Section 80C and its allied sections allow a maximum deduction of up to Rs. 1.5 lacs every year from the taxpayer’s total income and an additional deduction amount of Rs. 50,000 can be claimed under Section 80CCD(1b).
By way of putting restrictions on cash transactions, the Government is able to collect more taxes as well as avoid tax evasion.
Filing of Income Tax Return is not just a statutory compliance for the taxpayers but it also a way of informing the Government about the total income that the taxpayer has earned during a relevant financial year and that he has paid the tax on that income.
The Union Budget, 2020 amended Section 194N related to TDS on cash withdrawal from savings/current bank account. As per this amended Section, if an assessee has not filed Income Tax Return (ITR) for the last three financial years, then cash withdrawal from his/her savings or current bank account will attract TDS if the total amount withdrawn in a financial year exceeds Rs 20 lakh / Rs. 1 crore
health insurance policies not only prevent us from unforeseeable situations (like COVID-19) and expenses, but also helps in saving taxes by the way of provisions of Income Tax Act.
Financial Year is different from the Assessment Year. Financial Year is the year in which income earned and Assessment Year is the year in which income is assessed and taxed.
We all know that through investing in Public Provident Fund scheme (PPF), one can claim deduction of upto Rs. 1.5 lacs under Section 80C of the Income Tax Act. But …
On consideration of difficulties reported by the taxpayers and other stakeholders in filing of Income Tax Returns and various reports of audit for the Financial Year 2020-21 | Assessment Year 2021-22 under the Income-tax Act, 1961, Central Board of Direct Taxes (CBDT) has decided to further extend the due dates for filing of Income Tax Returns and various reports of audit for the Assessment Year 2021-22.
Section 80U is a deduction meant for the disabled person. This section provides a flat deduction on the gross total income of the individual on the basis of severity of disability of the disabled person. Further, this deduction is not dependent on the amount of the expenditure.
Section 80TTB was introduced in the Income Tax Act through the Union Budget, 2018 and is applicable from the Financial Year 2018-2019. Through this provision, the citizens can claim a specified amount as a deduction from their respective gross total income.