Income Tax Deductions F.Y. 2016-17

 

Section 80 C, 80CCC, 80CCD:-Maximum Deduction Rs.150000

The maximum tax exemption limit under this section is Rs.1.5 lakh only. This 1.5 lakh is aggregate amount. It means if the total of all investments is Rs. 2 Lakh the tax deduction would be available only on 1.5 lakhs. Both individuals and Hindu undivided families (HUF) eligible for these deductions. There are many instruments in which investments can be made are as follows.

  •  Life Insurance,ULIP,Pension Plan
  • Home Loan Principal,Stamp Duty & Registration charges for home purchase agreement
  • Employee Provident Fund/Public Provident Fund
  • Mutual Funds
  • Tuition Fees
  • Subscription in Any notified bonds in NABARD
  • Deposit in Senior Citizen Scheme
  • 5 year Time Deposit under post office
  • Fixed Deposit of 5 year
  • National Saving Certificate

Section 80 D : Deduction for Premium paid for Medical Insurance.

             Scenarios  

    Health Insurance Premium Paid

 

 

Total Deduction under Section 80D

Self, Spouse & Dependent Children   Parents (whether dependent or not)
Tax Payer & his family member has not attained 60 years of age  Up to Rs 25000    Up to Rs 25000  Rs.50000
The eldest member in family (yourself, spouse & Dependent children is less than 60 years & your parents are above 60 years of age     Up to Rs 25000      Up to Rs 30000 Rs.55000
The eldest member in family (yourself, spouse & Dependent children has attained  60 years & your parents are above 60 years of age Up to Rs 30000  Up to Rs 30000 Rs 60000

   Deduction U/s 80 U person with disability & severe disability

              Taxpayer       Dependents Maximum Amount of             Deduction
          Individual Less than 60 years                40000
          Individual Senior Citizens                60000
          Individual Very Senior Citizen                80000

Deduction U/s 80 U person with disability & severe disability

     Taxpayer         Disability Maximum Amount of       Deduction
     Individual Normal disability              75000
     Individual Severe disability            125000

Other Deductions

           Section Criteria/Conditions Maximum Deduction
        Section 24 (B ) Tax benefit on loan repayment of second house

Unclaimed loss if any will be carry forward to be set off against house property income of subsequent 8 years

      Rs.200000
        Section 80E Education Loan for higher secondary studies for you, spouse and children. Principal repayment cannot be claimed No limit on the amount of interest & deduction is available for maximum 8 years or till interest is paid whichever is earlier.
        Section 80G Contributions made to certain relief funds and charitable institutions .Only claim

When contribution has been made via cheque or draft.

 

 

Deduction is not applicable in case donations is done in form of cash for amount more than Rs.10000/-
        Section 80GG This section is applicable for those individuals who do not own residential house & do not receive HRA          Rs.60000
        Section 80TTA In respect of Saving Bank account interest         Rs.10000