Income Tax Calculator: Expert Pankaj Mathpal Reveals Top 5 Ways To Save Tax Without Investment

Income tax calculator: The investment declaration deadline (March 31, 2021) to claim a tax deduction for fiscal year 2020-21 is fast approaching. Therefore, earning individuals are busy finding ways to save their hard earned money to pay income tax. While some people are busy buying insurance policies, some are investing in Section 80C investment options such as Public Contingency Fund (PPF), Postal Savings Schemes etc. . They can claim tax benefits for some of their day-to-day expenses like tuition paid for their children at school, home loan, health insurance and check-ups etc. These are some of the expenses that must be added before investing in claiming income tax relief.

Speaking on the tax benefit offered by the Income Tax Service for options other than investments, Pankaj Mathpal, Managing Director of Optima Money Managers, said: “Regular payments like fees. his children’s education paid to their school, the medical examination of the dependent, the principal paid on the mortgage, the medical expenses of his parents (if they are not insured), the interest paid on the loan of ‘studies, etc. are some of the heads of income tax exemption. Mathpal advised salaried individuals to mention these expenses in their tax deduction investments for the 2020-21 fiscal year.

WATCH | Click on Zee Business Live TV Streaming below:

Pankaj Mathpal lists the following expenses that can help a salaried person save income tax in fiscal year 2020-21:

1]Tuition Fees: For those who have expenses related to children’s tuition fees, they can claim up to Rs 1.5 lakh incurred under Section 80C of the Income Tax Act. This means that if a parent pays Rs 60,000 each for two children, Rs 1.2 lakh can be claimed as a deduction. Tuition fees paid to any college, school, university, college or educational institute in India can be used for up to two children for any given year and is an effective way to reduce your burden.

2]Repayment of the principal of the mortgage loan: An amount of Rs 1.5 lakh can also be claimed under section 80C against the repayment of the principal amount of a mortgage taken out during a financial year. In fact, if you bought the house in fiscal year 2020-21, you can also claim a tax benefit on the payment of stamp duty. However, after claiming this income tax deduction, one will not be able to sell the property within five years.

3]Repayment of interest on the student loan: if an employee has benefited from a student loan for their children or for themselves, then, in this case, they can request a tax exemption on the repayment. 100% of the student loan interest under Section 80E of the Income Tax Act.

4]Health Checks: If the employee has spent for the health checks of himself and other dependents of the family like his wife and children, then she can claim a tax deduction under the section 80D of the Income Tax Act.

5]Parental health examination expenses: If the parents of the winning person are not covered by any insurance, in this case the health examination expenses up to Rs 50,000 are exempt from any tax. income under section 80D.

Esther L. Steinbach

Leave a Reply

Your email address will not be published.