All Employees, Pensioners and self employed persons including business and profession are obliged to file ITR if minimum earning exceeds the exemption limit i.e Rs 2,50,000/- and above. So, now a days all pensioners of Indian Armed Forces are comes under the rules of IT Act 1961. However, it is obvious to mention that, there are several benefits upon filing ITR every year for Senior Citizens. The Super Senior Citizens and Senior Citizens are also entitled to get additional tax exemption which have been circulated by Standing Army Pay Commission.
BENEFITS FOR SENIOR CITIZENS & SUPER SENIOR
CITIZENS UNDER INCOME TAX ACT, 1961
By
Standing Army Pay Commission Section
1. Income tax department provides exemption/benefits to Senior Citizens and Super Senior Citizens under Income-tax Act, t961. Citizens above 60 years of age are classified as Senior Citizens and above 80 years are classified as Super Senior Citizens. A summary of exemption/ benefits given. to Senior Citizens and Supei. Senior Citizens is given as under.-
The basic income exemption for general citizen is is Rs 2.5 Lakhs. The exemption is as under for Senior Citizens :-
| Category | Exemption Limit | Remarks |
| (1) Senior Citizens | Rs 3 lakh | This much amount is straightway deducted before computing tax liability on income |
| (2) Super Senior Citizens | Rs 5 lakhs |
(b) Senior/ Super Senior Citizens have been exempted from paying advance tax which is otherwise payable in case IT/yr is more than 10,000/-.
(c) Std deduction of Rs 50,000/- available on pension.
(d) Enhanced Med Insurance premium of Rs. 50,000/- for health insurance premium or medical expenses is permissible as against Rs. 25,000/- pa for such citizens.
(e) In case of a dependent with disability on Senior Citizens for med treatment under Sec 80DD depending on disability on exemption of Rs 75,000/- to Rs 1,00,000/- is permitted..
(f) Senior Citizens can claim an exemption. of Rs 1,00,000/- for Self/ Dependents in case of treatment of specified diseases which is otherwise Rs 40,000/- *these diseases incl cancer, AIDS,. Parkinson, Dementia etc.
(g) Higher deduction of income from Interest from Bank/ Post Office for Rs. 50,000/- pa is permissible as against. Rs 10,000 for other citizens (Sec 80TTA).
(h) Senior Citizens are allowed to file paper IT. returns as against e-fliing : which is-mandatory for other citizens.
(j) Senior Citizens can use. Form No 15H of IT return to claim No TDS (Tax Deduction at Source): from the Bank for income from RD, FD; Dividends and pension as well as other investments.
(k) Reverse mortgage of property will not be counted on capital gain and will also be exempted to be added in to Income.
(l) In case the only source of income of Senior Citizens *pension & Deposits interest etc the bank will be resp for deduction of IT and Senior ‘Citizens above 75 years age are exempted from filing IT return In such cases.
2. In view of the .above, the Info may pl be circulated to. the env for education/ awareness of veterans/ dependents.
3.. This has approval of the AG.
Col Standing Army Pay Commission Sec
To read the pdf copy of the circular of Standing Army Pay Commission, kindly click the button below –
