What are covered under 80C?
What are covered under 80C?
What are the investments eligible for deduction under 80C? PPF, NSC, NPS, Tax saver FDs, Post Office Term Deposit, ELSS, ULIP, Senior Citizens Savings Scheme, Sukanya Samridhi Account. Here is a complete guide to all the deductions allowed under Section 80C.
What is the 80C limit for 2020 21?
Income Tax Deductions in India
| Sections | Income Tax Deduction for FY 2020-21 (AY 2021-22) | Limit for FY 2020-21 (AY 2021-22) |
|---|---|---|
| Section 80C | Investing into very common and popular investment options like LIC, PPF, Sukanya Samriddhi Account, Mutual Funds, FD etc | Upto Rs 1,50,000 |
| Section 80CCC | Investment in Pension Funds |
Who is eligible for 80C deduction?
Individuals who are above 60 years of age can invest in this scheme and claim tax benefits up to Rs. 1.5 lakh under Section 80C of the Income Tax Act. Five-year Post Office Time Deposit Scheme: Post office deposit schemes are a lot like fixed deposits offered by banks.
How much is exemption under 80C?
₹ 1.5 lakhs per year
Section 80C provides deductions on various investments upto ₹ 1.5 lakhs per year from your taxable income. In comparison, Section 80CCC provides a deduction of upto ₹ 1.5 lakhs per annum for the contribution made by an individual towards specified pension funds.
What is the last date for 80C investment for FY 2021 22?
March 31, 2022
Many taxpayers exhaust the limit of Rs 1.5 lakh under Section 80C and yet want to bring save more tax. The last date to save tax for the financial year 2021-22 is March 31, 2022.
Can I claim both 80C and 80CCD?
Sections 80CCD, 80CCC and 80C The benefits of Section CCD fall under those of 80C, i.e., the deductions claimed u/s 80CCD cannot be claimed again in 80C. The overall limit of deductions under 80C, 80CCC and 80CCD is Rs. 2 lakh, with an additional deduction of Rs. 50,000 allowed u/s 80CCD sub section 1B.
What comes under 80C and 80D?
Section 80C offers tax deductions on different types of tax-saving investments, such as ULIP, PPF, ELSS, EPF, LIC premium, etc. Section 80D deduction is allowed for availing tax exemptions on health insurance premiums paid for self, family, & parents and expenses incurred on preventive health check-ups.
Can I invest more than 1.5 lakh in 80C?
There is no legal restriction on the maximum amount invested in an ELSS, though the deduction under Section 80C is limited to Rs 1.5 lakh only.
What is the 80C limit for AY 2022 23?
Rs 1.5 lakh
Individual salaried taxpayers looking for an increase in tax relief under section 80C of the Income-tax Act, 1961 were left disappointed. This would effectively mean that individuals opting for the old tax regime for financial year 2022-23 will continue to claim maximum deduction of Rs 1.5 lakh in a financial year.
What is the difference between 80CCD 1 and 80CCD 2?
80CCD (1) deals with the investment or contribution made by an employer to such a pension scheme whereas section 80CCD (2) deals with employer contribution to an employee’s pension account. National Pension Scheme (NPS) is the scheme notified by the central government.
What is difference between 80CCD and 80CCD 1B?
What is the difference between 80CCD(1) and 80CCD(1B)? Section 80CCD(1) allows a deduction of up to ₹ 1,50,000 for self-contributions to NPS or APY. Section 80CCD(1B) allows an additional deduction of up to ₹ 50,000 over and above the limit of Section 80CCD(1).
What is Sec 80D?
Section 80D allows for the deduction for money spent on maintaining your health and health insurance , and assumes great significance in your tax planning and personal finance.