income tax exemptions deductions for individuals

Income Tax Exemptions /Deduction

Taxes are more important in the financial world to run the entire people life comfort and stress-free. The government plan well for the income tax exemptions and deliver basic terms to the citizens. The individual who desires to know about the tax deduction get complete details in the following.

Tax deduction assists to reduce the taxable income and reduce entire tax responsibilities and make you save the tax. It depends on the tax deduction type that you claim based on the deduction amount varies. Now, you can also claim the tax deduction related to amount expenditure for medical expenses, charitable contribution, education, etc. Whenever, you invest in various policies national savings, retirement savings and life insurance schemes, etc. for the tax deductions.

The Indian government offers the tax deduction for various expenditure acquire in different activities to support the individuals as well business organizations enrol in the social benefits. Make use of the following details and remember if you are a salaried person.

The regular expenditure is eligible for the tax deductions with reports related to save the money and tax deduction claimed for various expenditures. Check out the following types of tax deductions and know more. The four different types of tax deductions obtained such as 80C deduction, 80D deduction, 80E deduction and 80G deduction.

Income tax slab rates ay 2018-19

80C tax deduction:-

  • Payments, which made to the life insurance schemes for own, children or spouse.
  • The payment made to the provident fund.
  • Payment, which made the residential property purchase or construction.
  • The payment distributed to the fixed deposit with the short period of 5 years.

The subsection of 80C tax deduction obtained such as section 80 CCC, section 80 CCD, section 80 CCF, and section 80 CCG.

Up to 1,50,000.

80D tax deduction:-

The income tax section 80D enables exemptions on the amount expended by the person directs to the health insurance scheme premium. It also includes payment achieved to the spouse, parents, self or children to the central government health scheme. The individual can claim around Rs.15, 000 as the deduction to the insurance for children, self or spouse for an amount Rs.20, 000 if the individual age completes 60 years.

The subsection of income tax 80D obtained such as section 80DD and section 80DDB.

80E tax deduction:-

The income tax deduction 80E designed well to make sure the educating oneself and it doesn’t direct additional tax weight. The taxpayers qualify for the tax exemption on the interest repayment of the loan for their higher education. The loan makes use by the taxpayer and responsible himself or herself or sponsor of education for their child, his or her ward.

The subsection of 80E tax deduction obtained such as section 80EE.

80G Donation tax deduction:-

The 80G tax deduction supports the taxpayers to contribute the funds as well charitable institutions providing tax benefits for the monetary donations. The entire assesses qualify for the deduction and provide payment proof.

The subsections in the 80G tax deduction obtained such as section 80GG, section 80GGA, section 80GGB and section 80GGC.

Categories: income tax