Hi,
I am a salaried professional working in a private firm. My company is headquartered in US. I get a lump sum salary credited into my savings bank account every month. The salary is credited in Indian currency. My company does not provide any salary slip nor there is any sort of break-up in the salary.
Can you please let me know how can I file return and pay my taxes?
Regards, Sandip Gupta
As there are not components in salary (HRA, Conveyance, LTA etc), whole of the salary would be like basic salary and would be taxable.
You need to compute tax considering whole year income and pay advance taxes for same to avoid penalty.
While filing income tax return, you can claim deductions like u/s 80C, 80D etc to save some tax.
Another important point is, if your employer can treat you as a contractor, taxation would change. In that case, your income would be treated as income from business or profession and not from salary. In that case there are various expenses (like office rent, phone bills, internet bills, hardware purchase etc) that can be deducted from earning to compute net taxable profits.
Which ITR should I use to file my return if my employer is treating me as a contractor? How can I compute the taxes in that case? Any examples.
ITR-4 would be used in that case. Tax computation would become complex as you would need to maintain profit/loss accounts and balance sheet. A tax professional or CA's help may be required.
