Section 80C has been inserted with effect from assessment year 2006 – 07 onwards to provide income tax deduction in respect of specified qualifying amounts paid and deposited by the tax payer during the financial year (previous year). Who is eligible for Income Deduction under section 80C IT Deduction under section 80C is available to; An individual or a Hindu … [Read more...] about All About Section 80C – Income tax Deduction
Archives for July 2013
How to clear Open items in SAP FI
Open items are incomplete transaction in SAP like invoices that have not yet been paid and such open items are needed to be cleared to get completed. The transaction is cleared when the resulting balance of a particular transaction is zero i.e. when the open item gets an equal opposite entry in SAP. An open item not cleared can not be archived and will stay in the system until … [Read more...] about How to clear Open items in SAP FI
How your minor Childs income is taxable in India – Section 64 (1A) of IT Act, 1961
Income of a minor child is clubbed in the hands of parent. However, if it arise from manual work or from any activity involving his talent or specialized knowledge and experience and such amount generated by a minor child who is suffering from any disability of the nature specified in section 80U then it will not be included in the hands of his parents. If income of minor … [Read more...] about How your minor Childs income is taxable in India – Section 64 (1A) of IT Act, 1961
What is Clubbing in Income tax – Section 64 of IT Act
Taxpayers having huge taxable income are sifting a portion of their income it another persons who have lower taxable income to reduce tax liability. This practice is achieved either by transferring profit generating assets or by sifting revenue generating capacity to certain family members. To tackle this type of issues, IT department has clubbing provisions from section 60 to … [Read more...] about What is Clubbing in Income tax – Section 64 of IT Act
FAQ on Medical Treatment of Handicapped Dependent – Section 80DD of Income Tax Act, 1961
I am a salaried person living in Bangalore. During the financial year I have incurred medical expenses of Rs. 10,800 for the medical treatment of my only handicapped dependent son (disability of low vision). Is there any income tax benefit available for such expenditure? Medical expenses for handicapped dependent children are allowed as income tax deduction under section … [Read more...] about FAQ on Medical Treatment of Handicapped Dependent – Section 80DD of Income Tax Act, 1961
Section 80DD – Tax Benefits On Medical Treatment of Handicapped Dependent
Medical expenses incurred by an individual is eligible for various income tax deductions under different sections of Income Tax Act, 1961. One of such section is called section 80DD. Medical expenses for treatment of a dependent who is a person with disability is eligible for income tax deduction under section 80DD if it meets all the conditions as specified in this section … [Read more...] about Section 80DD – Tax Benefits On Medical Treatment of Handicapped Dependent
Section 80DDB – Income Tax benefit for your Medical Treatment
Section 80DDB is applicable to an individual and HUF with effect from 1st April 2004. Under Section 80DDB, an individual or HUF can claim tax deduction up to a maximum amount of Rs 40, 000 for medical treatment expenses paid during the previous year. In the case of senior citizen the tax deduction amount can go up to Rs 1,00, 000. Who is eligible for tax deduction on … [Read more...] about Section 80DDB – Income Tax benefit for your Medical Treatment
Section 80E – Tax deduction on Education loan for higher studies
You as an individual can claim tax deduction under section 80E if your education loan is taken for higher studies of self, spouse, children or a student for whom you are the legal guardian. Remember, loan can be taken for higher studies of; To claim tax deduction under section 80C, education loan must be in the name of the assessee. If its taken for higher studies of … [Read more...] about Section 80E – Tax deduction on Education loan for higher studies
Section 80TTA – Income Tax benefits for Interest on Deposit in Saving Account
A new section 80TTA has been inserted with effect from assessment year 2013-2014. Section 80TTA provides a deduction of up to Rs 10, 000 in aggregate to an individual or a Hindu undivided family in respect of any income by way of interest received on deposit (not being time deposits) in a savings account of banks, cooperative banks and post office. Tax deduction under … [Read more...] about Section 80TTA – Income Tax benefits for Interest on Deposit in Saving Account
Income tax deduction for disabled individuals – Section 80U
An individual suffering a disability can claim tax deduction under section 80U of the Income tax act, 1961. In this article, we will be discussing what are the tax benefits an individual with disability can claim and what are the conditions such person has to satisfy before claiming tax deduction. Who can take benefit of tax deduction under section 80U? As per the … [Read more...] about Income tax deduction for disabled individuals – Section 80U