November 28, 2020

Budget In a Minute: How to save income tax? Understand Section 80C


Finance Minister Nirmala Sitharaman is all set to present the much-awaited Union Budget 2020  on 1st February. People often struggle to understand important  terms such as inflation, fiscal deficit, capital expenditure, revenue receipts, surplus budget, deficit budget, divestment, bad loans, a balanced budget, and many more. Yes, understanding  the budget in its entirety is a difficult process as it involves complex terms along with sections.
Understanding the budget becomes important to know what kind of benefits we are getting under a particular section and what are the additions and relaxations provided on it – this can lead to substantial savings of money. So, it becomes mandatory to understand the whole budget because it is all about our pocket! 

Don’t worry here is your guide to understanding various terms. Today, Zee Business Managing Editor Anil Singhvi has made it simple to understand Section 80C.

It is for sure that on your earnings, government will impose tax! And, if  you think that you can’t save tax, then you are absolutely wrong! There’s a way through which you can do so and it is called Section 80C. Under this section, if you invest Rs 1.5 lakh annually, then you can save that as money from going to the taxman. There are various options available for the investment under 80C. For instance, investment in life insurance, EPF and PPF. If you have taken a home loan and doing principal repayment, you get the exemptions there as well, You can also invest in Ulips. This option is easily available for salaried class. If government increases the limit, you can invest more in future and can save even more tax!

Notably, the Budget session of Parliament will commence on 31st January, 2020 at 11 AM with a joint session of both Lok Sabha and Rajya Sabha that will be presided over by President of India Ram Nath Kovind. Finance Minister Nirmala Sitharaman will present the Union Budget 2020 on 1st February 2020 at 11 AM.





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