How can a salaried person reduce income tax?
Save Income Tax on Salary
- Deductions under Section 80C, Section 80CCC and Section 80CCD. Citizens of India can save tax under these 3 sections.
- Medical Expenses.
- Home Loan.
- Education Loan.
- Shares and Mutual Funds.
- Long Term Capital Gains.
- Sale of Equity Shares.
- Donations.
What is the tax on 15 LPA in India?
Income tax calculator for FY2021-22
| Total income (Rs) | Income tax rate |
|---|---|
| From 7,50,001 to 10,00,000 | 15 percent |
| From 10,00,001 to Rs 12,50,000 | 20 percent |
| From 12,50,001 to 15,00,000 | 25 percent |
| Above 15,00,000 | 30 percent |
How much tax a salaried person can save?
Section 80C deduction: Claiming the entire Rs 1.5 lakh deduction available under section 80C can reduce your tax outgo by Rs 45,000, for those at the 30\% highest tax bracket, excluding the cess.
How can I save tax if I earn 12 lakh?
Tax Deductions under Section 80(C)
- Investments in PPF (Public Provident Fund)
- Investments in EPF (Employee Provident Fund)
- Investments in ELSS funds (Equity-Linked Savings Scheme)
- Investments in NSC (National Savings Certificates)
- Payment of premiums against Life Insurance Policies.
How can I save tax on salary 2021 22?
The maximum tax deduction limit for senior citizens is Rs. 50,000….
- Section 80D: Medical Insurance Premium.
- Section 80G: Charitable Donations.
- Section 80GG: Rent towards Accommodation.
- Section 80D: Health Insurance.
- Section 80E: Education Loans.
- Section 80EE: Home Loans.
- Section 80TTA: Interest on Saving Accounts.
- HUF Receipts.
How can I save tax on my salary above 30 lakhs?
An Individual could claim the following Tax Deductions:
- Section 80CCD(1B) (Rs 50,000): Investment in the NPS (Shall you Invest Rs 50,000 in NPS to Save Tax u/s 80CCD (1B)?)
- Section 80C/80CCC/80CCD (Rs 1,50,000): The Investment in the EPF, PPF, The Pension Plans, ELSS, FD, NPS, NSC, SCSS, Life Insurance, SSA and NPS.
What are tax saving options?
Investment options under Sec 80C
| Investment | Returns | Lock-in Period |
|---|---|---|
| National Pension System (NPS) | 12\% to 14\% | Till Retirement |
| ELSS Funds | 15\% to 18\% | 3 years |
| Unit Linked Insurance Plan (ULIP) | Varies with Plan Chosen | 5 years |
| Sukanya Samriddhi Yojana (SSY) | 7.60\% | N/A |
What is in hand salary of 12 LPA?
Fixed Income,Variable Income,provident Fund ,Gratuity, Medical Insurance,Professional tax,Income Tax,etc….General Comparison Chart For Approximate Understanding by Ck.
| Band | CTC (Yearly) | In Hand Salary |
|---|---|---|
| A | 20 lakh | 1,15,000 per month |
| B | 15 lakh | 95,000 per month |
| C | 12 lakh | 82,000 per month |
| C | 10 lakh | 63,000 per month |
How much is the standard deduction for 80(C) in India?
Additionally, let us assume you intend to avail ₹ 50,000 in the standard deduction and ₹ 150000 in tax exemption u/s 80 (C). Moreover, your tax liability will be Rs 2,10,600 after taking your deduction and exemption into account. Further, You are not allowed to avail of any deduction/exemption in this tax structure.
Is 15 lakhs a good salary in India?
Further, if you are fairly young and have no ailments, 15 lakhs per annum is considered a good salary by Indian standards. 3. How much tax do I pay on 15 lakhs?
How much income tax do you need to pay in India?
If you look closely at the above Example, it is observed that, if you earn up to ₹ 14.33 Lakhs, you need not require to pay any taxes. The benefit of the standard deduction and deduction u/s 80 workouts for you and help you to pay zero income tax.
What is the maximum amount of professional tax in India?
The maximum amount of professional tax that can be levied by a state is Rs 2,500. It is usually deducted by the employer and deposited with the state government. In your Income Tax Return, professional tax is allowed as a deduction from your salary income a. Exemption of Leave Encashment Check with your employer about their leave encashment policy.