ITR Filing 2024: Additional Rs 10k benefit for income tax payers, Rs 50k for senior citizens - Details

 

ITR Filing 2024: As per the income tax rules, taxpayers are allowed to seek deduction from the interest income earned from the deposits available in a savings bank account, however, this should not be in a time deposit. This income tax deduction is offered under Section 80TTA and Section 80TTB.


ITR Filing 2024: Additional Rs 10k benefit for income tax payers, Rs 50k for senior citizens - Details

ITR Filing 2024: The income tax return filing season is on and salaried taxpayers and individuals are on the hunt for tax saving instruments and schemes that can help them save money. Section 80C is perhaps the most widely used tax-saving method used by the salaried class to claim deductions of up to Rs 1.5 lakh.
Apart from the Rs 1.5 lakh limit offered under Section 80C, there are several other ways by which an individual taxpayer can claim additional income tax deductions. Moreover, senior citizens can claim even bigger deduction than others.
ITR Filing 2024 – Income Tax Deduction
As per the income tax rules, taxpayers are allowed to seek deduction from the interest income earned from the deposits available in a savings bank account, however, this should not be in a time deposit. This income tax deduction is offered under Section 80TTA. This can be claimed by an individual or a HUF deriving income in the nature of interest on deposits in a saving account.
This deduction is available to every individual or HUF, irrespective of their residential status. However, if the individual is a senior citizen, he can claim a deduction in respect of interest on deposits under Section 80TTB.
Income Tax Deduction Under Section 80TTA
As per the Income Tax Act, 1961, an individual or HUF is eligible to claim a deduction under this provision in respect of interest on deposits in a saving account held with a banking company including any bank or banking institution; a co-operative society engaged in banking business (including co-operative land mortgage bank or co-operative land development bank); or a post office.
The assessee can claim a deduction of an amount equals to interest credited to his saving account or Rs 10,000, whichever is lower.

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