Instructions for using Employee Self Service portal. 1) Copy the following link on the Address bar of the Internet Browser

Transcription

1 Instructions for using Employee Self Service portal 1) Copy the following link on the Address bar of the Internet Browser 2) Login Screen

2 3) Profile Screen:- Following web page will appear once you login using your company, username and password.

3 4) INVESTMENT DECLARATION SCREEN :- Following screen will appear when you click on INVESTMENT DECLARATION link.

4 Instructions for updating Investment declaration and flexi option on ESS Investment Declaration 1. Employee s Information Under employee s information employee has to update the following a. Number of children studying in school b. Employee Permanent Account Number (Only if incorrect PAN is displaying on the top) c. Mobile Number (mandatory) 2. Investment Declaration Under Investment declaration employee has to fill in the amount they were planning to invest under different investments plans in financial year (i.e. from April 1, 2012 to March 31, 2013). Brief details of different investment plans along with their limits are given below for your easy understanding. a. Deduction in respect of various investments made (Sec. 80C) Under this head deduction will made available in respect of various investments made by the employee. Maximum deduction available is Rs.1,00,000. Following investments are eligible for deduction. i. Life insurance premium paid on policy of self, spouse, children. (max limit is 20 % of sum assured) ii. Jeevan Suraksha premium paid for self, spouse, children iii. Unit Linked Insurance Plan (ULIP) iv. Mutual Fund (MF) v. ELSS vi. National Saving Certificates vii. Public Provident Fund (PPF) viii. 5 years Fixed Deposit ix. 5 years Post Office Deposit x. Tuition Fees for any two children which includes tuition fees, term fees, etc. and which does not includes development fees, donation, payment of similar nature. xi. Housing Loan principal repayment xii. Stamp Duty / Registration paid for purchase of property. b. Medical Insurance Premium (Health Insurance Plan) (Sec. 80D) Insurance premium paid for self, spouse and dependant child during financial year will be eligible for deduction from taxable income. Max deduction available is Rs.15,000. Additional up to Rs.15,000 can be claimed as deduction if such premium paid is towards dependant parents. Additional up to Rs.15,000 can be read as Rs.20,000 if such premium paid is towards senior parents.

5 c. Deduction in respect of maintenance including medical treatment of a dependent being a person with disability (Sec. 80DD) - Employee has incurred an expenditure for the medical treatment of a dependant person with disability. Employee has to furnish a copy of the certificate issued by the medical authority in Form No. 10-IA. Fixed deduction of Rs.50,000 can be claimed from taxable income. Higher deduction of Rs.1,00,000 shall be allowed where such dependent is a person with severe disability having disability of 80 percent or more. Persons with Autism, Cerebral Palsy, Mental retardation, multiple disabilities, etc. will be eligible. d. Deduction in respect of repayment of loan taken for higher studies (Sec. 80E) Repayment of interest on loan taken for pursuing higher education of self, spouse and dependant children will be eligible for deduction without any limit. This deduction is available in the year in which employee starts paying interest and 7 immediately succeeding years (or until the above interest is paid in full, whichever is earlier). Loan must be taken from any bank, financial institution. e. Deduction in case of a person with disability (Sec. 80U) Employee suffering 40 percent or more than 40 percent of any disability i.e. blindness, low vision, leprosy-cured, hearing impairment, locomotor disability, mental retardation, mental illness, autism, cerebral palsy and multiple disability will be eligible for deduction. Employee has to furnish a copy of the certificate (in Form No. 10-IA) issued by medical authority. Fixed deduction of Rs.50,000 is available. Higher deduction of Rs.1,00,000 is allowed in respect of a person with severe disability (i.e. having any disability of 80 percent or above). 3. Rent Declaration Rent declaration has to provided by those employees who are paying rent to their landlord of the property where they resides. Employees taking benefit of housing interest cannot take the benefit of rent exemption if both the property is in same city, provided they are staying in rented house as their own house is not ready to use. Employees paying rent above Rs.15,000 per month should also provide PAN of landlord, else the same will not get considered for rent exemption. 4. Details of Income / (loss) from other than salary a. Interest on hosing loan should be shown under income from house property. Maximum limit is Rs.1,50,000 where the loan is taken for construction or purchase of property on or after April 1, 1999 else Rs.30,000. b. Interest on securities, Interest on Fixed Deposits, NSC interest accrued, other income should be shown separately under respective heads and also TDS deducted on the same should be shown separately under TDS deduction head, so that proper tax can get deducted from salary income.

6 Flexi Pay Option Employee has an option to choose the various heads as per their convenience as salary. There are fixed components as well as flexi components in their CTC. Various heads are explained to understand the taxability of the same. 1. Fixed Components These are fixed components and employees does not have option to change the amount under these heads a. Basic Basic is 40% of CTC and is taxable. Employee cannot change the same. b. HRA HRA is 50% of Basic and the least of the following three is exempt only if rent declaration is provided - Actual HRA received - 50% of Basic in case of rented property is in metro city (i.e. Mumbai, Delhi, Chennai, Kolkata) else 40% of Basic - Rent paid less 10% of Basic c. Gratuity Gratuity is 4.81% of Basic. d. Statutory PF Provident Fund is 12% of Basic and is eligible for deduction from taxable income under section 80C under the maximum ceiling of Rs.1,00,000. Employer s contribution to PF up to 12% of Basic is also exempt. Above 12 % of Basic is taxable. If the employee withdraws the entire amount of PF at the time of leaving the organization before 5 years then the entire amount is taxable. After 5 years the entire amount (both employee and employer contribution) including interest on the same is tax free provided the same is upto 12 % of Basic. e. Medical Reimbursement Medical reimbursement is Rs.15,000 per annum to meet the regular medical expenses and the same is tax free if bills for the same is produced to the employer else is taxable. f. Education allowance - Education allowance is Rs.2,400 per annum. The amount exempt is limited to Rs.100 per month per child up to a maximum of two children. For availing benefit of the same employee has to declare the number of children studying in the investment declaration personal information section. g. Special allowance Special allowance is the balancing figure after employee opts for flexi pay and is taxable.

7 2. Flexible Components These are flexible components and employees have option to change the amount under these heads a. Food Cards Employee of all grades can opt for food coupons up to Rs.18,000 per annum which will be exempted from tax. b. Superannuation - Employee of all grades can opt for superannuation up to 12% of Basic. Employer s contribution to this fund will be tax free in the hands of an employee to the extent of Rs.1,00,000 per annum. Employers contribution over and above Rs.1,00,000 is taxable in the hand of employees. It is exempt at the time of actual receipt from the fund. c. Leave Travel assistance Employee can opt for leave travel assistance up to Rs.50,000 or Rs.1,00,000 per annum depending on his grade. LTA extended for going anywhere in India along with his family is exempt on the basis of provisions given below. Family includes spouse, children, parents, brothers and sisters who are wholly dependent on employee. Employee has to submit proofs of actual expenditure incurred on such journeys. Expenditure incurred on fare is allowed. No other expenditure like scooter/taxi charges at both ends, porterage expenses and lodging/boarding expenses will be eligible. Employee claiming LTA without the proofs will be taxable. - Where journey is performed by Air - Amount of economy class air fare of the national carrier by the shortest route or the amount spent, whichever is less or - Where journey is performed by rail - Amount of 1 st A/C rail fare by the shortest route or amount spent, whichever is less or - Where journey is performed by any other mode - Amount of 1 st A/C rail fare by the shortest route or amount spent, whichever is less - Only 2 journeys in a block of 4 calendar years is exempt and the current block is (i.e. January 1, 2010 to December 31, 2013). d. Telephone Reimbursement Telephone reimbursement is up to Rs.30,000, Rs.20,000 or Rs.9,600 per annum depending on the grades of the employee to meet the expenditure of landline telephone at home. This is tax free provided employee provides the bills for the same. Employee has to provide the bills of the same landline number through out the financial year in the name of self, spouse or parents of the employee. Only land line phone bills will be accepted for exemption purpose else the same will be treated as taxable. e. Car Fuel reimbursement Fuel reimbursement is up to Rs.28,800 per annum depending on the grades of employee. It is tax free provided employee provides the bills for the same. Bills can be of fuel, insurance of the vehicle, maintenance. Employee also has to provide the Registration Copy of the vehicle which has to be in the name of self, spouse or parents of the employee. Rs.21,600 is tax free in case Cubic Capacity of the vehicle is below 1.6 CC else Rs.28,800 is exempt.

8 f. Driver s Salary reimbursement Driver s salary reimbursement is up to Rs.10,800 per annum depending on the grades of employee. It is tax free provided employee provides vouchers of payment made to driver. Employee also has to provide the Registration Copy of the vehicle which has to be in the name of self, spouse or parents of the employee. g. Conveyance allowance Conveyance allowance is Rs.9,600 per annum to all grades of employee. The same is tax free. It will be given to those employees who do not opt for Car Fuel reimbursement as well as Driver s Salary reimbursement. Employee can opt for either Conveyance allowance or Fuel Reimbursement and Driver s Salary.