Advantages of Section 80C

You can guarantee most extreme conclusion of Rs 1.5 Lakhs u/s 80C (counting Sections 80CCC, 80CCD) by putting resources into qualified instruments. Sadly ventures and consumption permitted u/s 80C is excessively packed and that settles on the decision hard for the vast majority.

Uses Eligible for Tax Benefit

The initial step is to check all uses which are qualified for charge finding. The following is the rundown:

1. Education costs for up to 2 Children.

The costs on education costs for full time courses for limit of two child is qualified for reasoning u/s 80C. In any case, the reasoning isn't accessible for education cost to instructing classes or private educational costs. The accompanying costs are not considered as education costs – Development Fee, Transport charges, lodging charges, Mess charges, library expenses, Late fines, and so on.

Download And Prepare At a Time 100 Employees  Automated Income Tax Form 16 Part A&B (Modified Format) [This Excel Utility Prepare At a time 100 Employees Form16 Part A&B in New Format for A.Y. 2020-21]



 The main feature of this Excel Utility:-
1)   Prepare At time 100 Employees  Excel Based  Form 16 Part A&B ( Modified Format of Form 16 Part B Vide CBDT Notification No.36/2019 Dated 12/04/2019 ]
2)   All the Amended Income Tax Section have in this utility as per Budget 2019
3)   You can print individual Form 16 Part Part A&B
4)   Most easy to install just like an Excel File
5)   Easy to Fill the all column
6)   Automatic Convert the Amount to the In-Words
2. Stamp Duty for enrollment of New Home

Stamp obligation and enrollment energizes to Rs 1.5 Lakh can be asserted for conclusion u/s 80C. The installment ought to have been made in the equivalent money related year for which the expense is being paid. for example the conclusion can't be conveyed forward to one year from now. Likewise the house ought to be for the sake of assessee guaranteeing conclusion.

On the off chance that you have paid stamp obligation for new home, you most presumably would debilitate your 80C breaking point for the year and no further speculation may be required.

Mandatory Deductions

There are some mandatory findings that are qualified for tax break u/s 80C. Check on the off chance that you contribute in any of such derivations:

1. Fortunate Funds (EPF/VPF)

EPF is a necessary finding for most salaried representatives. The reasoning can be 12% of the essential compensation and dearness recompense or Rs 1,800 consistently. Take a gander at your pay explanation to realize what amount have you contributed for the year. Check just your commitment. Business' commitment isn't qualified for charge sparing speculation. You can likewise have some sum contributed through Voluntary Provident Fund (VPF), which can be up to 100% of the fundamental compensation and DA.

2. National Pension Scheme (NPS)

NPS (Tier 1) is obligatory for most Government representatives who joined after 2004. Take a gander at your pay slip to check your reasoning. Again just your commitment is legitimate derivation. Manager's commitment isn't qualified. The beneficial thing is you can utilize this commitment to guarantee extra duty conclusion up to Rs 50,000 under the recently presented Section 80CCD(1B). We have clarified this at the last passage of the post.

Repeating Deductions

There are a few reasonings which happen year on year like home advance reimbursement, protection premium and so forth.

1. Home Loan Principal Amount

Is it true that you are paying home advance? The important segment paid each year is qualified as duty reasoning. For this you can download the duty proclamation from banks' site. On the off chance that not get it from the advance supplier. This would give you a gauge of head and intrigue paid for the money related year.

2. Protection Premium

Have you purchased disaster protection items like ULIP, Endowment Plan or Term Insurance where you have to pay the premium for ensuing years? On the off chance that you need to keep putting resources into a similar you can keep on guaranteeing tax break.

3. PPF (open Provident Fund)

On the off chance that you have PPF account you ought to contribute least Rs 500 out of a monetary year. On the off chance that you don't do, a fine is exacted.

4. Sukanya Samriddhi Account (SSA)

Least store of Rs 1,000 should be made each year else punishment of Rs 50 is collected.

5. NPS

Do you have NPS account? A base commitment of Rs 1,000 is required each monetary year to keep the record dynamic.

For some individuals the 80C reasoning breaking point is come to at this point. In the event that not, browse the rundown beneath relying upon your hazard profile and speculation objectives:

Download And Prepare At a Time 50 Employees  Automated Income Tax Form 16 Part A&B (Modified Format) [This Excel Utility Prepare At atime 50 Employees Form 16 Part A&B in New Format for A.Y. 2020-21]

 The main feature of this Excel Utility:-
7)   Prepare At time 50 Employees  Excel Based  Form 16 Part A&B ( Modified Format of Form 16 Part B Vide CBDT Notification No.36/2019 Dated 12/04/2019 ]
8)   All the Amended Income Tax Section have in this utility as per Budget 2019
9)   You can print individual Form 16 Part Part A&B
10)                     Most easy to install just like an Excel File
11)                     Easy to Fill the all column
12)                     Automatic Convert the Amount to the In-Words
New Investment for 80C

1. Term Life Insurance

Do you have wards? Would they endure monetarily on the off chance that something transpires? Do you have enough life coverage? On the off chance that no go get a term protection first. It's imperative to decide on insurance first.

2. ELSS (Equity Linked Saving Scheme)

Prevalently known as Tax sparing Mutual Fund. These are value based common assets and outstanding amongst other venture alternatives to make riches over the long haul while sparing duty. In the event that you can process the instability of financial exchange, this is the prescribed alternative.

Lock-in Period: 3 Years
•           Among the duty sparing ventures, ELSS has least lock-in time of 3 years.

•           The gains on ELSS Fund is Tax Free.

•           Convenient to purchase and oversee as ELSS can be purchased and recovered on the web.

•           There can be significant instability in returns and you can get negative returns toward the finish of 3 years.

3. PPF (Public Provident Fund)

PPF is another mainstream charge sparing venture choice for 80C, particularly for individuals with no other opportune store.
Lock-in Period: 15 Years. Anyway fractional withdrawal is permitted from seventh year
•           The premium earned on PPF is Tax Free

•           After opening the PPF account, venture should be possible online consistently (for certain banks)

•           Highest Safety – upheld by Govt. of India

•           The lock-in is for a long time however there is halfway liquidity from seventh year on wards.

4. Senior Citizen's Saving Scheme (SCSS)
SCSS is great choice for senior residents (over 60 years old) as it gives ordinary quarterly premium salary legitimately in financial balance.

Lock-in: 5 years

•           Highest Safety – upheld by Govt. of India

•           The financing cost offered is most noteworthy among the little sparing plans

•           The intrigue got is assessable.

•           TDS would be deducted if the all out enthusiasm for a year is over Rs 10,000. Be that as it may, if qualified Form 15H can be submitted to keep away from TDS.


5. Sukanya Samriddhi Account (SSA)
SSA can be opened by guardians of young lady kid subject to specific conditions. SSA can be a decent choice for fixed salary speculation for kid. Anyway you ought to likewise put resources into ELSS or other value shared assets for objectives identified with kid.
Lock-in: Deposit to the record to be made for a long time and record develops at 21 years from date of opening

•           The premium earned on SSA is Tax Free and furthermore higher than that offered to PPF

•           50% withdrawal permitted when young lady turns 18 for marriage/advanced education

•           Highest Safety – upheld by Govt. of India

•           No arrangement of Loan or pre-developed withdrawal not at all like PPF
Download Automated Income Tax Arrears Relief Calculator U/s 89(1) with Form 10E from F.Y. 2000-01to F.Y. 2019-20


 
6. National Saving Certificate (NSC)

NSC can be purchased at present workplaces on spare expense u/s 80c. It is accessible for a long time (NSC VIII) as it were. The intrigue offered is 7.8%.

Lock-in: 5 Years

•           The premium is higher than most expense sparing bank fixed stores.

•           Certificates can be kept as insurance security to get advance from banks

•           No Tax conclusion at source

•           The intrigue gathered for NSC meets all requirements for Sec 80C reasoning in ensuing years

•           Highest Safety – supported by Govt. of India

•           The premium earned is assessable

•           You need to visit Post office for purchasing and recovering NSC units. This can be an issue for individuals who move addresses regularly.


7. Relief from Saving Bank Fixed Deposits Interest Max Rs. 40,000/- and Sr.Citizen Rs. 50,000/- U/s 80TTA

8. NPS (National Pension Scheme)



Some of you may need to contribute necessarily to NPS. For this situation you can take finding up to Rs 50,000 under the recently presented Section 80CCD(1B). And afterward you can pick progressively proficient speculation for 80C.