How To Fill Salary Details in ITR2, ITR1

July 27, 2013 by bemoneyaware 121 Comments

This article talks about how to fill the Salary details from one company
by individual in Income Tax Return, ITR1 and ITR2 when HRA is
claimed and when it is not claimed also with pictures.

Documents needed before filing Salary Details

 To fill the salary details in ITR one needs

 Form 16 issued by the employer
 Verify that TDS mentioned in Form 16 matches TDS information
in part A of Form 26AS.
 If you have not been able to claim the exemptions (HRA
allowance), deductions (as in 80C, 80D) , certificate showing
principal and interest breakup on loan on house property please
keep information handy as you can claim the deductions not
computed by employer while filing your Income Tax Return
Form 16

Form 16 is the document proof given by an employer to all its

employees with the complete details of income (salary) , the amount
deducted as income tax (TDS) for each month and the total tax
payment. Sample Form 16 is given below. Click on image to enlarge
.Our article Understanding Form 16: Part I,Understanding Form 16:
Chapter VI-A Deductions, Understanding Form 16 – Part 3 explains it
in detail.

Form 16 (Click to enlarge)

Form 16 contains following details.

 Details of Employer and Employee : It gives the PAN

(Permanent Account Number) and TAN (Tax deduction and
collection Account Number) numbers of your employer, who
deducts tax at source, the Assessment Year . If a company does
not have a TAN number, it cannot deduct taxes at source and
can’t issue a Form 16)
 Details of Salary Paid : It will provide information such as Gross
Salary, Perquisites, Various allowances and deductibles
(Professional tax etc)
 Details of other income : An employee can report other income,
such as Interest on home loan (which comes under head income
from house property), Income from other sources to his employer
to take them into consideration while deducting tax from his salary
 Deductions under Chapter VI-A : Govt. of India in its Income
Tax Act, 1961 has provided a provision of saving income tax by
investing in some investment products and also expenditures like
medical premiums, education loan etc. These are reported to
employer usually in the beginning of financial year and proof
submitted in Jan/Feb. Key categories are the 80(c), 80(d), 80(e)
 80C: It list all your tax-exempt investments such as
insurance, mutual funds, employee provident fund paid by
employer, provident funds.One can claim only upto Rs.
1,00,000 under this section.
 80D: Medical/health insurance premium is exempt up to Rs
35,000.
 15,000 in premium for yourself and your dependants.
 Additional exemption of Rs15,000 as health insurance
premium for parents. If they are senior citizens, this limit
is increased to Rs. 20,000
 80(e): This section deals with education loans and provides
exemptions on interest paid towards the same
 Tax calculation and Tax deducted : Calculation of tax on the
Total income and TDS deducted
Filling Salary Details in ITR2
In ITR2 one needs to fill Schedule (or section) S, Income from
Salary is shown below. Information entered here would be
automatically reflected in the TTI section of ITR2.

ITR2
Income from Salary
Instructions to fill the Salary details from Income Tax Department in
ITR2 is shown in picture below

Instructions in ITR2 to fill salary

Filling Schedule S in ITR2 when HRA has been claimed

Keep your Form 16 ready with you for filling in Salary Details.

Check if Professional Tax has been deducted from your Salary :

This is listed on your Form 16 as Tax on Employment. This runs to a
flat amount of Rs. 2,400 a year for most professionals. Most Indian
states have this tax, but please check if it applies in your state or not.
As there is no row in Schdule S of ITR2 one needs to subtract this
from the salary. How to subtract is explained later.

 Fill in row numbered 1 Salary (Excluding all exempt/non-exempt allowances,perquisites & profit in
lieu of salary ) in Schedule S a from (a) of Gross Salary in Form 16 – Professional Tax
 Fill in row numbered 2 Allowances exempt under section 10 :Total of all the allowance
exempt(ex: House Rent Allowance, Transport Allowance,) from Total of (2) Less : Allowance to the
extent exempt u/s 10
  Fill in row numbered 4 Value of Perquisites in Schedule S a
from (c) (b) Value of perquisites under section 17(2) 21600.00 (as
per Form No:12BA,wherever applicable) in Form 16.
 Fill in row numbered 5 Profits in Lieu of Salary in Schedule S a
from (c) Profits in lieu of salary under section 17(3) 0.00 (as per
Form No: 12BA,wherever applicable) 5(in color maroon) in Form
16.
Filling Schedule S in ITR2 when HRA has not been claimed
If your HRA has not been accounted and your are eligible then Calculate HRA using the formula
explained in HRA Exemption,Calculation,Tax and Income Tax Return , add it to the Allowances exempted
under section 10 mentioned in Form 16 . For example if you have taken LTA of Rs 5000, and HRA
calculated is 10,00 then Allowances exempt under section 10 would be 15,000.

Calculation of House Rent Allowance : Amount to be claimed as

HRA is House rent allowance least of the following :

 Actual HRA received

 50% / 40%(metro / non-metro) of basic salary
 Rent paid minus 10% of salary.
Example of HRA calculation :

If one has received following amount during the previous year.

Description Monthly Annual

Basic Salary 5000*12 60,000

Dearness Allowance (D.A) 1000*12 12,000

House Rent Allowance (H.R.A.) limit 2000*12 24,000

Actual Rent paid 2000*12 24,000

HRA exempted is minimum ofActual HRA received: 24000Rent Paid in excess of 10% of
16,800
salary:( 24000-7200) : 1680040% of Salary : 28,800
Filling in Schedule S of Income Tax Return ITR2

 Fill in row numbered 1 Salary (Excluding all exempt/non-exempt

allowances,perquisites & profit in lieu of salary ) in Schedule S a
from (a) of Gross Salary in Form 16 – Professional Tax – HRA
 Fill in row numbered 2 Allowances exempt under section
10 :Total of all the allowance exempt(ex: House Rent Allowance,
Transport Allowance,) from Total of (2) Less : Allowance to the
extent exempt u/s 10 . This consists of Allowances shown in Form
16 + HRA calculated
 Fill in row numbered 4 Value of Perquisites in Schedule S a
from (c) (b) Value of perquisites under section 17(2) 21600.00 (as
per Form No:12BA,wherever applicable) in Form 16.
 Fill in row numbered 5 Profits in Lieu of Salary in Schedule S a
from (c) Profits in lieu of salary under section 17(3) 0.00 (as per
Form No: 12BA,wherever applicable) 5(in color maroon) in Form
16.

Form 16
and ITR2 Income from Salary
Filling Salary Details in ITR1
ITR1 has only one field for filling Income From Salary. So note
the Income chargeable under the head Salaries in your Form 16
which is point 6 in Form 16,(it’s not the Gross Salary as in ITR2 which
is point 1 in Form 16)

 if HRA claimed then Fill information in point 6, Income chargeable under the head Salaries, as
shown in image below. Our article Fill Excel ITR1 Form : Income, TDS, Advance Tax explains it in
detail
 If HRA not claimed : Calculate the HRA using formula shown in
ITR2 and then subtract it from Income chargeable under the head
Salaries.

Filling
income from Form 16
 where I need to enter HRA &
conveyance allowances in ITR 1
while I am applying online?
ShareTweet

1.

Nizam New Member

Hi,

Please advise.

where I need to enter HRA & conveyance allowances and tax on employment in ITR 1
while I am filing through online?

because I couldn't see the options to enter " Allowances to the extent exempt u/s10 and
tax on employment".

Thanks & Regards,

Nizam.

nizam, Aug 4, 2015

#1
2.

Varun Sharma Member

In ITR 1 - you are only required to furnish the Net income from salary after deducting all
exemptions.

You are required to give this breakup only in case you are filing ITR 2

Varun Sharma, Aug 4, 2015

#2

3.

Nizam New Member

Thanks Varun for the info.

nizam, Aug 4, 2015

#3

4.

BhushanJ New Member

hi varun,

I also have the same case but of claimimg HRA refund. Soo do i need to fill ITR-2 to show
HRA as its not showing up in my form-16 and there is no option of specifying HRA in ITR-
1

BhushanJ, Aug 5, 2015

 #4

5.

Yatin Gandhi Active Member

@BhushanJ : You can simply mention the net taxable income in ITR 1 without giving the
break up and claim the income tax refund

Yatin Gandhi, Aug 5, 2015

#5

6.

Karan Batra Well-Known Member

ITR 1 is a very simple form and you are not required to give any break-up details of the
various components of salary.

Simply mention the consolidated amounts and file the ITR 1.

Karan Batra, Aug 25, 2016

#6

7.