What is Section 80 TTA?

Section 80TTA of the Income Tax Act allows you to claim deductions on savings accounts deposits that are held in a post office, bank, or cooperative society. Exemption sought should be less than Rs. 10,000.

How much saving interest is exempted?

Deduction can be claimed only up to Rs 10,000 on the interest earned on the savings bank account. However, tax will have to be paid on any amount over and above Rs 10,000. Deduction under Section 80TTA is applicable over and above deduction of Rs 1.5 lakh under Section 80C.

What is Section 57 IIA income tax?

Section 57(iia) in The Income- Tax Act, 1995. (iia) 8 in the case of income in the nature of family pension, a deduction of a sum equal to thirty- three and one- third per cent of such income or twelve thousand rupees, whichever is less.

Is 5 year FD tax-free?

Tax-saving FD allows you to make an investment to save tax under section 80C of the Income Tax Act. The minimum tenure for a term deposit under Tax Saving Scheme is 5 years. You can get a tax exemption of a maximum of Rs. 1.5 lakh.

Is interest on 5 year FD taxable?

Interest earned on fixed deposits is subject to TDS. Minimum tenure for receiving tax benefits is five years. Investors can get income tax deductions up to Rs. 1,50,000 per annum under Section 80C of the Income Tax Act, 1961.

What is 87A in income tax?

Section 87A provides a tax rebate to individual taxpayers if their total income is less than Rs 5 lakh after claiming deductions. Hence, firstly determine taxable income after deductions to check the eligibility of the rebate.

Can anyone claim 80TTA?

Who is eligible for an 80tta deduction? An individual taxpayer and a Hindu Undivided Family (HUF) are eligible for an 80TTA deduction.

How do I avoid tax interest?

Here are four easy ways you can follow to save TDS on FDs:

By submitting Form 15G/15H. If an investor submits Form 15G stating that he has no taxable income, the bank would not deduct any TDS on the interest earned.
Distributing FD investment.
Timing the FD.
Splitting the FD.

What is amount not deductible u/s 58?

PERSONAL EXPENSES [Section 58(1)(a)(i)] – Any personal expenses of the assessee is not deductible. INTEREST [Section 58(1)(a)(ii)] – Any interest (which is chargeable under the Act in the hands of recipient) which is payable outside India on which tax has not been paid or deducted at source, is not deductible.

Who are super seniors?

A super senior citizen is an individual resident who is above 80 years, as on the last day of the previous financial year.