Admissible deductions under Section 80C
By Joseph Samson
Print    Email    RSS   

The tax season is back again and the common man is gearing up to look into all possible avenues to save tax. Exemptions under section 80C of the Income Tax Act are some of the most popular avenues known to people for saving Income Tax.

Investments upto Rs 1 lakh are considered to be tax exempted under this section. However, many people are not aware of the different categories under Section 80C in which they can invest and get returns along with saving themselves from being taxed.

Investments which are exempted from tax under Section 80C:

•Premium paid towards life insurance policy or any Unit Linked Insurance Plan (ULIP)

•Any contribution made towards a statutory or recognized Provident Fund. Contributions towards employee provident fund (EPF) as well as Public Provident Fund (PPF) are tax exempted.

•If a person makes investment in a recognized retirement/superannuation fund, then such a contribution is also considered tax exempted.

•Investments under Equity Linked Savings Schemes (ELSS) of certain mutual funds or Unit Trust of India are also exempted from tax under this section. However, investment in only selected ELSS funds is eligible for exemption under section 80C. Eg: SBI Magnum Tax Gain, HDFC Long term advantage etc.

•Any investment National Savings Certificate (NSC) is also exempted from tax under Section 80C.

•Any home loan scheme under National Housing Bank is tax exempted.

•Tuition fees for upto two children by person.

•Subscription towards bonds issued by National Bank for Agriculture and Rural Development (NABARD).

•Post office Time deposit of lock in period of 5 years is also eligible for exemption from tax.

•Any deposit made under the Senior Citizen Saving Scheme Rules, 2007.

•The principal amount of the EMI (Equated Monthly Installment) for a home loan is eligible for deduction under Section 80C.

•Shares and debentures of those public sector companies involved in priority sectors like telecom and infrastructure are also provided for exemption from tax.


(Comments Posted : 17) Post Your Comments
1. domperidone breast milk jack newman best fairness lotion for body
Awohihoz (Posted: Sep 2, 2017)
2. simultaneous estimation of cinnarizine and domperidone azo uti pain relief
Aguraber (Posted: Aug 27, 2017)
3. domperidone and high prolactin levels list of medications for migraines
Achinadad (Posted: Aug 23, 2017)
Show All Comments
 Select a product:

 Select a product:

The home loans interest rate story: The...
Are you ready to file your taxes? Please...
A chronicle of excesses by loan recovery...
Can we claim tax benefits on home loan and...
Carnival of Indian Personal Finance Blogs #1

PINJORE: CaℒL Giℛℒs In PiNjOrE 09915787550...
PINJORE: CaℒL Giℛℒ In PiNjOrE 09915787550...
how to gate my home loan certificate

Canara Bank earned a profit of 60%. Feb 6, 2015
New Branch of Laxmi Vilas bank at Vijayawada Jan 30, 2015
Home loan EMIs expected to drop down Jan 21, 2015
Corporation Bank received MSME banking excellence award 2014 Jan 19, 2015
Home loan rates set to fall, after reduction in repo rate Jan 16, 2015
News Archive