Tax Saving: FY 2024-25 is about to end. If you have not yet done tax saving for this financial year, then you can do so till 31 March 2025. If you have adopted the old income tax system, then under the rules of Income Tax Act, tax liability can be reduced by taking advantage of tax deduction. In the new income tax system, the taxpayer is getting only the benefit of only a few tax deals. If the matter is going on, it is considered to be the most popular section 80C. Most of the taxpayers first and the most do deduction claims under this section. Let’s know the complete details of tax benefits received under Section 80C … What savings instruments are covered news, under section 80C under Section 80C, a taxpayer maximum can do tax deduction on investment up to Rs 1.5 lakh under Section 80C. This section takes advantage of individual taxpayers and Hindu ignorant family (HUFS). Investment options on which tax deductions are received under section 80C, in life insurance premium, ELSS, EPF Contribution, VPF Contribution, Contribution in LIC’s annuity plan, investment in NPS, deposits in PPF (Public Provident Fund) deposited, deposited in tax sever FD, deposits in Tax Sever FD, The Senior Citizen Savings Scheme includes deposits, NSC deposits, ULIPs, children’s tuition fees, NABARD bonds, subscription to select equity shares and repair of principal amount of home loan. To know about the section 80CCCCCCCD to know about 80C. Without them 80C is considered incomplete. This section of the Aayakar Act offers tax deduction on investment in any annuity plan of LIC or any insurance company. Annuity means pension. Plan to claim this deduction should be a pension giver. The total amount or bonus including interest on the pension or surrendering of this plan from the annuity plan comes under the purview of income tax. Section 80CCD (1): This sub-section offers tax deduction on deposits in the pension account under the Central Government’s pension scheme. The salary employee can claim deduction by depositing up to 10 percent of his salary in a pension account, which is a maximum of Rs 1.5 lakh. It is said that under section 80C, 80cccc and 80ccCCD (1), a tax deduction of more than 1.5 lakh rupees can not be made total. Section 80CCD (1b): Through the Section 80CCD (1b) By depositing in NPS account, you can take advantage of tax deduction up to Rs 50000. Out of NPS’s maturity amount, 60 percent of the lump sum is tax free but the monthly annuity income is taxbell. Section 80CCD (2): Employee can also claim tax deduction under section 80CCD (2) at the Employer Contribution in NPS. This is equal to 10 percent of the salary. As part of the new income tax system, effective from 1 April 2020, salary employees can claim tax deduction under section 80CCD (2) on the contribution to their NPS account.
