Income tax???

This query is : Resolved

Dhanraj (Querist)
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25 March 2009 Respected experts

My mother's income has exceeded the maximum exemption limit which is not chargeable to tax i.e. Rs. 180000. Please suggest some tax-saving options available to us which can be utilized at this point of the FY. Please guide.

Thank you.

Ravi Chandra Prakash

Ravi Chandra Prakash (Expert)
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25 March 2009 You can choose any savings covered u/s 80C upto Rs.100000 according to your requirement.

SANJAY VERMA

SANJAY VERMA (Expert)
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25 March 2009 I think PPF or Nsc will be better

CA.Tarun Maheshwari

CA.Tarun Maheshwari (Expert)
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26 March 2009 Better go for NSC. PPF blocks your money for a longer time.

Dhanraj

Dhanraj (Querist)
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26 March 2009 First thanks to all the above experts.

Please also tell the procedure of investment in NSC?

Thanks

Taranjit Singh

Taranjit Singh (Expert)
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27 March 2009 To buy an NSC, just approach any post office.

Taranjit Singh

Taranjit Singh (Expert)
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27 March 2009 To open a PPF account, you can drop by a State Bank of India branch. you do not have to have an account with them.

You can also ask your nationalised bank where you have an account if they are authorised to open PPF accounts. You can also approach the head post office in your area. If that is inconvenient, ask your local post office (selection grade sub post offices are allowed to do so).

Taranjit Singh

Taranjit Singh (Expert)
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27 March 2009 The minimum amount you have to put into your PPF account in a year is Rs 500. The maximum you can put is Rs 70,000 per year.

With NSC, the minimum amount is Rs 100. Here, is no upper limit on investment.

However, NSC is sold in denominations of Rs 100, Rs 500, Rs 1,000, Rs 5,000 and Rs 10,000. So, if you want to invest Rs 30,000, you will have to buy three certificates of Rs 10,000 each.