Fixed Deposit: Want higher interest rate on your tax-saving FD? Book it right now

Tax-saving fixed deposits (FDs) are one of the investment options that will offer a deduction of up to Rs 1.5 lakh under Section 80C of the Income-tax Act, 1961. You can invest a maximum of Rs 1.5 lakh in a tax-saving FD. It comes with a tenure of five years. As FD interest rates are close to their peak seen in the past 3-4 years, is this a good time to invest in tax-saving FDs as the interest rate cycle is about to turn around?

from Tax-Wealth-Economic Times https://ift.tt/Xvm78Oo

Will outstanding tax demand waiver help you get pending income tax refund?

Income tax refund from outstanding tax demand waiver: The interim budget 2024 announced the waiving off old outstanding tax demands for a specified amount upto specified financial years. However, many taxpayers are wondering if they will get income tax refund from previous years. Also what if their income tax refund amount is stuck due to litigation? Read on to know more about it.

from Tax-Wealth-Economic Times https://ift.tt/nJZ9OSN

5 post office savings schemes that do not offer tax saving benefit under section 80C

List of post office schemes that does not offer tax benefits under section 80C of Income-tax Act, 1961.Let us now take a look at each of these schemes in detail and how investments and interest earned are taxed.

from Tax-Wealth-Economic Times https://ift.tt/YhGBJFc

How section 80C of the Income-tax Act can help you save tax

Tax-saving guide: In order to claim the section 80C deduction, a taxpayer must invest the specified amount in eligible investment instruments or spend it on designated expenses within the same financial year.

from Tax-Wealth-Economic Times https://ift.tt/D7mJHiP

How to open tax saving fixed deposit in ICICI Bank

ICICI Bank tax-saving FD: ICICI Bank offers 7% interest on tax saving fixed deposit for general citizens and 7.50% for senior citizens. The minimum deposit limit for a Tax Saver FD is Rs 10,000 and the maximum is Rs 1,50,000.

from Tax-Wealth-Economic Times https://ift.tt/PNmg96v

TDS on salary is not on a fixed rate; Know how tax is calculated and deducted by employer

TDS on salary: Before paying a salary every employer will deduct tax deducted at source (TDS) and then pay a salary to their employees. However the rate of deduction of TDS is not fixed and it is determined by calculating the average rate of tax of the employee. Read here to know exactly how the calculation for TDS is done.

from Tax-Wealth-Economic Times https://ift.tt/HcYFTUJ

You may get waiver above Rs 1 lakh on your income tax demand notice in these cases

Income tax demand waiver: The Central Board of Direct Taxes (CBDT) has stated in a circular dated February 13, 2024 that the tax department would waive off all eligible tax demands up to an aggregate limit of Rs 1 lakh per taxpayer. Experts opine that if the tax dept waives off both tax demand and interest on such demand, the quantum of demand waived can be much more than Rs 1 lakh.

from Tax-Wealth-Economic Times https://ift.tt/ciPCTbp

Taxpayers, check ITR portal NOW: Pending tax demand up to Rs 1 lakh per individual waived by govt

Income tax outstanding demand: The Central Board of Direct Taxes (CBDT) has stated via a order that the income tax department has started waiving eligible old tax demand. However a maximum ceiling limit per taxpayer/assessee has been set and no outstanding tax demand entries above this ceiling limit would be extinguished.

from Tax-Wealth-Economic Times https://ift.tt/tDMxQmw

House rent allowance (HRA): Eligibility, calculation, how to avail

To qualify for tax benefit on HRA, the individual should be a salaried employee, should reside in a rented accommodation and pay rent. Here are the key considerations and provisions with respect to HRA and the implications from tax perspective.

from Tax-Wealth-Economic Times https://ift.tt/V0xDSN9

How selling equities before March 31 can help you save income tax for FY 2023-24

Save long term capital gains tax: Individuals can save income tax for FY 2023-24 by booking profits up to a certain limit on equity shares and equity oriented mutual funds held for more than 12 months. This method is called 'tax harvesting' and it is fully legal in India. Here's how to use this method to reduce your tax outgo and pocket some gains.

from Tax-Wealth-Economic Times https://ift.tt/iwguIsb

​Tax free premature redemption of Sovereign Gold Bond (SGB) is allowed only within this 21-day annual window

Sovereign Gold Bond (SGB) premature redemption: If a SGB investor wants to prematurely redeem his/her SGB investment and also not pay any capital gains tax on gains from such a sale then the only way to do this is tendering one's SGBs to the RBI. However there is a time period between which SGBs may be tendered to the RBI for premature redemption.

from Tax-Wealth-Economic Times https://ift.tt/zNw9pbx

Tax saving ideas: Use these 6 financial, banking instruments to save taxes

With an emphasis on banking products, below are some financial instruments which can be used as investment and tax saving purpose.

from Tax-Wealth-Economic Times https://ift.tt/BhlUGKA

Tax-saving investments for senior citizens: Here are 4 ways to maximise your tax savings

Here are some of the ways senior citizens can lower their tax liability. (Do keep in mind that these tax benefits are available only for those who opt for the old tax regime.

from Tax-Wealth-Economic Times https://ift.tt/5H3eLPF

Are there any tax exemptions for the treatment of mental health issues?

Our panel of experts will answer questions related to any aspect of personal finance. If you have a query, mail it to us right away.

from Tax-Wealth-Economic Times https://ift.tt/AOLTV9x

Income tax saving: How to get Rs 70 lakh from Sukanya Samriddhi Yojana by investing Rs 12,500 monthly, save tax

Income tax saving: Sukanya Samriddhi Yojana (SSY) can help you with a tax deduction of up to Rs 1.5 lakh under Section 80C of the Income-tax Act, 1961. It offers an attractive interest rate of 8.2% for the January to March quarter of 2024. What are the benefits and limitations of SSY? ​​​How much money can you make from this popular post office scheme?

from Tax-Wealth-Economic Times https://ift.tt/Ik9E3ZU

How to switch from new tax regime to old tax regime for FY23-24

Change income tax regime: At the start of the financial year, an individual is required to select one tax regime - old or new- for deducting of taxes on salary by employer. However, it may happen that an individual wants to switch the tax regime from what was opted in the start of the financial year. The income tax laws allow such change. Here is how to go about it.

from Tax-Wealth-Economic Times https://ift.tt/B3PoJb1

Up to 7.9% interest rate on tax-saving FDs: Latest senior citizen tax-saving FD rates of private, PSU banks

Tax saving fixed deposit provides a tax deduction under Section 80C of the Income Tax Act, 1961 of up to Rs 1.5 lakh annually. Here is a look at the interest rates offered by private and public sector banks on five-year tax-saving FDs.

from Tax-Wealth-Economic Times https://ift.tt/OVgxI3N

Three ways to invest in HDFC Bank tax-saving FDs

How to invest in tax-saving FDs: Individuals and Hindu Undivided Families (HUFs) are eligible to open tax-saving bank FDs. You have the choice to open a tax-saving FD either with a bank where you currently maintain a savings account or opt for another bank altogether.

from Tax-Wealth-Economic Times https://ift.tt/l8Y0ghx

11 ways of tax savings for salaried individuals for FY 2023-24

11 tax deductions for salaried individuals: If you want to save tax for FY 2023-24 then there is still time. Given below is a list of 11 tax deductions which you can claim upon fulfilling certain investment or other criterias. These tax deductions can help you lower your total income and hence reduce your tax outgo.

from Tax-Wealth-Economic Times https://ift.tt/0WJfLgv

NPS, LTA, other perks can cut income tax by Rs 71,467; know how

Under Section 80CCD(2), up to 10% of the basic salary put in the NPS on behalf of the employee is tax-free. Big tax savings are possible if your company gives you allowances such as LTA, gadget allowance. Sudhir Kaushik of TaxSpanner.com tells readers how they can optimise their tax by rejigging their incomes and investments.

from Tax-Wealth-Economic Times https://ift.tt/iNt3Q7Z

Wait for unprocessed income tax refund to get longer; deadline extended by 3 months

Income tax refund: Individuals who have pending income tax refund due to the fact that their income tax return (ITR) was not processed by the income tax department would now get their income tax refund by April 30, 2024. However not all individuals would get tax refund, read here to know who gets and who does not.

from Tax-Wealth-Economic Times https://ift.tt/ZBkPGm5

Taxation time is here: Decode how you can realise the potential of multi-year health insurance in your portfolio

Multi-year health insurance plans offer tax deductions through lump sum premium payments. Proportional tax benefits are determined based on the policy's duration. Documentation and eligibility require non-cash premium payments. The convenience of multi-year coverage eliminates yearly renewals and provides financial predictability. These plans also come bundled with savings offers and can be budgeted using premium calculators.

from Tax-Wealth-Economic Times https://ift.tt/sqQEMyG

12 reasons why a right investment plan must not focus only on income tax deduction

The allure of immediate tax savings often overshadowed the importance of long-term goals leading to a lot of pain when the requirements actually arrived.

from Tax-Wealth-Economic Times https://ift.tt/smceiLj