Tax Saving Tips

Deduction Under Section 80C of Income Tax Act

by Varun Advani | 3 July 2015
Under section 80 C, the income tax act allows the taxpayer, a deduction for making investments in listed tax saving instruments amounting to a maximum of Rs. 1, 50,000. This deduction limit was raised to 1.5 lakh from assessment year 2015-16 onwards. The maximum deduction under this section up until assessment year 2014-15 was 1, 00,000. Now this section has been used by many a taxpayer over the years, to save on his/her taxes. At the same time, investment opportunities offered under this section have also always been very attractive as far as the return on investment is concerned. But now tha... [More]

Tax Saving Tips

Deduction Under Section 80GGA of the Income Tax Act

by Varun Advani | 27 June 2015
DEDUCTION IN RESPECT OF CERTAIN DONATIONS FOR SCIENTIFIC RESEARCH OR RURAL DEVLOPMENT – [SEC.80GGA] The following are salient features of section 80GGA- A taxpayer (other than an individual who has income chargeable under the head ‘‘profits and gain of business or profession ’’) can claim deduction under section 80GGA. Donation/contribution should be given to an approved research association university, college or other institution to be used for scientific research or rural development. A contribution can also be given for the purpose of eligible project/shame... [More]

Tax Saving Tips

Income Tax Section 80GG: Deduction in Respect of Rent Paid

by Varun Advani | 25 June 2015
DEDUCTION IN RESPECT OF RENT PAID –TO WHOM AND WHAT EXTENT AVAILABLE [SEC.80GG]   Only an individual can claim deduction under section 80GG. He can be a self-employed individual. Alternatively, he can be an employee who does not get house rent allowance from the employer.   Only an individual who pays rent for a residential accommodation for himself and his family can avail deduction under section 80GG provided he gives a declaration in From No.12BA. This deduction can be submitted to the assessing officer whenever he wants to examine it.   The following persons should no... [More]

Tax Saving Tips

Income Tax Section 80EE: Deduction on Home Loan Interest

by Varun Advani | 25 June 2015
DEDUCTION IN RESPECT OF INTEREST ON LOAN TAKEN FOR RESIDENTIAL HOUSE PROPERTY- [SEC.80EE]   Deduction under section 80EE is available if the following conditions are satisfied-  The taxpayer is an individual. He has taken a loan from a Financial institution is bank or a house finance company (i.e. an Indian public limited company formed  with the main object of  carrying on the business of providing  long  term finance for construction or purchase of residential house in India). The financial institution during the financial year 2013-14 has sanctioned the loan. ... [More]

Tax Saving Tips

Section 80E – Deduction for Interest on Education Loan

by Varun Advani | 25 June 2015
DEDUCTION IN RESPECT OF PAYMENT OF INTEREST ON LOAN TAKEN FOR HIGHER EDUCATION –[SEC.80E]   If is loan taken by an individual for any study (i.e., any study after passing senior secondary examination or its equivalent) from a bank, financial institution or an approved charitable institution, interest is deductible in the year in which interest is paid.   Interest is deductible if loan is taken for pursuing taxpayer’s own education or for the education of his relatives (i.e., spouse, children or any student for whom the individual is the legal guardian).     Maxi... [More]

Tax Saving Tips