Section 80c of income tax pdf

Maximum deduction allowed under section 80c for tax savings on income. Download tax planning ebook for fy 201920 ay 202021 lets have a look at the changes that happened in income tax laws in budget 2019. Deductions allowable to tax payer income tax department. How to claim deductions under section 80c to 80u while filing itr1. Tax deductions available under sections 80 c, 80 ccc, 80 ccd. Understanding how section 80c of the income tax act works. The various investments that can be claimed as tax deductions under section 80c are listed below. Section 80c income tax deduction under section 80c. Section 80c in india was designed to offer exhaustive contents, as a result it made tax planning a bit cumbersome. Click to view the institutions registered under section 80g, 12 a and more. Background for section 80c of the income tax act india what are eligible investments for section 80c.

Section 80c of the income tax act provides provisions for tax deductions on a number of payments, with both individuals and hindu undivided families eligible for these deductions. Section 80c under the income tax act gives options for income tax deductions on a number of payments, which is applicable to both individuals and hindu undivided families hufs. Oct 24, 2017 checkout personalfn guide on everything you need to know about section 80c which includes benefits of section 80c, tax saving schemes elss, nsc, ppf, tax saving mutual funds and many more. Aug 12, 2018 deductions are the exemptions on the amount taxable as per income tax act. A taxpayer, any huf or individual, can claim various deductions on their total income under section 80c of the income tax act and its allied sections like 80ccd and 80ccc to reduce the taxable income and thereby bring down the tax outgo.

Feb 01, 2020 have a look at revised income tax slabs and know how much will you save in new tax regime. Eligible investments include contributions to epf, vpf, ppf, elss mutual funds, sukanya samriddhi account, tax saving fds and post office, nps, nsc, scss, nabard bonds, and a few other options. Have a look at revised income tax slabs and know how much will you save in new tax regime. Among the various taxsaving options, most individuals prefer to claim tax deduction under section 80c of the income tax act, 1961. List of income tax deductions from section 80c to 80u of income tax act for fy 201920ay 202021. The income tax department will refund the excess money to your bank. It basically allows certain expenditures and investments to be exempt from tax. Mar, 2019 the most widely used option to save income tax is section 80c of the income tax act. Limit on deductions under sections 80c, 80ccc and 80ccd.

Deductions under chapter vi a of income tax act for fy 201920. Section 80c replaced the existing section 88 with more or less the same investment mix available in section 88. Here are the various investments you can make to save tax under section 80c of the income tax act. In other words, we can say that taxable income gross total income less deductions under section 80c to 80u. Aug 22, 2019 lets go through all the tax deductions available under section 80 of the income tax act, 1961. As per the provisions of section 80g of incometax act, 1961, deductions are available for donations to certain notified funds, charitable institutions or other institutions funds set up by the government of india. Section 80c allows individuals and hufs to claim tax deduction of up to rs. What are the deductions allowed for tax payer in income tax, what is the section 80 of income tax 1961, what are the deductions you can claim under section 80 and income tax deduction under section 80c are the few questions which is being asked all the time. In this guide, we will explain to you all the income tax deductions of the income tax. Did you know that section 80c, under the income tax act 1961, helps you reduce the tax burden by allowing a deduction from the total. What is section 80c income tax tamil deduction under 80c upto rs 45,000 in itr filling. This deduction is allowed to an individual or a huf. All about deduction under section 80c and tax planning what. List of income tax exemptions for fy 20172018 and ay 20182019.

Pdf to study the planning of individual income tax and tax saving instruments of. Below given are several investments, expenses and payments allowed to be claimed under section 80c. Article explains income tax deduction available to individual and huf under section 80c, section 80ccg, section 80d, section 80dd, section 80ddb, section 80e, section 80ee, section 80g. Deductions under section 80c to 80 u of income tax act 1961. Section 80c deductions latest income tax deductions.

Income tax deductions list fy 201920 how to save tax for. Under section 80c, the maximum tax exemption limit is rs 1. Apr 27, 2019 under section 80c, a deduction of rs 1,50, can be claimed from your total income. Contribution made by employer shall also be allowed as deduction under section 80ccd 2 while computing total income of the employee. Income tax deduction income tax standard deduction 2019 2020. Aug 20, 2018 section 80ccc income tax deduction is with respect to the contributions made towards pension plans by an individual. Deductions on investments under section 80c of the income tax act. Income tax deduction under section 80 of income tax act pdf. Section page contents division one 111 income tax act, 1961 page u arrangement of sections i3 u text of the income tax act, 1961 as amended by the finance act, 2011 1. As per the current income tax laws, the total investment amount under sections 80c, 80ccc and 80ccd 1 cannot exceed rs 1.

In this article you may find complete details for how you can avail the benefit of deduction us 80c by investing in the govt schemes. All about deduction under section 80c and tax planning. Know all about new income tax rates, standard deduction, and section 80c. Tax deductions under section 80 of the income tax act. Section 80c deductions on investments you can claim a deduction of up to rs. Income tax deduction under section 80c and 80u in india. This section of the it act, 1961 offers a purview for tax rebates on investments made in the pension funds. Apportionment of income between spouses governed by portuguese civil code. As per this section, if an individual or hindu undivided families hufs invests in or spends on specified avenues then up to rs 1.

Payment towards life insurance policies for self, spouse or children. Section 80c deduction of income tax act, 1961 and deductions under subsections of. You will be able to claim tax deductions under section 80c of the income tax act, 1961, if you invest in any of the following. There would be no treatment of repayment of principal for the purpose of income tax and only the amount repaid as interest on education loan is allowed to be claimed as a deduction while filing the income tax return. This is a short 43 slide power point presentation in pdf which covers all the tax saving sections and investments applicable for tax payers. Section 80u of the income tax act, 1961 includes provisions for tax deduction benefit to individual taxpayers suffering from a disability. Provident fund is automatically subtracted from your monthly salary. Payment towards tuition fees for the education of maximum two children. Sign up on personal fn to get more updates on section 80c. Deductions under section 80c to 80 u of income tax act. These tax deductible expenses can be claimed under section 80c to section 80u of the income tax. Article explains income tax deduction available to individual and huf under section 80c, section 80ccg, section 80d, section 80dd, section 80ddb, section 80e, section 80ee, section 80g, section 80gg, section 80ggb, section 80rrb, section 80tta, section 80ttb and section 80u of income tax act, 1961. An individual or an huf can reduce up to rs 1,50,000 from their total taxable income through section 80c for the financial year 201819. List of tax deductions under section 80 of income tax.

Lets go through all the tax deductions available under section 80 of the income tax act, 1961. However, amount of deduction could not exceed 14% of salary where contribution is made by central government and 10% of salary. The income tax act of india has a part called the section 80c wherein taxpayers can save up to rs 1. As per the persons with disability equal opportunities. Eligible taxpayers can claim deductions to the tune of rs 1. An employee and hisher employer both contribute towards pf. Deduction under section 80d is available basically for two types of payment, namely medical insurance premium including preventive health checkup. As per the provision of section 80c of the income tax act, india, an aggregate sum not exceeding rs. Following general rules should be kept in mind before claiming these deductions under section 80c to 80u. Section 80u deduction under section 80u of income tax act. Section 80c came into force from 1st april, 2006, replacing the earlier section 88 of the income tax act 1961 the section 80ccc for pension contribution is also merged with section 80c.

Section 80c provides for a deduction of savings in specified modes of investments form gross total income. Ppf public provident fund epf employees provident fund. A complete guide on income tax deduction under section 80c, 80ccd1, 80ccd1b, 80ccc. In order to claim tax deduction under section 80u, the individual must be certified as a person with a disability by appropriate medical authority. Any insurer can offer these pension funds and can claim a maximum deduction of rs. Thats how, section 80c was divided into many subsections, one such being section 80ccc. In simple terms, you can reduce up to rs 1,50,000 from your total taxable income, and it is available for individuals and hufs. Sep 20, 2019 deduction under section 80d of the income tax act is available in addition to the deduction of inr 1. Dec, 2018 the most popular tax savings instruments are deduction under section 80c of the income tax act. Proofs for making investments are submitted to the employer before the end of a financial year fy so that 80j employer considers these investments while determining your taxable income and the tax deduction. To reduce your gross total income and thereby your tax liability, you have to enter details of deductions that you want to claim under sections. There is an exhaustive list of deductions under section 80c of the income tax act, 1961.

Income tax deduction under section 80c limit in india. Section 80c of the income tax act allows for deductions up to rs. Apr 15, 2020 income tax deductions section 80c to 80u for tax saving in india updated the most comprehensive guide for all income tax deductions section 80c to section 80u covered in chapter vi a of income tax for the fy 201920 ay 202021. This deduction under section 80e is over and above the rs. The income tax department never asks for your pin numbers, passwords or similar access information for credit cards, banks or other financial accounts through email the income tax department appeals to taxpayers not to respond to such emails and not to share information relating to their credit card, bank and other financial accounts.