Download Automated Income Tax
Software in Excel for the Govt & Non-Govt Employees F.Y.2021-22 as per
Budget 2021 with how to save income tax
Are you someone who likes Bollywood a lot? Do you think Bollywood life is glamorous? The lives of celebrities
always seem exciting and full of glamour. They are always ahead when it comes
to clothing, travel, or lifestyle. You must know that these actors are always
given a jaw drop, they are paid a lot of money for everything they do, be it
movies, music albums, commercials, or performances.
However, people are usually so
blinded by these glamorous shows that they often forget that the higher the
income, the higher the income tax.
You may also, like- Prepare at a time 50 Employees Form 16 Part B for the F.Y.2020-21 as per new and old tax regime U/s 115 BAC
Now, are you wondering how much
land you will have to pay income tax this year? The following list shows the
different tax rates for different categories of taxable income for the fiscal
year 2020-2021.
Section 80C- Investments in PPF, PF, insurance, NPS, ELSS, etc. Max Rs.150,000
Section 80CCD-NPS investments
50,000
Section 80D- Investment in medical insurance for self or parents 25,000/50,000
Section 80EE- Interest on Home loan Rs. 50,000
Section 80EEA-Interest on Home loan
Rs.1,50,000
Section 80EEB-Interest on electric
vehicle loan 1,50,000
Section 80E-Interest on education
loan Full amount
Section 24-Interest paid on the
home loan 200,000
Section 10(13A)-House Rent
Allowance (HRA) as per salary structures
Income tax-saving tips
The Government of India also
provides certain ways to reduce the income tax of taxpayers. The Income Tax Act, 1961 covers some tax savers including mutual funds, insurance premiums,
NPS, medical insurance, home loans, and many more.
There are some departments that act
as relief for taxpayers, as under these main departments, they can save taxes.
These categories are 80C, 80CCC, 80CCD, 80D, 80DD, 80DDB, 80CCG, 80G G
They can certainly be helpful for
income tax by many taxpayers, especially salaried employees. Exemptions and
allowances for income tax are of utmost importance in the financial planning of
any person or entity.
Therefore, the following table
shows the categories and discount limits for each.
You may also, like- Prepare
at a time 50 Employees Form 16 Part A&B for the F.Y.2020-21 as per new and
old tax regime U/s 115 BAC
How to save income tax under
section 80C?
Under Section 80C, there are a various investment and expense options through which you can claim a discount within the rupee limit. One and a half lakh rupees in the financial year. These options are as follows:
Equity Linked Savings Scheme (ELSS)
The Equity Linked Savings Scheme is
the only mutual fund division that provides tax exemption under the Income Tax
Act.
ELSS returns are higher than other
income tax saving schemes in the long run because investments are made in the
equity market but two things to keep in mind with ELSS are that it cannot be
withdrawn for 3 years before the lock-in period and there is high risk because
the investment Is in the equity market.
You may also, like- Prepare at a time 100 Employees Form 16 Part B for the F.Y.2020-21 as per new and old tax regime U/s 115 BAC
Certificate of National
Conservation (NSC)
The NSC is another income tax
protection strategy that comes with a 5-year term with the National
Conservation Certificate providing a fixed rate of interest, which is currently
6.8% per annum.
The interest earned from this
income tax protection strategy is a duty-saving option and under Section 80C,
Rs. 1.5 lakh can be taken as a discount.
Public Provident Fund (PPF)
PPF One of the strategies to save
income tax in
PPF rates change quarterly, which
is currently .1.1%. The funny thing about PPF is that PPF is interest-free.
Employees Provident Fund (EPF)
12% of the salaries of employees
covered by the Employees Provident Fund are tax-free. So it is a beneficial
income tax saving scheme for people in the service line.
Senior Citizens Protection Project
(SCSS)
The current rate of interest is
7.4% (taxable). However, the discount limit is Rs 2,000. One and a half lakh
rupees. This means that this limit can be taken under this scheme of tax
exemption.
You may also, like- Prepare
at a time 100 Employees Form 16 Part A&B for the F.Y.2020-21 as per new and
old tax regime U/s 115 BAC
Tax exemptions do not depend on the
child's class or level of education. This income tax saving scheme is for all
types of parents including divorced, single parents, or those who have adopted
children.
Home payment
In order not to hinder income tax
in the process of buying their own house, Section 60 comes up with a scheme
where these people, who are already paying EMI for their home loan, are
exempted from paying income tax on interest.
They can claim tax exemption under
section 80C.
What are the other income tax
saving options?
Apart from Section 80C, there are
other sections (mentioned earlier) that provide for income tax exemption. Here is
some of the income tax saving options:
There are tax exemptions for
contributions to the National Pension System (NPS). The discount limit is 1.5
lakh.
Exemption for medical insurance
premiums U/s 80D. It's up to the rupee. 25,000, and Rs. 50,000 for senior citizens.
There is also a tax deduction on home loan interest; You have Rs. 60,000 under Section 80EE.
Feature of this Excel Utility are-
1) Auto Calculate your Income Tax liability as per the new system (New and Old Tax Regime) U/s 115 BAC
2) Auto calculate House Rent Exemption Calculation U/s 10(13A)
3) Automated Income Tax Computed Sheet
4) Salary Structure as per the
5) Automated Income Tax Revised Form 16 Part A&B
6) Automated Income Tax Revised Form 16 Part B
