Saturday, April 9, 2011

Exemptions for Investments:

Exemptions for Investments:

Section 80C
Exemption you can claim up to Rs. 1 lakh via:
(Employee Provident Fund (EPF), Public Provident Fund (PPF)- up to Rs.70,000 per annum, National Savings Certificate (NSC), 5-year bank fixed deposits, Life insurance policies, Equity-Linked Savings Schemes (ELSS), Unit Linked Insurance Plans (ULIPs), school fees, and home loan principal repayment.)
Additional Rs. 20,000 exemption for investment in Recognised Infrastructure Bonds under Section 80CCF

Section 80D
If you have taken a medical insurance plan for yourself, your spouse, dependant parents or children, you can claim deductions up to Rs 15,000 (and additional Rs.15,000 for your parents’ medical insurance) under Section 80D for the premiums paid. The limit now has been enhanced to Rs 20,000 for senior citizens on the condition that the premium is paid via cheque.

Section 80DD
Expenses on the medical treatment of a dependent with a disability qualifies for tax benefits under Section 80DD. In this case, deductions up to Rs. 50,000 or 75.000 can be claimed based on the severity.

Hope this will prove to be of some help.

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