18 Post-Budget Tips to Save Your Taxes
Bangalore: All of us work very hard to earn money, it is also very important to save some part of that money at the same time that will help us improve our standard of living and also help us at emergency situations.
Finance Minister P. Chidambaram presented the union budget for the year 2013-14 that came into effect from April 1st 2013. The budget 2013 has concentrated on helping individuals who depend upon their salary and has annual income less than 5 Lakh and it has come out with fewer changes in personal tax rates as well as the income tax returns.
Apart from what budget is offering us, it is very important to plan out different ways to save tax payments. Rediff has listed some of the provisions that you can use to cut down on your tax payments.
1. Section 80 C
Earlier tax deduction was applicable for health insurance for the annual premium of less than 20 percent. But now, if you are investing in health insurance, deductions are allowed only if the yearly premium is less than 10 percent of the total sum assured.
Incase if your yearly premium for the year 2013-14 is above 10 percent, then you will not be eligible for getting deductions under Section 80 C.
2. Section 80 CCF
Section 80 CCF provides opportunity for the common man to invest in ‘long term infrastructure bonds’. This section was introduced when there was need for long term investment in India to invest in long term investment towards development of infrastructure and help the common man cut down on his tax payments in return.
So, it’s very important to consider these bonds as and when they are offered for subscription to avail this bonus deduction on income tax.
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