Investment Proof: With the beginning of the financial year you are asked to declare your tax investments, and around December-January you have to provide investment proof for the same.
Investment Proof: It is the month of December-January and the time is coming for salaried professionals to submit their investment proof. Companies ask for investment proof during this time. With the beginning of the financial year you are asked to declare your tax investments, and around this time you have to provide investment proof for the same. Based on your investment declaration, your company calculates how much TDS (tax deducted at source) will be deducted. Generally, companies ask to submit investment proof by January 15.
Why is investment proof required to be submitted?
Based on your income, the company deducts TDS from your salary and deposits it with the tax department. This deduction is based on your investment declaration. Now since this deduction is correct and valid, your company asks for investment proof from you. It is not necessary that the company has to submit it to the tax department, they can also ask for proof from you to verify the details as they have to adjust TDS before the end of the financial year. If you do not submit proof, more money is deducted from your salary and tax exemption is not available.
Which documents need to be given?
You have to provide such documents as investment proof, which give details of all your investments and expenses. With this you can get tax exemption.
1. Insurance:
If you pay the premium of an insurance policy, you can show the premium receipt of life insurance, ULIP and health insurance as investment proof, on which you get tax exemption.
2. Mutual Fund:
If you invest in mutual funds then show this also. You can show the receipt of deposit of money in equity linked scheme.
3. Small Savings Scheme:
If you invest in small savings schemes like Public Provident Fund, then show investment proof of this also. For this you can show your receipt from post office or bank.
4. Loan:
If you are paying a loan, then you can show a copy of your loan document for this also.
5. Tuition Fees:
If you have children and you are giving them tuition, then you can show the receipt of fees for this, you get tax exemption on this also.
6. LTA i.e. Leave Travel Allowance:
If you have traveled somewhere, you can also avail leave travel allowance by showing your ticket.
7. HRA i.e. House Rent Allowance:
Giving rent receipt is also very common. If you live on rent then you can save tax by giving rent receipt.
We have taken all measures to ensure that the information provided in this article and on our social media platform is credible, verified and sourced from other Big media Houses. For any feedback or complaint, reach out to us at businessleaguein@gmail.com
