2. Introduction
Who should file tax returns
Aged < 60 years – Having taxable income of more than Rs.2,50,000
Aged > 60 years – Having taxable income of more than Rs.3,00,000
Deadline for filing tax returns is 31st July 2022
Belated tax filing return date is 31st Dec 2022, with a fine of Rs.5,000
Tax filing portal
https://eportal.incometax.gov.in/iec/foservices/#/login
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3. Sec 80C
Maximum Limit of Rs. 1.5 Lakhs
School Fees (Tuition fees only) of kids
Repayment of Housing Loan (Principal Portion)
Investments in
Employee Provident Fund
Public Provident Fund
ELSS Mutual Funds
National Pension Scheme
Insurance
Sukanya Samriddhi Yojana
National Saving Certificate
Fixed Deposit with maturity period of 5 years
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4. Sec 80CCD(1B)
Contribution towards National Pension Scheme (NPS)
Over and above the Sec 80C limit of Rs. 1.5 Lakhs
Additional 50K deduction from taxable income
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5. Sec 80D
Self & Family (Aged < 60 Years) – Rs. 25,000
Self & Family (Aged > 60 Years) – Rs. 50,000
Parents (Aged < 60 Years) – Rs. 25,000
Parents (Aged > 60 Years) – Rs. 50,000
Additional Points:
Preventive Medical Check up – Rs. 5,000 subject to the Rs. 25,000 or Rs.
50,000 limit based on the age
For super senior citizens (>80 years), not covered under any medical policy,
exemption of Rs.50,000 is available for medical check ups and treatments
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6. Sec 80DDB
Aged < 60 Years – Rs. 40,000
Aged > 60 Years – Rs. 1,00,000
Specific Illness
Neurological Diseases where disability level
has been certified to be 40% & above:
• Dementia
• Dystonia Musculorum Deformans
• Motor Neuron Disease
• Ataxia
• Chorea
• Hemiballismus
• Aphasia
• Parkinsons Disease 46
Malignant Cancers
Full Blown Acquired Immuno-
Deficiency Syndrome (AIDS)
Chronic Renal Failure
Hematological disorders:
• Hemophilia
• Thalassaemia
Treatment of Specific Illnesses
7. Sec 10(13A)
House Rent Allowance (HRA)
Least of the below is the eligible amount for HRA deduction from taxable income
40% (Non-Metro City) or 50% (Metro City) of basic salary
Actual HRA received
Rent paid over and above 10% of basic salary
Note:
If rent paid is above 1 Lakh, providing house owners PAN is mandatory
Rent paid to parents can also be claimed under this section
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8. Sec 80GG
Deduction for Rent Paid
If an individual doesn’t receive HRA from employer and make payment towards rent for
accommodation occupied by him/her.
Lowest of the below:
Rs. 5,000 Per month
25% of the total income (Excluding LTCG and STCG and deductions under Sec 80C & 80U
Actual Rent less 10% of income
Conditions:
Individual should be either Self-employed or Salaried
Individual or his/her spouse or his/her minor child shouldn’t own any residential
accommodation
Individual hasn’t received HRA during the FY
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9. Sec 80U
•
Hearing
impairment
•
Autism
•
Cerebral
Palsy
•
Mental
illness
Deduction of income for the specially abled person
Person with severe disability – Rs. 1,25,000
Person with disability – Rs. 75,000
Disabilities Covered
• Locomotor disability
• Low vision
• Blindness
• Leprosy cured
• Mental retardation
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• Hearing impairment
• Autism
• Cerebral Palsy
• Mental illness
10. Sec 80DD
•
Hearing
impairment
•
Autism
•
Cerebral
Palsy
•
Mental
illness
Supporting dependent specially abled person
To assist tax payee to support medical, training and rehabilitation of dependent
specially abled person in the family.
Person with severe disability – Rs. 1,25,000
Person with disability – Rs. 75,000
Disabilities Covered
• Locomotor disability
• Low vision
• Blindness
• Leprosy cured
• Mental retardation
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• Hearing impairment
• Autism
• Cerebral Palsy
• Mental illness
11. Sec 80E
•
Hearing
impairment
•
Autism
•
Cerebral
Palsy
•
Mental
illness
Interest Paid towards Education Loan
Total interest portion of the EMI paid during the Financial Year
No upper limit is applicable
Deduction is available only for 8 years starting from the year in which an individual
start repaying the loan
Parents can claim this deduction for the loan taken for higher studies of their children
Conditions:
Loan should have been availed for higher education of self, spouse or children or a
student for whom the individuals is a legal guardian
Should be availed from any bank or financial institution or approved charitable
institutions
Note: No tax benefit is available towards principal repayment
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12. Sec 24
•
Hearing
impairment
•
Autism
•
Cerebral
Palsy
•
Mental
illness
Property Tax
Municipal tax paid during the year can be deducted from the “Gross Annual Value” of the
rented house property to arrive at “Net Annual Value”
Sec 24(a) Standard Deduction
30% of the “Net Annual Value” of the house property let out on rent
Sec 24(b) Interest on Home Loan for Self Occupied Property
Rs. 2,00,000 or interest paid in the financial year, whichever is lower if it is a Self
Occupied Property
Entire Interest amount paid in the financial year, if the property is on rent
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13. Sec 80EEA
•
Hearing
impairment
•
Autism
•
Cerebral
Palsy
•
Mental
illness
Under the objective “Housing for all”, Govt of India is providing additional relief to tax payers
allowing interest deduction of Rs.1,50,000. This is over and above the Sec 24(b) limit of
Rs.2,00,000
Conditions:
Loans should have been availed between 1st April 2019 and 31st Mar 2022
Housing Loan must be taken from a financial institution or a housing finance Co. for buying
a residential house property
Stamp duty value of the house property should be Rs.45,00,000 or less
The tax-payer should be a first time home buyer and should now own any residential
house property as on the loan sanction date
The tax payer should not be claiming any deduction under existing Sec 80EE
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14. Sec 80TTA & Sec 80TTB
•
Hearing
impairment
•
Autism
•
Cerebral
Palsy
•
Mental
illness
Sec 80TTA – Exemption of Interest Income for tax payer below 60 years
Interest Income up to Rs.10,000 is exempted (All accounts put together)
Interest Income from only Saving Bank (Banks, Co-op Society & Post office) is exempted
Interest earned in NRO Savings account up to Rs.10,000 can also be claimed
Sec 80TTB – Exemption of Interest Income for tax payer above 60 years
Interest Income up to Rs.50,000 is exempted
Interest Income from Savings Bank and Fixed deposits (Bank, Co-op Society & Post Office) is
eligible for exemption
NRI’s are not eligible for claiming exemption under this section
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15. Sec 80G, 80GGA & 80GGC
•
Hearing
impairment
•
Autism
•
Cerebral
Palsy
•
Mental
illness
Sec 80G – Donations made to a charitable organisation
Donations above Rs.2,000 made in cash is not eligible for exemption
Either 100% or 50% of the donation, with or without qualifying limit, is eligible based on to
whom the donation is made.
Sec 80GGA – Donations made towards scientific research or rural development
Donations above Rs.2,000 made in cash is not eligible for exemption
100% of the amount donated
Sec 80GGC – Donations made towards Political Party or Electoral Trust
100% of the amount donated
Only Non-cash transactions are eligible for exemption
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16. Taxation – Points to remember
Declare income earned in the previous organisation to the new
organisation
Advance tax to be paid before the FY end
File your tax returns within the due date
Claim your expenses during the time period provided by your employer
Ensure all incomes are declared (Dividend, Interest, Rent, etc.,)
Leave encashment might have been taxed, please calculate the exemption
and claim the same during tax returns filing
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