How to calculate Income Tax

 Dear MSC1

Point.1: The business income derived is highly dispropotionate to the business expenses incurred by the assessee. This is likely to attract scrutiny for the year under review.

Point.2: The Loss arising out of the business cannot be set off against the Income under the head salaries.

Point.3: You have not given the detailed break up of the salary received by your client in order to allow permissible deductions like HRA, conveyance, transport, medical reimbursement etc.

Point.4: You have not mentioned whether the house for which he is claiming interest and principal & interest repayment  is self occupied or let out, if let out what is the amount of rent derived by him.

Point.5: The maximum amount permissible for housing loan repayment, LIC and other savings is maximum of Rs.1.00 Lakh, additionally you can can Medical insurance premia paid u/s.80D.

Point.6: You have not mentioned what treatment was undergone by the assessee's father since there are two separate section viz.80DD & 80DDB for dealing with such treatment based on the ailment of the assessee's father.

Point.7: The assessee needs to file his return in ITR 4, however, unfortunately you have missed the deadline of the due date and the return filed by you will be treated as belated.