Income Tax Saving Options: If you are depositing a significant part of your hard-earned money with the government every year in the form of Income Tax,
then you must be thinking, how can I save this money for myself?
So we will tell you how many types of income you can get tax exemption, or you do not need to pay tax on them.
This much income is tax-free.
First, you should know that an annual income of Rs 2.5 lakh is tax-free.
Then on top of this, you can save tax by investing in some unique options.
There is also some income on which tax is not levied, which very few people know about.
We are going to give you complete information related to this. Which you can take advantage of for yourself. ,
- You can invest a maximum of Rs 1.5 lakh yearly in Public Provident Fund (PPF). This money of yours will be completely tax-free.
- In this, you will be interested in the investment, and your maturity amount will not be taxed.
- Before retirement, government employees have the option of voluntary retirement. On this, they get the money together.
- Out of this, the amount up to Rs 5 lakh remains tax-free.
- Under Section 10(2) of the Income Tax Act, money received from Hindu Undivided Family (HUF) or inherited money is tax-free.
- You can take advantage of this in income tax.
- Suppose you are associated with the farming business. That means whatever you are earning from farming will be completely tax-free.
- On the other hand, if the money you get is in the form of profit sharing as a partner in a firm, no tax will be levied on it.
- The company has already paid the tax, but this tax exemption will only be available on profits.
- If you are employed, then first understand the rule of gratuity. Gratuity is made after working for five years in a company.
- The amount of compensation is entirely tax-free. There is a limit to this tax-free amount.
- The bonus of a government employee up to Rs 20 lakh is not taxed. Similarly, gratuity up to Rs 10 lakh of a private employee is not taxed.
