New Form 12BB: What Should Salaried Individuals Know?

Income tax department has released new Form No 12BB for the information on LTA (Leave Travel Allowance), HRA (House Rent Allowance) and Interest paid on home loans.

The main purpose of this form is to estimate income or computing the tax deduction at source. This will come into force from the 1st day of June, 2016.

Before June 1, 2016 there was no format as such for the declaration which should be furnished by employees.

Here are details one must know regarding the form

1. HRA Exemptions
2. LTA exemptions
3. Deductions on home loan interest
4. Section 80C deductions on investments

Other details required:

• PAN Number of employee
• Date of submission
• Designation of employee
• Signature of Employee

The following particulars need to submitted in the said format

1) HRA Exemptions

Under House Rent Allowance (HRA) section one needs to provide information like name of the landlord, address and PAN card number.

The rent amount paid to a landlord should also to be mentioned. Permanent Account Number is mandatory incase where the previous year exceeds one lakh.

2) Leave travel concession

Individual need to furnish amount and provide evidence of expenditure made for leave travel assistance.

3) Deduction of interest under the head “Income from house property”

Individual should provide details such as interest amount paid to the lender. Also give information like Name, address and permanent account number of the lender.

4) Deduction under Chapter VI-A

In the last section one should provide information on investment and expenditure made under various heads.

Section 80 C you need to write investment type and amount. Section 80CCC and 80CCD you need to write amount.

Expense under section 80E, 80G and 80TTA Other details required PAN Number of employee Date of submission Designation of employee Signature of Employee.