Part C- Deductions and Taxable Income

Deductions

I collect : proofs of my saving linked deductions:

Tax saving instruments (in Section 80C)

This I am allowed upto Rs.1,50,000, remember?

My Mediclaim receipt (in Section 80D)

This I am allowed upto Rs.25,000 (and raised upto Rs.50,000 where the insured is a senior citizen)

I need to fill in details whether I am in 25 or 50 class.

My Donation receipts (in Section 80G)

I need to fill in name, address, PAN of the entities where I gave donations. Remember there were 2 classes, the 50% class, the 100% class (where I get 50% benefit and where I get 100%  benefit). Again each of these were in 2 further sub-classes, having the 10% restriction to total income, and without restriction entities. So I should fill the class and sub class properly and do my deduction computation properly.

Now we come to Income category deductions

My saving bank interest (Sec 80TTA)

I fill my deduction for saving bank interest income received upto Rs.10,000

My saving bank interest (Sec 80TTB)

If I am a senior citizen and above, I don’t do Section 80TTA, I look for higher credits or benefits.

I take total interest deduction (whether I received on saving, bank deposits or post office )  upto Rs.50,000.

Total Deductions

I total my deductions.

Net Income

I come to or arrive at my Net Income.

Reporting

I report my total of exempt incomes