Thursday, December 24, 2009

Income tax deduction u/s 88?

I Harindar Kumar Gupta want know about Deduction of Income tax under section 80 ccc to 80 u. I want know about other Deduction u/s 88 , Harindar Kumar Gupta Noida-201301
Sec.88 is a redundant section now

Income Tax Deduction as a Minor?
Hellos, Before reading: I'm 17 and I'm giving you a scenario of assumptions and accusations, reply accordingly if you will, it will be much obliged. Okay Assume I live in Arizona, and assume I apply for a job at Kohl's with no prior work experience (as it is not required.) Assume that they higher me and assume Arizona's Minimum Wage is $ 6.90 and assume that starting salary in this business is MW + $ 0.40, which is $7.30. Okay, and assume I work 32 hours a week, 32 * $ 7.30 = $ 233.60 Note: Remember I'm 17, I'm not sure if there's any bonus to being a minor in this area (tax returns, etc), if there is, do tell. My question to you: What would my income tax deduction be, and the finalized pay check would equal out to what? Now assume I'm employed for 15 weeks. Around what amount money would I rake in (I know it depends but, given that information, what can you conclude?)

Pub 15 (Circular E) will tell you more than you want to know. http://www.irs.gov/publications/p15/index.html But to answer-I am assuming that you are paid every other week. If not, just look it up in the table. 467.20 at single/0 is (31.90+5.73) income tax, 35.74 FICA (0.0765%) 467.20 - 74.37 = 392.83 take home pay. For two weeks. Filing, if your parents can claim you as an exemption, you have to file without claiming yourself, just a warning.

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