ECONOMICS
SAVING AND INVESTING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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the same a tax defferal
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a delayed payment method
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a no tax rate
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a type of investment
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Detailed explanation-1: -A tax exemption is the right to have some or all of one’s income exempt from country’s taxation. The majority of taxpayers are eligible for a number of exemptions that can be used to lower their taxable income, while some people and organisations are fully free from paying taxes.
Detailed explanation-2: -NOTE: Income tax exemption limit is up to Rs 2, 50, 000 for Individuals, HUF below 60 years aged and NRIs. An additional 4% Health & education cess will be applicable on the tax amount calculated as above.
Detailed explanation-3: -It allows for a maximum deduction of up to Rs.1.5 lakh every year from an investor’s total taxable income. Section 80C is applicable only for individual taxpayers and Hindu Undivided Families. Corporate bodies, partnership firms, and other businesses are not qualified to avail tax exemptions under Section 80C.