Sunday, 1 March 2015

How You Can Save Rs. 4.44 Lakh in Taxes Per Year



Finance Minister Arun Jaitley on Saturday said an individual tax payer will get tax benefit of Rs. 4,44,200 after taking into account the tax concession given to middle class tax payers in the last Budget and this Budget.
Here is the mathematics behind Mr Jaitley's statement:
Deduction under Section 80C is Rs. 1.50 lakh
Deduction under Section 80CCD is Rs. 50,000
Deduction on account of interest on house property loan (Self occupied property) is Rs. 2 lakh
Deduction under section 80D on health insurance premium Rs. 25,000
Exemption of transport allowance is Rs. 19,200

Rs. 1.50 lakh + Rs. 50,000 + Rs. 2 lakh + Rs. 25,000 + Rs. 19,200 = Rs. 4,44,200

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