How can I save my tax beyond 80 C?
What are the Various Tax Saving Investments Other than 80C?
- Interest Income Generated from Savings Account Deposits. Section – 80TTA. Limit – ₹10,000.
- Interest Component Paid Towards Education Loan. Section – 80E. Limit – No limit.
- Premium Payment Towards Health Insurance Policies. Section – 80D.
What are the tax saving options under 80C 80D and 80G?
| Investment options | Average Interest | Lock in period for |
|---|---|---|
| Tax saving FD | 7% – 8% | 5 years |
| PPF | 7.10% | 5 years |
| Senior citizen savings scheme | 7.4% | 5years (can be extended for other 3 years) |
| National | 6.8% | 5 years |
Where can I invest other than 80C?
Investment options under Sec 80C
| Investment | Returns | Lock-in Period |
|---|---|---|
| 5-Year Bank Fixed Deposit | 6% to 7% | 5 years |
| Public Provident Fund (PPF) | 7% to 8% | 15 years |
| National Savings Certificate | 7% to 8% | 5 years |
| National Pension System (NPS) | 12% to 14% | Till Retirement |
How can I reduce my taxable income legally?
15 Legal Secrets to Reducing Your Taxes
- Contribute to a Retirement Account.
- Open a Health Savings Account.
- Use Your Side Hustle to Claim Business Deductions.
- Claim a Home Office Deduction.
- Write Off Business Travel Expenses, Even While on Vacation.
- Deduct Half of Your Self-Employment Taxes.
- Get a Credit for Higher Education.
Does NPS come under 80C?
70,000/- per annum towards the NPS. You can now claim a deduction of Rs. 2.00 Lakhs, i.e. Rs. 1.50 Lakhs under Sec 80C and Rs.
How much we can save under 80C?
You can claim deductions of up to Rs. 1.5 lakh in a financial year under this section. Here the investments and expenses you make as an individual or on behalf of a Hindu Undivided Family (HUF) are taken into consideration.
Is 80 d part of 80C?
Under Section 80D, taxpayers can avail tax exemptions for health insurance premiums of self, family, and parents and expenses incurred in preventive health check-ups. Under Section 80C the maximum tax exemption limit is Rs 1.5 lakh. On the other hand, the maximum tax exemption limit under section 80D is Rs 100, 000.
Is HRA over and above 80C?
Is HRA part of 80C? No. HRA exemptions can be claimed under Section 10(13A) or Section 80GG.
Are there any other tax saving options besides 80C?
Other Tax Saving options beyond Sec 80C Apart from the 80C deductions, there are various deductions under Section 80 you can use to save on income tax. Tax benefits on health insurance premiums and home loan interest are a few- Medical insurance premium to be claimed at Rs. 50,000.
Are there any tax deductions under Section 80C?
Section 80C is the go-to avenue for availing tax deduction for most tax payers. However, if you have exhausted the Rs 1.5-lakh limit, here are some tax-saving options you could opt for.. Under Section 80 (DD), an individual can claim tax deduction against the expenditure incurred for medical treatment of a dependent person with disability.
Are there any tax saving options in India?
The most popular tax-saving options available to individuals and HUFs in India are under Section 80C of the Income Tax Act,Section 80C includes various investments and expenses you can claim deductions on – up to the limit of Rs. 1.5 lakh in a financial year. For more on tax-saving investments and expenses, read our extensive Section 80C guide.
What to do if you have exhausted Section 80C limit?
Section 80C is the go-to avenue for availing tax deduction for most tax payers. However, if you have exhausted the Rs 1.5-lakh limit under Section 80 (C), here are some tax-saving options you could opt for. Given the increasing healthcare cost, health insurance in the financial portfolio is a must-have.