There are various exemption sections in Income Tax where we can invest our money and we can get tax benefits on that. You may be interested to read also Income tax slab rates
Following are different tax exemption sections as described in details
The Government gives tax benefits on certain financial products in order to encourage savings under Section 80C of the Income Tax Act. Different investments made under such schemes are referred to as 80C investments. Under this section, maximum of Rs l.5 lakh(revised on 2015-2016 financial year) can be invested and for the tax payer who is in the highest tax bracket of 30%, he/she can save a tax of Rs 45,000.
The various investment options under this section includes:
Provident Fund & Voluntary Provident Fund(Employee & Employer contribution)
Public Provident Fund(PPF)
National Savings Certificate(NSC)
Equity-Linked Savings Scheme
Life Insurance Premium(LIC)
Home Loan Principal Repayment
Stamp Duty and Registration Charges For Home
Five-Year Bank Fixed Deposit
Others – such as children’s education expenses
Section 80CCC of Income Tax Act 1961 deals with the tax deduction for amount paid during the financial year in respect of contributions towards certain specified Pension Plans by an individual assesses.
Tax benefits are available for the following plans:
in respect of contributions made towards annuity plan for receiving pension
in respect of contributions made towards pension plans of LIC or other insurers
This provides for Income Tax deductions for contributions made to the notified Pension Scheme of the Central Govt i.e. for contribution to the National Pension Scheme(NPS). Deduction under this Section is only available to the individuals and not to HUF’s(Hindu Undivided Family). The Individual claiming deduction under this Section may be Resident or Non-Resident. Contributions to Atal Pension Yojana are also eligible. Deduction is allowed on contribution up to Rs 50,000.
Other Sections(e.g. 80E, 80G, 80TTA, etc.)
80CCG – Rajiv Gandhi Equity Scheme
80D – Medical Claim
80DD – Handicapped Dependents
80DDB – Medical Expenses, Chronic Diseases
80E – Interest on Loan taken for Higher Education
80U – Permanent Physical disability
80G – Donation
80GG – Rent paid(HRA not received)
80TTA – Deduction on Interest on Saving Account
Thanks for reading.