have you ever file your ITR from SPA capital?
77%
11%11%
1%
Sales
no yes sometime mostly
Interpretation
SPA capital files ITR only for some time period of year. (77 %) of the people says that they are not using SPA capital services to file ITR. (11%) people say that they are using SPA capital services to file ITR.
Conclusion:
From the study it can be concluded that-
SPA Capital is a growing organization which has through its corporate clients,
grown at a considerable pace, which is quite appreciable.
One of the selling strategies adopted by SPA is assisting the corporate employees
in their ITR filing. This has, for sure proven to be a successful strategy in building
long-term relationship with their clients and thus grows in this competitive era.
As Income Tax Return filing is a mandatory procedure for every citizen of India
who is earning money from any source, most of the people approach to such
type of companies who file their ITR at a nominal rate and thus saving their time,
so this is a great opportunity for SPA and to boost its business level.
There are some deficiencies in the working of SPA yet this can be removed by
working on them and by proper handling of queries of clients.
SPA is an emerging organization which helps the people to fulfill their almost
every financial need at one stop.
It is serving to various corporate employees such as Wipro, TCS, Aricept
Technologies etc. and generating a good amount of business.
Suggestion
If u are working person then you should go for e-filing If you want to file your ITR by yourself then you should go for physical
filing SPA capital is taking care of all your personal information. SPA capital is very dedicated towards their clients SPA capital is a company that you can trust. SPA capital make sure that all entries of ITR filing send to Bombay
headquarter
Limitations:
Every study has its own advantages and disadvantages. No study is perfect as there is
always a room for improvement.
In this study though every effort has made to bring it into perfection and no stone is left
unturned, there are still certain limitations, which need to be highlighted without which
the study can become biased.
Such limitations are:
The data has been generated from the secondary source thus any error in the
information would have got replicated in the report.
Time constraint was another limitation. As no efficient research can be done in
this short period of time.
Also the information available was insufficient which has also been reflected in
the report. The resources were also not much available.
The biasness of the sample units may also cause the wrong results.
Some of the information about the research sample is collected through their
past record available with the company
The results drawn from the sample has been applied to the population which
may give incomplete response.
QUESTIONNAIRE
1. Who is liable to file the income tax return?
Ans ____________________________________________________________
2. What is the assessment year?
Ans_____________________________________________________________________________________________________________________________
3.What are the due dates of filing of income tax returns where primary source of income and salary?
Ans _______________________________________________________________
4.Which is the prescribed form for filing of income tax returns for assesses having income from salary?
Ans______________________________________________________________
5.What are various heads of income?
Ans _____________________________________________________________________________________________________________________________________________________________________________________________________
6.How to pay the tax under income tax act?
Ans_________________________________________________________________________________________________________________________________
7.What are the rates of income tax?
Ans ____________________________________________________________________________________________________________________________________
8.How is the penal interest is calculated?
Ans_________________________________________________________________________________________________________________________________
9.How is interest calculated for late or non furnishing of return?
Ans_________________________________________________________________________________________________________________________________
10.What are the important points to be remember while filing income tax return?
Ans_____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________
BIBLIOGRAPHY
Text Books:
Kharbanda R S (2012), “Tax Deduction and Collection at Source”, 14th edition Universities Press (India) Pvt. Ltd., Hyderabad (A.P.)
TAXMANN’S (2012), “INCOME TAX ACT- AS AMENDED BY FINANCE ACT”, 56th
edition, Delhi (India) Ahuja Girish and Gupta RAVI , “Taxation of Salaried Employed”, 13th edition Laxmi Publications Delhi (India)
Newspapers and Magazines:
The Times Of India The Economic Times
Websites:
www.spacapital.com www.moneycontrol.com
www.valueresearchonline.com www. incometax india.gov.in www.investopedia.com