1) Section 80C
- PPF, EPF
- LIC
- NSC
- 5 Years fixed deposit in bank /post office.
- Elss Mutual funds (Tax Saving M.F. which locking period 3 years).
- Infrastructure Bonds (Govt. Specified Bonds).
- Children Education Fees (Max. 2 Childs)
- NPS
- Housing Loan Repayment (Only upto principle portion)
Note:-
- Total Deduction of 80C (80C + 80CCC + 80CCD) = 1,50,000.
- If we have invest in NPS, So we can take extra 50,000 amount of deduction U/S 80CCD(i).
- Total deduction = 2,00,000 [80C + 80CCC + 80CCD + 80CCD(i)]
2) Section 80D
- Medical Insurance
- Preventive Health Check Up
Note:-
- Medical insurance Premium of Assesse himself or his family (spouse and dependent children).
- Medical insurance premium payment through cheque or online mode (can't claim deduction on cash payment).
- Max. deduction on medical insurance => 25,000/- , if age below 60 years.
- Additional deduction Rs. 5,000/- for preventive health check up (can claim deduction on cash payment, but bill is mandatory)
- Medical insurance premium + preventive health check up deduction fr senior citizen parents up to 50,000/- .
3) Section 80DD
- Treatment of specified Illness.
Note:-
- Deduction for spouse, children, parents and siblings and not for himself.
- If disability up to 40% , So, Deduction allowed up to 75,000/- and If disability up to 80% , Deduction 1,25,000/-.
- The taxpayer has incurred expenses for medical treatment (including nursing) , training & rehabilitation of the differently able dependent or the taxpayer may have deposited in a scheme of LIC or another insurance for maintenance of the dependent.
- Disability of the dependent is not less then 40%.
4) Section 80DDB
- Medical treatment of critical disease.
Note:-
- Medical treatment of spouse, children, parents and siblings and not for himself.
- Medical expense incurred for critical disease. complete list is given in Rule 11DD. (Cencer, neuron disease, renal failure, thalassemia, haemophila, AIDS etc.
- Form 10IA, if person is suffering from autism, cerebral palsey, or multiple disability's.
- Medical certificate from neurologist or civil surgeon or CMo of govt. hospital.
- Deduction up to 40,000/- and for senior citizen up to 1,00,000/-.
5) Section 80E
- Education loan "Interest" for higher studies.
Note:-
- Loan for higher studies (in india or outside) for himself, spouse, children from any bank / financial institution.
- Deduction can be claimed on interest portion and not on principal.
- No limit on amount of interest.
- Deduction is available for max. of 8 years or till the interest is paid whichever is earlier.
- Advise to take loan which ends up in 8 years.
6) Section 80EE
- Home loan interest for first time buyers.
Note:-
- Value of the house should be 50 lakhes or less.
- Loan taken for this hours must be 35 lakhs or less.
- The loan must be sanctioned by a financial institution or a housing finance company.
- The loan must be sanctioned between 01/04/2016 to 31/03/2017.
- As on the date of the sanction of loan, no other house property must be owned by you.
- The deduction is allowed for up to Rs. 50,000/- per year, starting from FY. 2016-17 and subsequent years, until the loan is repaid.
- This section is in additional to Section.24.
7) Section 80GG
- Deduction for rent paid.
Note:-
- You are self-employed or salaried.
- You have not received HRA as any time during the year for which you are claiming 80GG.
- You or your spouse or your minor child or HUF of which you are a member - do not own any residential accommodation at the place where you currently reside, perform duties of the office, or employment or carry on business on profession.
- In case you own residential property at any place for which your income from house property is calculate under applicable sections (as a self-occupied property), no deduction under section 80GG is allowed.
- Deduction - The lowest of these will be considered as the deduction under this section.
- Rs. 5,000/- per month.
- 25% of the total income (income to exclude long-term capital gain, short-term capital gain under section 111A and income under section 115A or 115D and deduction 80C to 80U. Also, income is before a deduction under section 80GG).
- Actual rent less 10% of income (income to exclude long and short term capital gain U/S 111A and income U/S 115A or 115D and deduction 80C to 80U).
8) Section 80TTA
- Interest on Saving Bank.
Note:-
- This deduction is allowed on interest earned :-
- From saving A/c with a bank.
- From saving A/c with Co-operative society carrying on the business of banking.
- From saving A/c with post office.
- This deduction is not allowed on interest earned on time deposits. Time deposits mean deposit repayable on expiry of fixed period. It shall not be allowed for :-
- Interest from fixed deposits.
- Interest from recurring deposits.
- Any other time deposits.
- Maximum deduction - The maximum deduction is limited to Rs. 10,000/-.
9) Section 80U
- Tax deduction for disabled individuals.
Note:-
- A resident individual who has been certified as a person with a disability by the medical authority can claim the tax benefit.
- Disability has been defined as one of the following :-
- Blindness
- Low vision
- Leprosy - Cured
- Hearing impairment
- Loco-motor disability
- Mental retardation
- Mental illness
- A deduction of Rs. 75,000/- is allowed for people will disabilities and Rs, 1,25,000/- deduction for people with server disability.
10) Section 80G
- This section provides deduction for certain donation made by assesse.
Note:-
- This Deduction available to all assesses.
- Donation in kind not allowed.
- If donation is greater than 2,000/- it cannot be paid by cash.
- Proper prof of payment should be obtained.
- 100% Deduction is allowed now for donation in :-
- National fund for control of drug abuse.
- Swachh bhart kosh.
- Clean ganga fund.
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