Indian Income Tax deductions, Tax exemption limits (imp.)
|
Income Tax Deductions
Explanation |
Maximum deduction allowed
Remarks |
|
Income Tax deduction - Section 80C Provident Funds, Life Insurance premium, ELSS, Bank deposits (>5 yr.), tuition fees, principal part of EMI on housing loan, etc.
Also sec 80CCC - Investment in Pension Funds
Also sec 80CCD – Cont. to Govt. Pension Scheme by Govt. empee
|
Maximum tax deduction or tax exemption limit: Rs. 1,00,000 |
|
Income Tax deduction - Section 80 CCF
Infrastructure Bonds
|
20,000/- per annum along with section 80C
(over & above 80C)
|
|
Income Tax deduction - Section 80D Premium in health insurance of you, your spouse, children or dependent parents |
Maximum tax deduction or
tax exemption limit: Rs. 15000 (tax exemption limit for senior citizen is Rs. 20000) |
|
Income Tax deduction - Section 80DD Medical treatment (including insurance) of disabled dependent |
Maximum tax deduction
or tax exemption limit: Rs. 50000. (Rs. 75000 if disability is severe,
i.e. >80%) |
|
Income Tax deduction - Section 80DDB
Dedn w.r.t medical treatment of specified diseases –
Of self, spouse, children parents, Bro. & Sis.
|
Maximum tax deduction
or tax exemption limit: Regular person- 40000 p.a
Senior citizen -60000 p.a
|
|
Income Tax deduction - Section 80E Interest paid on educational loan taken for higher education Of you, your spouse or children.
|
Maximum tax deduction or tax exemption limit: no limit !
|
|
Income Tax deduction - Section 80GG House rent in excess of 10% of income, if no HRA is received. |
Maximum tax deduction or tax exemption limit: Rs. 2000 per month or 25% of your gross salary, whichever less. |
|
Income Tax deduction - Section 80G Donations
|
Maximum tax deduction
or tax exemption limit: 100% of donation amount for unrestricted, 50% of donation amount for all other donations.
|
|
Income Tax deduction - Section 80 U
Deduction available to Disabled person.
|
Maximum tax deduction
or tax exemption limit: Rs. 50000. (Rs. 75000 if disability is severe,
i.e. >80%) |
CAclubindia
