Income Tax Deductions List The standard deduction replaced transport allowance of Rs 19200 and medical reimbursement of Rs 15000. ⦠No further changes in the corporate tax. Note- From AY 2021-22, an individual can only claim the standard deduction if he opts for the old tax regime. Note 1:- An additional 4% health & education cess will apply to the tax amount calculates as above. 50,000 out of their income.
Section 16- Standard Deduction, Entertainment Allowance and ... Income tax benefits for senior and very senior citizens 50,000/- or salary amount whichever is lower. The standard deduction for AY 2020-21 under Income from House Property is 30%. However, standard deduction under the head of salaries is a default deduction. You reduce it from the salary income of the individual to lower the taxable amount. Only a salaried individual or an individual claiming the pension can use it.
Standard Deduction The new Section 80TTB is meant for Senior citizensâ interest income earned from bank and post office Savings and Fixed deposits. In the assessment year, 2019-20 salaried individuals could deduct a flat amount of Rs 40,000. From FY 2019-20 [AY 2020-21] the deduction os allowed by â¹ 12500, and the taxable income up to â¹ 5 Lakhs is tax-free. Union Budget 2020-21 Deductions for Senior Citizens .
Income Tax Deductions List 2020-21 But, they could no longer deduct transport and medical allowance. The Finance Bill 2019-20 had increased this deduction to Rs 50,000 for all salaried employees & pensioners.
Income Tax for Senior Citizens - Exemption, Calculation ⦠The Standard Deduction of Rs 40,000 for FY 2018-19 was increased to Rs 50,000 for FY 2019-20.
Standard Deduction 2020 Senior