Investment Document for Tax Exemption

Chapter VI A

Under Section 80 C

  1. Life Insurance Premium receipts
  2. Differed Annuity receipts
  3. N.S.C. Accrued Interest receipts
  4. Provident Fund contrition receipts
  5. Receipt of Term Deposit for 5 year or more with scheduled bank
  6. Receipt of Public Provident Fund contribution
  7. Receipt of Senior citizen saving scheme deposit
  8. Receipt of Contribution made to superannuation fund
  9. Receipt of Tuition fees
  10. Receipt of Investment in Debentures / Shares of Companies as approved by CBDT
  11. Receipt of Time Deposit for 5 year with Post Office
  12. Receipt of Subscription towards Mutual Fund units
  13. Receipt of Principal Repayment of housing Loan/Stamp duty, registration fees & other expenses .for purchase of such house property
  14. Receipt of Subscription to notified deposit scheme
  15. Receipt of Subscription to notified deposit scheme of National Housing Bank
  16. Receipt of Contribution made to Unit Linked Insurance Plan
  17. Others relevant receipts

Section 80 CCD(1B)

Section 80CCD1B of the Income Tax Act was brought into the ambit of section 80 CCD with effect from April 1, 2016. According to the Income Tax Act, all individuals who are eligible for claiming tax deduction under section 80CCD 1 can claim an additional deduction of Rs 50,000 for their contribution to pension schemes.

Section 80 CCD(1B) : The 80CCD1B limit is Rs 50,000. This is an additional benefit.

Section 80CCD of the income tax act deals with deductions offered to individuals contributing to the NPS. As per Section 80CCD, until the year 2015, an individual was eligible to claim an income tax deduction of up to Rs. 1 lakh against contributions made to the NPS. In the budget for the year 2015, the government enhanced the maximum amount payable to the NPS to Rs. 1.50 lakh per annum. Additionally, a new sub-section 1B was also introduced, which offered an additional deduction of up to Rs. 50,000/-for contributions made by individual taxpayers towards the NPS.

The additional deduction of Rs. 50,000/- under Section 80CCD(1B) is available to assess over and above the benefit of Rs. 1.50 Lakhs available as a deduction under Sec 80CCD(1). Thereby, raising the maximum limit of exemption to Rs. 2.00 Lakhs with Section 80CCD(1) + Section 80CCD(1B).

Donation 80 G

Below donations are eligible for 100% deduction in income tax without qualifying limit:

  • National Defense Fund set up by the Central Government
  • Prime Minister’s National Relief Fund
  • National Foundation for Communal Harmony
  • An approved university/educational institution of National eminence
  • Zila Saksharta Samiti constituted in any district under the chairmanship of the Collector of that district
  • Fund set up by a State Government for the medical relief to the poor
  • National Illness Assistance Fund
  • National Blood Transfusion Council or to any State Blood Transfusion Council
  • National Trust for Welfare of Persons with Autism, Cerebral Palsy, Mental Retardation, and Multiple Disabilities
  • National Sports Fund
  • National Cultural Fund
  • Fund for Technology Development and Application
  • National Children’s Fund
  • Chief Minister’s Relief Fund or Lieutenant Governor’s Relief Fund with respect to any State or Union Territory
  • The Army Central Welfare Fund or the Indian Naval Benevolent Fund or the Air Force Central Welfare Fund, Andhra Pradesh Chief Minister’s Cyclone Relief Fund, 1996
  • The Maharashtra Chief Minister’s Relief Fund during October 1, 1993 and October 6, 1993
  • Chief Minister’s Earthquake Relief Fund, Maharashtra
  • Any fund set up by the State Government of Gujarat exclusively for providing relief to the victims of the earthquake in Gujarat
  • Any trust, institution or fund to which Section 80G(5C) applies for providing relief to the victims of the earthquake in Gujarat (contribution made during January 26, 2001, and September 30, 2001) or
  • Prime Minister’s Armenia Earthquake Relief Fund
  • Africa (Public Contributions – India) Fund
  • Swachh Bharat Kosh (applicable from FY 2014-15)
  • Clean Ganga Fund (applicable from FY 2014-15)
  • National Fund for Control of Drug Abuse (applicable from FY 2015-16)

Watch this video

Leave a Comment

Your email address will not be published. Required fields are marked *