Is standard Deduction u/s 16(ia) compulsory?
Is standard Deduction u/s 16(ia) of Income Tax Act amountong to Rs. 40000 compulsory to claim?
Standarad Deduction is available to Salaried persons only. This is applicable from AY 2019-20 in computing income chargeable under the head of Salaries. The amount of Standard Deduction would be Rs. 40,000/- or the amount of salaries whiecever is lower.
In other words, while calculating the income from Salaries, standand deduction has to be claimed.