If your taxable income does not exceed Rs 5 lakh after all the disconnection, you will not have to pay any tax. There are several methods available to reduce your taxable income. It's different than the terms are associated with them. These can help you reduce your tax liability. Let us know about them here.
Section 80TA does not create any tax liability on interest up to Rs 10,000 earned from savings account. As per section 80D, there is a tax exemption for yourself and your family on a premium of up to Rs 25,000 for medical insurance. Parents get a discount of Rs. 25,000 on payment of premium of such cover. If parents are over 60 years of age, the exemption is up to Rs 50,000.
Section 80E is available for a waiver on interest payment of education loan for itself or any of its dependents. This method can be used for a maximum of eight financial years. As per section 80G, If you don't get an HRA, you can get the amount reduced by Rs 5,000 a month or 25 percent of income or 10 percent of income. Section 80G can obtain donations given to recognized institutions as a method. Can't pay in a donation cash of more than Rs 2,000.
Tax exemption is available on payment of loan interest up to Rs 1.5 lakh for purchase of section 80EB electric vehicle. According to section 80DD and 80U, If the taxpayer has any disability, he can make a deposit of up to Rs 75,000-1.25 lakh. Section 80DDB, If a particular illness is being treated by a taxpayer or a person dependent on him, tax exemption up to Rs. 40,000 is available. In the case of senior citizens, it is Rs. 1 lakh.
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