11 July 2007
SIR, MY SEGREGATION OF MY SALARY IS BASIC 8500 , SPECIAL ALLOWANCE 19475 , HRA 1500 , PF 1040 , AND SOME OTHER AMOUNT.NOW PLEASE SUGGEST ME HOW I PLANNED MY INVESTMENTS TO SAVE MAXIMUM TAX.i am working at ahemdabad.i am living in the rented house but yet their is no agreement with the landlord over any legal paper.my actual rent is 2500 with 15000 as a advance for the house.i am getting this amount rs 19475 under the head special allowance.
11 July 2007
Query is not claer in itself. Pl clear following points. place of working rented or own house details of special allowance of RS.19475/- investments details.
11 July 2007
Basic & Spl allowances are taxable straight away. HRA is subject to rent paid by you whereas PF would not be taxable. Now based on your taxable income (you can collect from your company) you will have to plan for more investment in 80C eligible instruments.
Off course for salaried class taking a housing loan is an effective tax saving instrument.
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