The country’s Finance Minister Nirmala Sitharaman is going to present the budget on February 1 and in such a situation, taxpayers are hopeful that they will get some relief in tax. If you want to save tax, then today we are going to tell you five such ways by which you can save lakhs of tax (Tax Saving Tips). Let us know-
The country’s budget is about to come. Every time there is hope from the budget that there will be some concession in tax. There is hope this time too. But, if something like this happens then tax exemption will be available for the next financial year. If you want to save tax for this financial year, there is still time. If you want to save tax before the end of the financial year, then you have only two months and a few days left. In such a situation, the easiest way is section 80C. But, apart from this, if you want to get tax exemption then there can be other good options. Today we will tell you about such options, where tax saving of up to Rs 4 lakh can be done.
There is a tax exemption of Rs 7 lakh in the new tax regime. But, in the old tax regime, the easiest way to get tax exemption is available only in Section 80C (Tax Saving Section 80C). But, here the discount is available only up to Rs 1.5 lakh. However, there are some options other than Section 80C.
1. Rebate on interest on savings account
Under Section 80TTA of Income Tax, interest received on deposits in savings account comes under the ambit of tax exemption. Tax exemption can be claimed on annual interest up to Rs 10,000. At the same time, senior citizens get tax exemption on interest up to Rs 50,000 annually under Section 80TTB on various savings accounts.
2. National Pension Scheme (NPS)
Tax exemption of up to Rs 50 thousand is available on investing in NPS. This exemption is available in section 80CCD (1B). This means that if your annual income is taxable then you can get a rebate of up to Rs 50 thousand by investing here.
3. Health Insurance (80D)
There is tax exemption on health insurance premium in section 80D of Income Tax. Who is included in the policy, what is their age, you can claim tax exemption from ₹ 25,000 to ₹ 1 lakh. You can claim Rs 25000 each for yourself and your parents.
4. Home Loan (80EE)
There are two types of tax exemptions available on home loan repayment. There is tax exemption up to ₹ 1.5 lakh under 80C on the principal amount. At the same time, under Section 24, there is tax exemption on interest up to a maximum of ₹ 2 lakh. Apart from this, the government gives additional exemption on home loan interest under Income Tax Section 80EE to those buying their first house. There should not be any other house in your name. Under this section you can claim additional tax up to Rs 50,000. The condition is that the price of the property should be less than Rs 50 lakh and the loan should be Rs 35 lakh or less.
5. Exemption on donation to charitable institute
If you do charity, you can save tax on this also. Exemption on charitable amount can be claimed under Section 80CCC of Income Tax. Donation made to a recognized charitable institution comes under the ambit of tax exemption. However, exemption is not available on the entire donation. You can avail tax exemption on amounts more than Rs 200.
