Take the pledge to vote

For a better tommorow#AajSawaroApnaKal
  • I agree to receive emails from News18

  • I promise to vote in this year's elections no matter what the odds are.
  • Please check above checkbox.

    SUBMIT

Thank you for
taking the pledge

Vote responsibly as each vote counts
and makes a diffrence

Disclaimer:

Issued in public interest by HDFC Life. HDFC Life Insurance Company Limited (Formerly HDFC Standard Life Insurance Company Limited) (“HDFC Life”). CIN: L65110MH2000PLC128245, IRDAI Reg. No. 101 . The name/letters "HDFC" in the name/logo of the company belongs to Housing Development Finance Corporation Limited ("HDFC Limited") and is used by HDFC Life under an agreement entered into with HDFC Limited. ARN EU/04/19/13618
CO-PRESENTED BY
LIVE TV DownloadNews18 App
News18 English
272
nda:
Needmore seats to Win
Needmore seats to Win
upa:
»
4-min read

How to Save Tax Legally With Income Tax Deductions From 80C to 80G?

It is prudent to make investments under different investment instruments that not only give you peace of mind for the future but also help you to lessen your income tax burden.

News18 Specials

Updated:July 14, 2017, 5:37 PM IST
facebookTwittergoogleskypewhatsapp
How to Save Tax Legally With Income Tax Deductions From 80C to 80G?
Image for representation.
Loading...
Everyone can save Income tax legally by appropriately utilising the Income tax deductions offered by the Income tax department of India.

It is prudent to make investments under different investment instruments that not only give you peace of mind for the future but also help you to lessen your income tax burden.

Similarly there are certain medical expenditures that can be claimed for deduction from your taxable income. Let’s understand these Income Tax Deductions one by one:

1. Income Tax Deduction Under Section 80C

Under Section 80C you can invest upto ₹1,50,000/- from your annual income and claim deduction for the same from your taxable income. There are various investment instruments specified under Section 80C viz: Public Provident Fund (PPF), Contribution to Employee Provident Fund (EPF), Mutual Funds, Equity Oriented Mutual Funds, Fixed Deposits (FD), National Savings Certificate (NSC), Repayment of Principal Amount on Home Loan, Life Insurance Policy.

2. Income Tax Deduction Under Section 80CCC and 80CCD

Section 80CCC deals with investment in annuity/pension plans of Insurance companies. The investment made under these pension plans comes under the combined limit of ₹1,50,000/- with deductions under Section 80C.

Section 80CCD relates to contribution made to National Pension Scheme (NPS) of Central Government. An amount upto ₹50,000/- is deducted from taxable income over and above the ₹1,50,000/- limit.

3. Income Tax Deduction Under Section 80TTA

Section 80TTA allows for a deduction of upto ₹10,000/- for interest earned on savings account. You need to specify the interest earned from savings account under Income from other Sources and then claim a deduction upto ₹10,000/- under this section.

4. Income Tax Deduction Under Section 24

Section 24 of Income Tax Act deals with deduction on Interest Accrued/Levied on Home Loan. So investing in a home by taking home loan is prudent as you can claim deduction for the interest levied on it. If the home is self-occupied then you can claim upto ₹2,00,000/- from deduction, however if the home on which the home-loan is taken, is not self-occupied then you can claim for all the interest accrued on it minus any rent received.

5. Income Tax Deduction Under Section 80D

Section 80D deals with Mediclaim or Health Insurance bought for self, spouse or dependent children/parents. An amount of ₹25,000/- can be claimed for preventive health check-ups and health insurance bought for self, spouse and dependent children whereas in case of preventive health check-ups and health insurance purchased for senior citizens, you can claim ₹30,000/-. This deduction is over and above the ₹1,50,000/- limit of Section 80C.

6. Income Tax Deduction Under Section 80DD, 80U and 80DDB

Section 80DD deals with deduction for upto ₹1,25,000/- for medical expenditure incurred on a disable spouse/children/siblings/parents including medical insurance.

Section 80U deals with deduction for upto ₹1,25,000/- for a person certified with 40% or 80% disability for medical expenditure incurred on self including medical insurance.

Section 80DDB deals with deduction upto ₹80,000 for dependent above 80 years, ₹60,000 for senior citizen and ₹40,000 for self/spouse/children/parents for medical expenditure incurred on treating the below mentioned specified diseases:

- Chronic Renal Failure

- Malignant Cancers

- Hematological Disorders

- Neurological Diseases

- AIDS

7. Income Tax Deduction Under Section 80E

Section 80E deals with payment of Interest on Education loan taken for self/spouse/dependent children. There is no cap on the amount that can be claimed for deduction from your taxable income under Section 80E.

8. Income Tax Deduction Under Section 80G

Section 80G points to Donations made to specified government organizations as well as some specified NGOs. Although for most of the list there is no limit to which you can donate and claim deduction under 80G, there are certain organizations like political parties to which you cannot make a donation more than 10% of your Gross Total Income.

9. Income Tax Deduction Under Section 80GG

Section 80GG deals with deduction upto ₹60,000/- for rent paid by an individual. This deduction is for those individuals who do not get the benefit of HRA exemption or haven’t claimed the deduction for rent paid under other another section.

10. Income Tax Deduction Under Section 80CCG

Section 80CCG deals with investments made in Equity Savings Scheme and you can claim a deduction under Section 80CCG for upto ₹25,000/-. This deduction can be claimed by first-time investors who are investing in listed shares or mutual funds with a lock-in period of 3 years.
(Get detailed and live results of each and every seat in the Lok Sabha elections and state Assembly elections in Andhra Pradesh, Odisha, Arunachal Pradesh and Sikkim to know which candidate/party is leading or trailing and to know who has won and who has lost and by what margin. Our one-of-its-kind Election Analytics Centre lets you don a psephologist’s hat and turn into an election expert. Know interesting facts and trivia about the elections and see our informative graphics. Elections = News18)
| Edited by: Swati Sharma
Read full article
Loading...
Next Story
Next Story

Also Watch

facebookTwittergoogleskypewhatsapp
 
 
Most Active
Company Price Change %Gain
Reliance 1,343.90 0.75
GRUH Finance 314.35 -4.66
SBI 353.55 3.32
ICICI Bank 425.20 3.49
IndusInd Bank 1,636.60 2.37
Company Price Change %Gain
GRUH Finance 312.00 -4.82
Reliance 1,343.10 0.55
Axis Bank 792.95 2.05
SBI 353.00 3.13
Larsen 1,530.00 3.68
Top Gainers
Company Price Change %Gain
Larsen 1,530.10 3.66
Bharti Airtel 351.25 3.67
ICICI Bank 425.20 3.49
Eicher Motors 21,016.00 3.42
SBI 353.55 3.32
Company Price Change %Gain
Bharti Airtel 351.10 3.75
M&M 660.20 3.24
Larsen 1,530.00 3.68
Tata Motors 179.70 2.69
Maruti Suzuki 7,100.05 2.41
Top Losers
Company Price Change %Gain
ONGC 171.55 -1.49
Tech Mahindra 735.75 -1.02
HCL Tech 1,057.85 -0.80
NTPC 129.15 -0.54
HUL 1,744.65 -0.52
Company Price Change %Gain
ONGC 171.45 -1.49
HCL Tech 1,058.10 -0.80
NTPC 129.05 -0.65
HUL 1,744.70 -0.36

Live TV

Loading...
Countdown To Elections Results
  • 01 d
  • 12 h
  • 38 m
  • 09 s
To Assembly Elections 2018 Results