A short presentation on Income Tax

1. Subjective Assignment 2 AW
Income Tax :
Saving instruments of An Individual
Dr.Rupali saini
Assistant Professor
Dr.Harisingh Gour University Sagar(M.P.)
Course: (Swayam)UGC MOOC:Acadmic Writing
Application Number: c80e9adce77a11e99670bd5fd00aa9e7

2. An income tax is a tax that governments
impose on income generated by businesses and
individuals within their jurisdiction. By law,
taxpayers must file an income tax return
annually to determine their tax obligations. ...
They are used to fund public services, pay
government obligations, and provide goods for
citizens.

3. Deduction under section 80C, 80CCC and 80CCD (1)
•80 C Life insurance premium, contributions to provident fund,
subscription to National Savings Certificates, tuition fees, repayment
of amounts borrowed for purposes of purchase/ construction of a
residential house
•80CCC available for amount paid or deposited for any annuity
plan of Life Insurance Corporation of India or any other insurer
for the purpose of receiving pension.
• 80CCD(1) Deduction in respect of contribution to pension scheme
of Central Government Please enter the total amount paid or
deposited during the year, in your account under a pension scheme
notified by the Central Government, The aggregate amount of
deductions admissible u/s 80C, 80CCC and 80CCD (1) shall be
restricted to maximum limit of Rs. 1,50,000.

4. Deduction under section 80CCD (1B)
Deduction in respect of contribution to pension
scheme of Central Government Please enter the
amount paid or deposited during the year, in your
account under a pension scheme notified by the
Central Government, which is eligible for
deduction under sub-section (1B) of section
80CCD. The amount eligible under this sub-section
is subject to a maximum limit of Rs. 50,000 and
further condition that no claim should have been
made under subsection (1) in respect of the same
amount.

5. Deduction under section 80CCD (2)
Deduction in respect of contribution of
employer to pension scheme of Central
Government Please enter the amount of
employer‘s contribution paid during the year
to your account under a pension scheme
notified by the Central Government, which is
eligible for deduction under sub-section (2)
of section 80CCD. The amount eligible is
subject to maximum limit of 10% of salary.

6. Deduction under section 80CCG
Deduction in respect of investment made under an
equity savings scheme Please enter the amount of
investment made in listed equity shares or listed
units of an equity oriented fund, notified as Equity
Saving Scheme, which is eligible for deduction under
section 80CCG. The amount eligible is 50% of the
investment made, subject to maximum limit of Rs
50,000/- and further conditions specified therein.

7. Deduction under section 80D
The deductions allowed are as follows:
•For Self and Family: Maximum deduction of Rs.25,000
per year on health insurance premium for self and
family. Maximum deduction of Rs.50, 000 per year if you
are a senior citizen.
•Additional 25000 for parents if they are less than 60
years and 30000 if they are more than 60 Years.
Maximum deduction allowed is Rs. 100000

8. Deduction under section 80DD
Deduction in respect of maintenance including medical
treatment of a dependent who is a person with
disability.
1. Dependent person with disability : The amount
eligible for deduction is subject to maximum limit of
75,000
2. Dependent person with severe disability, in case of
dependent person with disability, and 1,25,000 in case
of dependent person with severe disability.

9. Deduction under section 80E
Deduction in respect of interest on loan taken
for higher education Please enter the amount
paid during the year by way of interest on loan
taken from any financial institution or approved
charitable institution for the purpose of pursuing
higher education of self or relative which is
eligible for deduction u/s 80E.

10. Deduction under section 80EE
Deduction in respect of interest on loan taken for
residential house property Please enter the amount paid
during the year by way of interest on loan taken from any
financial institution for the purposes of acquisition of a
residential property, which is eligible for deduction u/
80EE. The amount eligible for deduction is subject to a
maximum limit of 50,000 during the year.

11. Deduction under section 80G
Deduction allowed for Donation towards Social Causes
There are Different way to calculate deduction of Donation
according to the list as specified by Income Tax Act .Some
deduction entitled for 100% or 50% or 50% of qualifying
amount. This deduction is not admissible for any sum
contributed by way of cash.

12. Deduction under section 80TTA
Deduction in respect of interest on deposits in savings
bank account .The amount eligible for deduction u/s
80TTA is subject to a maximum limit of 10,000 during
the year.

13. Deduction under section 80U
Deduction in case of a person with disability This
deduction can be claimed only by a resident individual
who is certified by the medical authority to be a person
with disability. If you are a person with disability, please
enter the amount eligible for deduction by selecting
the appropriate options: 1. Self with Disability - 75,000
2. Self with Severe disability - 1,25,000

14. Conclusion –
Tax Saving Instruments can help to reduce tax
liability and try to secured future of the
assessed. Practically its not possible for high
income people to reduce their taxable income
to zero. Beyond a certain limit one will still have
some income, which will be taxable.

15. References:
•https://taxguru.in/income-tax/income-tax-
deductions-section-80c-80u.html
•https://www.indiainfoline.com/article/news-
sector-others/tax-saving-instruments-much-
more-than-saving-taxes-113111500280_1.html

16. Acknowledgements
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team of “Academic Writing” who devote
time, effort and energy to supporting online
learners in 15 weeks course .

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