Understanding Tax Computation Report

Understanding Tax Computation Report

A tax computation report is a summary of your tax return. It is divided into four main sections:

  • Personal details - Name, PAN, email, etc.
  • Income tax return details - Return type, regime, filing date, acknowledgment number.
  • Tax computation summary - Overview of income and tax computation
  • Computation of income- Detailed breakdown of taxable income, losses, and tax liability


Sample tax computation report


Let's understand the Computation of Income


Here's a snippet of the computation of income
Sample tax computation report



Detailed Breakdown of Your Tax Computation Report


ParticularsMeaning
Total Head-wise Income
Taxable income from all sources for the financial year
Losses AdjustedCurrent year and brought forward losses set off against taxable income
Carry forward lossesUnutilized losses carried forward to future financial years. Lapsed losses are not included here
Gross Total IncomeComputed as the difference between total head-wise income and losses adjusted
Total Chapter VI-A DeductionsIncludes deductions under sections 80C, 80D, 80CCD(2), and others 
Total IncomeCalculated as Gross Total Income minus Chapter VI-A deductions
Long-Term Capital Gains ExemptionThis highlights exemption on long-term capital gains u/s 112A, up to ₹1,00,000
Exempt Other IncomeTotal exempt income under income from Other Sources 
Tax PayableTax liability computed at slab rates and special rates
Rebate u/s 87AIf your total income falls below a certain threshold, a rebate under Section 87A is automatically applied, reducing your tax 
Tax Payable after RebateNet tax payable after considering the rebate
Surcharge & CessSurcharge is applied on tax payable; health and education cess is applied on the total of tax payable and surcharge 
Total Tax and CessThe sum of tax payable, surcharge, and cess 
Relief u/s 89Tax relief on salary arrears income that results if there is any additional tax liability 
Interest & PenaltyIncludes interest on delayed tax payments, late filing interest, and fees
Total Tax PayableThe final tax liability after considering all additions and deductions 
Total Taxes PaidIncludes tax credits i.e. TDS, TCS, advance tax, and self-assessment tax
Tax Dues/ RefundThe difference between total taxes paid and total tax payable, showing either a refund or outstanding tax due

Need Help?

Raise a ticket to get in touch with us

    • Related Articles

    • Report Gift as Income in Your Tax Return

      Receiving gifts is always a joy, but did you know that certain gifts can be taxable? If the total value of gifts you receive in a financial year exceeds ₹50,000, you are required to report it as income in your tax return under "Income from Other ...
    • Understanding Salary Components and Allowances

      Your salary is more than just the monthly amount credited to your account—it's made up of various components and allowances. Understanding these elements is essential for better financial planning and optimizing your tax savings. Here’s a breakdown ...
    • Autofill Tax Credits from Income Tax Department

      If you've paid Advance Tax, had TDS (Tax Deducted at Source) deducted, purchased a car (which involves TCS - Tax Collected at Source), or made a Self-Assessment Tax payment while filing your ITR — all of these can be claimed under Tax Credits. ...
    • Manage Tax Credits

      Tax Credits represent the income tax you've already paid during the financial year through: TDS (Tax Deducted at Source) TCS (Tax Collected at Source) Advance Tax Self-Assessment Tax These credits are applied against your total tax liability, helping ...
    • View Filed Tax Returns

      The Income Tax Return is a PDF that serves as proof of your income, expenses, and taxes paid for a financial year. It's useful for loan or visa applications, opening a demat account, record keeping, etc. Previous year's ITR can help verify ...