Download TDS on Salary All in One for Govt & Non-Govt Employees for the Financial Year 2015-16 [
This Excel Utility can prepare at a time your Tax Compute Sheet +
Individual Salary Structure +Arrears Relief Calculator + Form 10E +Automatic HRA Calculator + Automated Form
16 Part A&B and Form 16 Part B for Ass year 2016-17]
The
salary persons always ask from us that tell all the deductions which we can
claim from salary for A.Y. 2015-2016 or any previous year. So we are giving the
list of all the deductions which you can claim while calculating taxable salary
income or net total income after adding other sources incomes. The
deductions are given along with the income tax sections. So you can get all the
complete details by going to that particular section in case of any doubt.
Entertainment Allowance: The
first deduction which you claim from salary is Entertainment Allowance.
Entertainment allowance received is first included in the employee’s income and
then a deduction is allowed in case of government employees, for a sum equal to
1/5th of salary (excluding all allowances, benefits and other perquisites) or
Rs. 5,000, whichever is less.
Professional Tax: Tax on
employment by whatever name called, levied by a State under Article 80C 276 of
the Constitution shall be allowed as a deduction. [Sec. 16(iii)]
Deductions Permissible under Chapter
VI-A: Certain deductions are available from the gross taxable income,
under sections 80C to 80U. Important deductions are:
Deposit/Contribution to Life Insurance Premia,
deferred annuity, contributions to provident fund, subscription to certain
equity shares or debentures, bank deposits under notified scheme, 5 years POTD,
Senior Citizen Saving Scheme, etc. [Sec. 80C]
Contribution to LIC Pension Plan
(Jeevan Suraksha) or Pension Fund of other insurance companies. [Sec. 80CCC]
Contribution to notified Pension Scheme by employees
of Central Government or any other employer or by any other individual. [Sec.
80CCD]
Investment in listed equity shares (w.e.f
1-4-2014) A.Y.2014-15 [or listed units of equity-oriented mutual funds] under
Rajiv Gandhi Equity savings Scheme. [Sec. 80CCG]
Payment of Medical Insurance Premia
(Mediclaim) or contribution to Central Government Health Scheme. [Sec. 80D]: Deductible
upto a maximum of Rs.25,000 (Rs. 30,000 in case the person insured is a senior
citizen). Besides, an additional deduction upto Rs. 25,000 (Rs. 30,000 in case
the person insured is a senior citizen) [The age limit for a senior citizen
from A.Y.2015-16 is 60 years or more] shall be allowable in respect of medical
insurance premium for parent(s).
W.e.f. A.Y. 2013-14, deduction can also be
availed for any payment for preventive health check-up of the assesses, his
family and parents, subject to a limit of Rs. 5,000 within the aforesaid
ceilings.
Expenditure on medical Treatment etc. and
deposit for maintenance of handicapped dependents. [Sec. 80DD]: A
deduction is allowed to compensate for any expenditure incurred by an assesses,
during a year, for the medical treatment (including nursing), training and
rehabilitation of one or more handicapped relatives wholly dependent on him,
and for amount deposited in an approved scheme of LIC or UTI, for the benefit
of a handicapped dependent. A fixed deduction of Rs. 50,000 is allowable, in
aggregate for any or both the purpose specified above, irrespective of the
actual amount of expenditure incurred.
Expenditure or Medical Treatment of
assess/dependant relative [Sec. 80DDB]: Deduction for the amount of
expenditure incurred or Rs. 40,000, whichever is less, is allowable for any
year during which expenditure is actually incurred for the medical treatment of
specified diseases or ailments for the assesses himself or a dependent
relative. If the patient is a senior citizen the deduction allowable shall be
the expenditure incurred or Rs. 60,000 whichever is less. Besides, any amount
received under a medical insurance policy shall be reduced from the amount of
deduction allowable.
Interest on Loan taken for Higher
Education. [Sec. 80E]: Any amount paid by way of interest on a loan
taken from any financial institution or any approved charitable institution for
the purpose of pursing his higher education, is deduction without any limit.
Interest on Loan taken for first
residential house. [Sec. 80EE]: Deduction is allowable for interest on
housing loan from a bank/housing finance company, for allowable is Rs. 1,
00,000, subject to specified conditions. The deduction is allowable for A.Y.
2014-15 and A.Y. 2015-16 only.]
Donation for Charitable Purposes [Sec. 80G]:
There are a number of donations in respect of which deduction is
permissible under Sec. 80G. Deduction @ 50% is available for donation to
Jawaharlal Nehru Memorial Fund, Prime Minister Drought Relief Fund, [National
Children’s Fund] Indira Gandhi Memorial Trust or Rajiv Gandhi Foundation etc.
100% deduction is allowed for donations to National Defense Fund, Prime
Minister’s National Relief Fund, [National Children’s Fund,]National Foundation
for Communal Harmony, Chief Minister’s/Lt. Governor’s Relief Fund etc.
Deduction is granted subject to the prescribed maximum ceiling and on
furnishing of appropriate certificate from the done organization.
Donation of a sum exceeding Rs. 10,000 shall be
eligible for deduction, only if it paid by a mode other than cash.
Expenditure on Rent. [Sec. 80GG]: Rent
paid by an assesses not owning a house and not in receipt of house rent
allowance u/s 10(13A) for residential accommodation whether furnished or
unfurnished, is deductible subject to the prescribed ceilings. [w.e.f 1-4-2014,
for A.Y. 2014-15]
Donations to specified
institutions/associations for Research or for Rural Development [Sec. 80GGA]: Donation
of a sum exceeding Rs. 10,000 shall be eligible for deduction, only if it paid
by a mode other than cash.
Physical Disability [Sec. 80U]: Rs.75,000 for disability and Rs. 1, 25,000 for severe disability.
