The article lists down a few new developments that every taxpayer should be aware of this year to save on taxes. These developments are related to Rajiv Gandhi Equity Savings Scheme, TDS on Leave Travel Allowance, Preventive Healthcare and Home Loan Repayment/HRA.
Rajiv Gandhi Equity Savings Scheme is a new tax-saving instrument announced in the budget in March. This instrument is meant for new retail investors, whose gross total income is not more than Rs. 10 lakh. You can invest up to Rs. 50,000 in this scheme and avail a deduction of 50%.
Vaibhav Sankla, director with tax consultancy firm H&R Block suggests that taxpayers should consider investing in this scheme before making investment declarations. Since the detailed guidelines were recently released by Securities and Exchange Board of India (SEBI), therefore, one should keep track of further developments in this scheme to find out when you can commence investing in the scheme. But, you are required to open a demat account specially to invest in this scheme.
Another announcement in the Union Budget point towards deduction of up to Rs. 5,000 for preventive healthcare. Sankla adds that taxpayers can submit the bills of preventive medical tests undergone at pathology labs or hospitals along with their investment declaration.
The article further elaborates on the other above mentioned developments.
Source : Economic Times