TAX PLANNING - TIP 1 Most of us are unaware of Deductions as provided to Individuals under Income Tax Act, 1961 There are some other tax saving deductions other than section 80C Deductions. DEDUCTION U/S 80GG in respect of rent paid It allows a deduction of rent paid by the individual for his own residence DEDUCTION Allowed is least of the following : ) Rent paid minus 10 percent the adjusted total income. 2) Rs 2,000 per month. 3) 25 percent of the adjusted total income Adjusted Total Income means Total Income before such deduction. There are certain conditions that need to be fulfilled: 1. That the Person is not in receipt of HRA from his employer. 2. That the employee does not any residential occupation or by his spouse or by his minor child or by his HUF at the place where he normally resides or performs his official duties and at any other place, any residential accommodation being accommodation in the occupation of the Individual, the value of which is to be determined under Section 23(2)(a) or Section 23(4)(a) as the case may be. Any queries and clarifications ,mail at capranshugoel@gmail
Posted on: Wed, 05 Mar 2014 11:02:35 +0000
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