Income tax department provides tax exemption benefit under which sections in ITR?

ITR: Common people always try to save some of their hard earned money in taxes. But sometimes, we are not aware of all the standard deductions available and end up paying more tax than expected. You must have heard about Section 80C and Section 80CCC for tax exemption while you are getting life insurance. But there are actually other streams that help reduce your taxable income that many people don't know about. Let us know about these streams. What is Section 80C and 80CCC? Individuals and joint families in India can claim tax exemption up to Rs 1,50,000 on taxable income by investing in certain tax saving instruments under Section 80C of the Income Tax Act. In addition, tax exemption is available for annuity schemes and pension funds of public insurance companies under section 80CCC covering the requirements mentioned in section 10(23AAB). Both resident and non-resident Indians are eligible for these exemptions, but not Hindu Undivided Families (HUFs). Pension plan contributions up to Rs 1,50,000 can be deducted. Surrender value, bonus and interest are taxable. Also Read: Petrol-Diesel: Know Latest Petrol Diesel Prices, Income Tax Exemption on These Investments The investment is tax-deductible. Additionally, investments in ELSS funds, infrastructure bonds, life insurance premiums, NSC, children's tuition fees, mortgage principal and post office fixed deposits can avail tax benefits under Section 80C. What comes under Section 80CCD? Section 80CCD provides tax benefits for government pension schemes like NPS and APY: 80CCD (1) Applies to all individuals and allows deduction of up to 10% of salary or gross income. 80CCD (2) is for employer's contribution towards NPS, the limit of which is 10% of salary or Rs. 1 lakh. 80CCD (1B) was introduced in 2015 and provides NPS contributors with Rs. 50,000 provides an additional exemption which, combined with other categories, gives a maximum of Rs. 2 lakhs is allowed to be deducted. Understanding these sections can help you reduce tax payments and save for future financial needs. Also Read: Budget: Middle class can get relief in this budget, know what's special for common man in this list The post Income tax department gives tax exemption benefit under which sections in ITR appeared first on Prabhat Khabar.