Question: What Are The 70 Exemptions Removed In Budget 2020?

Which exemptions are removed in Budget 2020?

What’s out Some of the 70 exemptions and deductions you won’t get in new regime.Section 80C investments.House rent allowance.Housing loan interest.Leave travel allowance.Medical insurance premium.Standard deduction.Savings bank interest.Education loan interest.Feb 5, 2020.

Which deduction is still allowed for 2020?

(xii) Deduction under section 35AD or section 35CCC; (xiii) Deduction from family pension under section 57(iia); (xiv) Any deduction under chapter VIA (like section 80C, 80CCC, 80CCD, 80D, 80DD, 80DDB, 80E, 80EE, 80EEA, 80EEB, 80G, 80GG, 80GGA, 80GGC, 80IA, 80-IAB, 80-IAC, 80-IB, 80-IBA, etc).

Is 80G removed?

All deductions under chapter VIA (like section 80C, 80CCC, 80CCD, 80D, 80DD, 80DDB, 80E, 80EE, 80EEA, 80EEB, 80G, 80GG, 80GGA, 80GGC, 80IA, 80-IAB, 80-IAC, 80-IB, 80-IBA, etc) will not be claimable by those opting for the new tax regime. … (Click here to know how to save on taxes for the financial year 2020-21.)

What are the exemption for income tax 2020 21?

Income Tax Slab FY 2020-21 for a non-resident taxpayer who is 35 years of age with an income of ₹ 15,00,000. The no-tax limit or the basic exemption limit for non-residents is ₹2,50,000 irrespective of their age. This is in addition to the surcharge that is 10% of tax where the total income exceeds Rs.

Which income is tax free?

According to new and old tax regimes, an individuals income below ₹ 2.50 Lakh is exempted from tax. However, you can claim tax rebate on income upto ₹ 5 Lakh and make it tax free.

Which regime is better for income tax?

New taxation regime is better for employees with less salary and less investments resulting in lesser deductions and exemptions.

Is 80CCF removed?

Not only has the finance minister kept the tax-saving limit under Section 80C unchanged, but the deduction under Section 80CCF for infrastructure bonds has been removed. This will reduce the total tax saving from the current Rs 1.2 lakh to Rs 1 lakh and push up the payable tax for individuals.

Is NPS applicable in new tax regime?

Section 80CCD(2) pertains to contributions made by the employer into the employee’s account of a notified pension plan such as National Pension System (NPS). … This can well be set-off on account of the loss of Standard Deduction of Rs 50,000 in the new tax regime.

Is NPS exempted in new tax regime?

New Delhi: In the new tax regime, the government has scrapped most of the tax deductions available in the old tax regime for lower slab rates. Popular investments under Section 80C like PPF, NPS, ELSS, NSE are not allowed for exemption in the new tax regime.

What all exemptions are removed from income tax?

In the new regime most deductions such as section 80C (investments in Provident Fund, National Pension Scheme etc), 80D (deduction claimed on the paid medical insurance premium), standard deduction of Rs 50,000, have been removed. There is, however, one deduction which can be claimed even under the new regime.

What are the exemptions for income tax 2020?

You can claim the following tax deductions in schedule DI: Deductions for tax-saving investments under section 80C, 80CCC and 80CCD. Deduction for payments such as medical insurance and expenses under section 80D, 80DD and 80DDB. Interest on housing and other eligible loans under section 80E, 80EE, 80EEA and 80EEB.

What is the maximum tax exemption?

This year’s Union Budget increased the Section 80C tax exemption limit from Rs 1 lakh to Rs 1.5 lakh. Besides, it increased the deduction limit for interest paid on loan for a self-occupied house from Rs 1.5 lakh to Rs 2 lakh. This is apart from the increase in the basic exemption limit from Rs 2 lakh to Rs 2.5 lakh.

What are the 70 exemptions removed?

What’s out: Here are a few of the 70 exemptions and deductions you won’t see in the new regime- Section 80C investments, house rent allowance, home loan interest, leave travel allowance, medical insurance premium, standard deduction, savings account interest, education loan interest.

Is 80C removed in Budget 2020?

[Budget 2020] Tax Rates Lowered But HRA, 80C, and INR 50,000 Standard Deduction Gone. In the Union Budget 2020, finance minister Nirmala Sitharaman proposed a new tax regime with lower tax rates for different income groups. … However, all without deductions.

Does ay 2021/22 have standard deduction?

*From FY 2020-21 (AY 2021-22) the deduction can only be claimed by an individual if he opts for the old tax regime. Compare your tax liability under the old and new tax regime.