None
Skip to mainDeduction u/s 80C | 1,50,000 |
Deduction u/s 80CCD | 50,000 |
Deduction on account of interest on house property loan (Self occupied property) | 2,00,000 |
Deduction u/s 80D on health insurance premium | 25,000 |
Exemption of transport allowance | 19,200 |
Total | 4,44,200 |
This figure is not the tax benefit, but the maximum deductions possible. The benefits depend on which tax slab one belongs to. In the 10.3% tax bracket it will be saving of Rs 45,752.6. In the 20.6% tax bracket tax savings will be Rs 91,505.2 and in the 30.9% it will be Rs 1,37,257.8.
The statement FM made was as if the benefit was given in this budget. All these tax deductions have been around for a while. This year, the deduction on health insurance premium has been increased by Rs 10,000 Rs 25,000. A deduction of Rs 50,000 was added for investments made into the New Pension Scheme. The transport allowance allowed as an exemption has been increased by Rs 9,600 to Rs 19,200. These figures sum up to Rs. 79,200. This will yield a tax benefit of only Rs. 8158, Rs. 16315 and Rs. 24472 for the 10.3%, 20.6% and 30.9% tax slabs
In the last year's budget deduction allowed under Section 80 C was increased from Rs 1 lakh to Rs 1.5 lakh and the deduction allowed for interest being paid on a home loan for self occupied property was increased from Rs 1.5 lakh to Rs 2 lakh.
The extra deductions in the last two budgets is Rs 1,69,600 .(Rs 50,000 extra for Section 80C + Rs 50,000 extra for investing in NPS + Rs 50,000 extra for interest paid on a home loan + Rs 10,000 extra on health insurance premium + Rs 9,600 extra on transport allowance). For those in the 10.3% tax bracket this works out to a savings Rs 17,407. For those in the 20.6% it will be Rs 34,814 and Rs 52,221 for those in 30.9% bracket.
The stated benefits are if you are availing all deductions . i.e. you have a medical policy with premium 25,000/- , you have taken home loan and paying interest of Rs. 2 lakhs and above, have made savings of 1.5 Lakhs and you NPS contribution is above Rs. 50,000.
🕑 24 Mar, 2024 08:01 AM
Minutes of the DC/JCM (Railways) and Staff Side Meeting held on 15-16 Feb
🕑 20 Mar, 2024 09:23 AM
Pensioners Samaj on discrematory nature of railway Notional Increment order
🕑 20 Mar, 2024 09:14 AM
BSNL non-executive staff wage revision: Record of Joint Committee discussion
🕑 19 Mar, 2024 10:36 AM
50% for CDA pattern employees of CPSEs in 7th CPC pay
🕑 18 Mar, 2024 01:16 PM
Changes in Reimbursement of Children Education Allowance as per NEP 2020
🕑 18 Mar, 2024 01:13 PM
Holiday declare for 14th April, 2024 – Birthday of Dr. B.R. Ambedkar
🕑 18 Mar, 2024 01:04 PM
Revised Flexible Complementing Scheme for Scientists
🕑 15 Mar, 2024 09:33 AM
Dearness Relief to Central Government pensioners from January 2024
🕑 14 Mar, 2024 02:07 PM
Govt bans 18 vulgar 18 OTT. See the list here
🕑 08 Mar, 2024 01:49 PM
Pension Scheme Gains Traction Across States, Despite Central Hurdles
🕑 20 Feb, 2024 11:17 PM
CGHS rate for general surgery applicable from February 1, 2024
🕑 08 Feb, 2024 10:19 AM
No loan interst change as RBI maintains repo rate at 6.50% for the 6th time
🕑 07 Feb, 2024 08:28 PM
The Evolving Role of Pay Commissions in India: Mandatory or Myth?
🕑 05 Feb, 2024 03:50 PM
How much you take home increase after DA hike?
🕑 03 Feb, 2024 07:59 PM
Guaranteed Benefits in NPS: Election Gambit or Endgame for Retirees?
🕑 03 Feb, 2024 07:46 PM
Budget 2024. Benefit up to ₹ 25000. One in eight taxpayers to benefit