Income Tax Deduction

Deduction is the amount, which is reduced from the gross total income before computing tax.

There are other deductions such as for donations, for repayment of loans taken for educational purposes etc.

Deductions on Interest ( U/s 80L)
Up to Rs. 12,000/- :	If interest is earned on Govt. Securities, Bank deposits, Post Office deposits, debentures, National Savings Certificates etc.,
Additional deduction up to Rs. 3,000/-	On interest from Govt. Securities, if not already covered in the Rs. 12,000/- limit mentioned earlier.

Deductions on premium for medical insurance (U/s 80cc)
Up to Rs. 10,000/-	If premium for medical insurance is paid by cheque for a person, or his dependent family member or member of the HUF.
Up to Rs. 15,000/-	For senior citizens

Deductions on expenditure on handicapped dependent (U/s 80DD)
Up to Rs. 40,000/-	If any expenditure has been incurred on the treatment, nursing, training of a handicapped dependent, or for creating an insurance benefit for such person subject to the condition that doctor working in a government hospital has issued the necessary certificate.

Deductions on treatment of diseases ( u/s 80DDB)
Up to Rs.40,000 /-	If an individual or an HUF actually incurs expenditure for treatment of certain specified diseases for himself, dependents or a member of HUF.
Rs.60,000 /-	For treatment of senior citizens
(This deduction is available only for certain specified diseases.)

Deductions on contribution to pension funds ( u/s 80CCC)
Up to Rs.10,000 /-	If an individual contributes to specified pension funds The pension will however be taxable on receipt.

View Comments

By VINCENT JOHN (on Feb 07, 2012 10:42 PM)

PLEASE FORWARD ME ALL THE EXCEPTIONS FROM INCOME TAX

By VINEETHA.V.M (on Oct 31, 2011 01:43 PM)

Please forward me "exemption from income tax"

By ASHISH JHA (on Oct 18, 2011 12:15 PM)

Please send me on my ID * income tax e book in pdf format for the fy 2010-11 . *circular of "exemption from income tax of souharda sahakari institutions"

By C. v .sastry (on Jul 31, 2011 05:34 PM)

Good information for the tax payer and will get lots of advantage from this page for filling the return.

By Vikas sharma (on Jul 02, 2011 06:06 PM)

Please income tax e book in pdf format send my email id for the fy 2010-11

By Yuvaraj (on Jun 24, 2011 03:30 PM)

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By MUNINDER (on Jun 04, 2011 04:39 PM)

PLEASE TELL ME ABOUT TDS

By Rahul gupta (on Apr 20, 2011 11:15 PM)

This site nt provide update income tax rates of all categories..

By Srinivasulu sreerangam (on Mar 04, 2011 01:22 PM)

To be change the TDS rates