How to save tax on my salary

To know the taxable income kindly give how much rent you are paying.

To save tax, you must invest rs 150000 in 80C avenues. Currently you are paying only 95k. 

From the facts of the case, your tax liability computed to Rs 16.2k. Assuming you have bill of Rs 60000 for your LTA. 

To reduce the tax liability, in addition to the investment made by you, you can further invest in 5 years Tax saving FD, some additional investment in PPF, LIC etc If you have child you can claim deuction for tuition fees paid on their studies also. 

Feel free to contact in case you require further information. 

- Presently, taxable income is Rs.5,72,000 and tax is Rs.27,976.

- You can invest Rs.1,01,000 more in 80C which will reduce the tax to Rs.6968. Out of 1,01,000 invest 50k in NPS u/s 80CCD(1B)

- Investment of Rs.60k in equity saving scheme should be locked for three years. Please send document at [deleted] to check in detail.

Hello,

Your taxable income comes to around Rs. 5.20 Lakhs and Tax liability on the same approx Rs. 15K after taking full LTA exemption u/s. 10(5). 

For further understanding, you can contact us directly with more information or take a phone consultation.

Regards,

CA Hunny Badlani

A further exemption can be claimed u/s. 80C for PPF, Life Insurance, Tuition Fees, Tax saving FDs. 

Health insurance or medical expenditure on family u/s. 80D. 

Hi,

Hope you are doing well !!

Broadly/Practically, there are following Income tax sections under which we can claim the tax exemptions - 

80C-Section 80C comprises of various investments and expenses that are eligible for tax deductions. A taxpayer can claim maximum tax deductions of Rs 1.5 lakh for a particular financial year (FY) from his/her taxable income through investments made by him/her under section 80C of the Income Tax Act, 1961.

1. NPS
2. PPF
3. LIC
4. ELSS
5. Term deposits

etc.

It is advisable to claim maximum tax deductions of Rs 1.5 lakh by investment specified u/s 80C. 

80CCD-To encourage the investors to invest for retirement in Nation Pension Scheme, the government allowed addition tax deduction of Rs 50,000 under section 80CCDD.

It is over and above Rs. 1.5 lakh limit.

80D-Deduction for the premium paid for Medical Insurance up to Rs. 50000 subject to conditions.

80G-The various donations specified in u/s 80G are eligible for deduction up to either 100% or 50% with or without restriction as provided in section 80G.

Thanks & Regards,

Payal Chhajed

It is advisable to take a phone consultation for detail discussion.

If you have showed the above income correctly then as per current situation your taxable income is 5,72,004/- and tax on same would be 26,900/-. However you still have place for additional 51,000 investment in section 80C i.e. PPF, ELSS or LIC and Rs. 10,000 for health insurance. If you make the above investment also it will bring down your tax to 14,700 and if you want save further tax you can make some other investment also under section 80CCD.

If you need any assistance feel free to contact me.

Hope you find the information helpful if you do please rate it 5 and provide your valuable feedback for my improvement.

Thank you.

Hi,

You can still invest 30-40k in 80C investments such as LIC, ELSS, 5 year FD etc.

Further, you can also invest additional 50k in NPS to save taxes.