Category Archives: Income Tax Deductions & Exemption

Section 80JJA: Deduction in respect of profits and gains from the business of collecting and processing of bio-degradable waste

This deduction is available to all the Assessees. (adsbygoogle = window.adsbygoogle || []).push({}); The business should be collecting and processing of bio-degradable waste for generating power or producing bio-fertilizers or bio-pesticides or for producing bio-gas. 100% of the profit and gains from such business for a period of five consecutive A.Y. beginning with the A.Y. relevant to… Read More »

Section 80E: Deduction in respect of the repayment of loan taken for higher education

Section 80E deals with deduction in respect of interest on loan taken for pursuing higher education of the assessee and also the relative of the assessee.  Conditions for claiming deduction: Education loan should have been taken from a bank or other financial institution or govt recognized charitable organization for higher education. Higher education means full-time… Read More »

Section 80DD: Deductions in respect of maintenance including medical treatment of a Handicapped Dependent Relative

Raising the limit of deduction u/s 80DD for persons with disability and severe disability The section presently provides for a deduction of fifty thousand rupees if the dependent is suffering from disability and one lakh rupees if the dependent is suffering from severe disability (as defined under the said section). The limits u/s 80DD in respect… Read More »

Section 194: TDS Rate and Tax Deduction Treatment on Dividend Payment

Section 194 deals with the deduction of tax at source on payment of dividends by any domestic company to resident shareholders. In case of dividend payable to non-resident shareholders, tax is deducted at source u/s 195. Dividend means dividend on equity or preference shares, or it may also be deemed dividend u/s 2(22). Dividend may… Read More »

Income Tax Deduction for Donation under section 80G is 100% allowed: False

Myth that Deduction under Section 80G is 100% allowed/exempted under Income tax  is False. Many Donor’s and Tax payers believe that deductions under section 80G are tax-free or fully allowed as deduction from Income tax but in reality only donations given to government or its specified fund like PM Relief, National Relief, Earthquake Relief, National Children Fund… Read More »