Income From Other Sources Infotype (0584)  

Definition

This infotype stores the details of income from sources other than that from your employment, for the current financial year.

There are two subtypes to this infotype:

·        Subtype 0001 - Income From House Property

·        Subtype 0002 - Income From Other Sources

Use

If an employee chooses to declare income from sources other than that from the current employment, you must maintain the income details in this infotype.

Structure

Subtype 0001 - Income From House Property

There are three property types:

...

       1.      Self-occupied\Deemed self-occupied House Property

In this case you can enter the following details:

¡        Deduction of interest under section 24, which is the interest that the employee is paying in the current financial year in case he or she has taken a loan to acquire the house. You must enter the interest amount here if you have not maintained this loan in the Loans infotype (0045).

¡        Loan type

¡        Loan sequence number

If the loan has been taken from your organisation, the system reads the Loans infotype (0045), to calculate the interest paid for the financial year.

¡        Period of the financial year from which the company housing loan has to be considered for Section 24 interest deduction.

¡        Period of the financial year until which the company housing loan has to be considered for Section 24 interest deduction.

¡        Interest limit

If you have entered the loan type and loan sequence number under Company Housing Loan Details section of this infotype, the system will add the interest amount for this loan to the amount entered as the deduction of interest under section 24. The total amount cannot be greater than the interest limit.

The interest amount entered as the deduction of interest under section 24 is added to Any Other Income wage type (/131) in Exemptions u/s 10 rule (IN70).

       2.      Partly Let out House Property

In this case you can enter the following details:

¡        Final lettable value, which is the amount obtained after subtracting Section 23 deductions from the annual lettable value.

¡        Deduction on account of house repairs under Section 24

¡        Deduction of interest under Section 24

¡        Deduction on account of other expenses under Section 24

¡        Loan type

¡        Loan sequence number

¡        Period of the financial year from which the company housing loan has to be considered for Section 24 interest deduction.

¡        Period of the financial year until which the company housing loan has to be considered for Section 24 interest deduction.

If you have entered the loan type and loan sequence number under Company Housing Loan Details section of this infotype, the system will add the interest amount for this loan to the amount entered as the deduction of interest under section 24. The total amount cannot be greater than 30% of the final lettable value. This percentage is maintained in the Repairs under Section 24 constant (REP24) of table view Payroll Constants (V_T511K).

The sum of the deductions on account of house repairs under Section 24, interest under Section 24 and other expenses under Section 24 cannot be greater than the final lettable value. The system adds the amounts entered as deductions on account of house repairs under Section 24, interest under Section 24 and other expenses under Section 24 to Any Other Income wage type (/131) in Exemptions u/s 10rule (IN70).

       3.      Wholly Let out House Property - In this case you can enter the following details:

¡        Final lettable value

¡        Deduction on account of house repairs under Section 24

¡        Deduction of interest under Section 24

¡        Deduction on account of other expenses under Section 24

¡        Loan type

¡        Loan sequence number

¡        Period of the financial year from which the company housing loan has to be considered for Section 24 interest deduction.

¡        Period of the financial year until which the company housing loan has to be considered for Section 24 interest deduction.

If you have entered the loan type and loan sequence number under Company Housing Loan Details section of this infotype, the system will add the interest amount for this loan to the amount entered as the deduction of interest under section 24. The total amount cannot be greater than 30% of the final lettable value. This percentage is maintained in the Repairs under Section 24 constant (REP24) of table view Payroll Constants(V_T511K). The system adds the amounts entered as deductions on account of house repairs under Section 24, interest under Section 24 and other expenses under Section 24 to Any Other Income wage type (/131) in Exemptions u/s 10rule (IN70).

Subtype 0002 - Income From Other Sources

You can enter the income from the following sources:

...

       1.      Long term capital gains (Normal rate)

       2.      Long term capital gains (Special rate)

       3.      Business profits

       4.      Short term capital gains

       5.      Income from dividends

       6.      Income from interest

       7.      Other income (unspecified)

The system add the sum of the amounts entered above to Any Other Income wage type (/131) in Exemptions u/s 10 rule (IN70).

Long term capital gains, Normal Rate and Special Rate, are taxed at rates, which are maintained in constants Long capital gain normal rate (LCNRT) and Long capital gain special rate (LCSRT), respectively, of table view Payroll Constants(V_T511K).

Other income (unspecified) is taxed at a rate, which is maintained in Other Income - rate constant (OTHRT) of table view Payroll Constants (V_T511K).

You can also enter the TDS on other incomes. The system then adds this amount to the Tax deducted so far wage type (/456).

See also:

Income from Other Sources