SAVE TAX 💵

In India, there are several sections in the Income Tax Act, 1961, that offer tax benefits. Here are some of the most common ones:

1. Section 80C: Deductions for investments in:

    - Provident Fund (PF)

    - Public Provident Fund (PPF)

    - Equity Linked Savings Scheme (ELSS)

    - National Savings Certificates (NSC)

    - Life Insurance Premiums

    - Housing Loan Repayment (Principal)

    - Tuition Fees for children

    - Stamp Duty and Registration fees for home purchase

Max. deduction: ₹1.5 lakhs

2. Section 80D: Deductions for:

    - Medical Insurance Premiums (self, spouse, children, parents)

    - Preventive Health Check-ups

Max. deduction: ₹25,000 (₹50,000 for senior citizens)

3. Section 80E: Deductions for:

    - Interest on Education Loan for higher studies

No max. limit

4. Section 80G: Deductions for:

    - Donations to charitable institutions and funds

Max. deduction: 10% of gross income

5. Section 80GG: Deductions for:

    - Rent paid when HRA is not received, if received then Section 12BB for employees who receive HRA on their salaries.

Max. deduction: ₹60,000 for 80GG

Conditions applied for 12BB [HRA etc..]

6. Section 80TTA: Deductions for:

    - Interest on Savings Bank Account

Max. deduction: ₹10,000

7. Section 24: Deductions for:

    - Interest on Home Loan (for self-occupied property)

Max. deduction: ₹2 lakhs

8. Section 80U: Deductions for:

    - Disability-related expenses

Max. deduction: ₹75,000 (₹1.25 lakhs for severe disability)

9. Section 80DD: Deductions for:

    - Medical expenses for dependent family members with disabilities

Max. deduction: ₹75,000 (₹1.25 lakhs for severe disability)

10. Section 80CCD: Deductions for:

    - Contributions to National Pension System (NPS)

Max. deduction: 10% of salary (14% for central government employees)

Remember to consult the Income Tax Act or a tax professional to ensure you're eligible and meet the necessary conditions for these deductions.

Note: There are many other Sections as well where we can claim like Sections 10, 54, 54F and can utilised wherever applicable and needed.

Thank you 🪽