Question

Explain the provisions applicable to gifts in different circumstances u/s 56(2). Also, explain

the deductions available u/s 80C and 80D.​

Answer 1

Explanation:

Budget 2021 update :It has been proposed to exempt the senior citizens from filing income tax returns if pension income and interest income are their only annual income source. Section 194P has been newly inserted to enforce the banks to deduct tax on senior citizens more than 75 years of age who have a pension and interest income from the bank.

For FY 2019-20, investments made up to 31 July 2020 can be claimed as deduction under Section 80C, Section 80D, Section 80E and up to 80GGC (Chapter VI A deductions). The due date for AY 2020-21 is extended to 10th January 2021. For tax audit cases and Transfer Pricing cases, the due date is extended to 15th February 2021.

Deductions on Section 80C, 80CCC & 80CCD

For financial year 2019-20 (including budget amendments)

There are various deductions a taxpayer can claim from his total income which would bring down his taxable income and thereby reduce his tax outgo. Discussed in this article are some of the important deductions under Section 80C a taxpayer is eligible to claim.

Sec 80c