Life Insurance is one of the tax saving instruments under section 80(C). You can avail tax benefit up to a maximum amount of Rs 1,00,000 in a financial year under section 80C. If you are paying an insurance premium for you or your spouse it can be exempted from tax. The redemption amount at the end of maturity is also not taxable for Life Insurance. For medical expenses of Rs 15,000 or medical Insurance Premium paid up to Rs 15,000 in a financial year is deductible under section 80D. For dependents (spouse / Parents / children) also max amount of Rs 15,000 can be availed. So if you are paying premiums for you and your parents, your total deductibles under section 80D would be Rs 30,000.
For senior citizens, the tax deductibles would be up to Rs 20,000 in a financial year.
Mohan Bhupathiraju
Mohan Bhupathiraju is a co-founder & editor at LastBull.com. Handled multiple projects in BFSI for few of the Forbes top 100 companies. He works in IT industry in the US. Presently working on start up Ideas in Finance & Technology niches.
Related posts:
- Save Income tax with Home loan
- Income Tax info & Calculator 2008 – 2009
- Bond Market/Fixed Income Market Basics
- Certificate of Deposit/CD
- NSE Quotes – Order Book
Loading ...