What is 80CCG exemption?
Deduction under Section 80CCG Individuals with a valid Demat Account who haven’t indulged in equity or derivative transactions are entitled to a 50% deduction on their investment, subject to a maximum investment of Rs 50,000. This, in essence means that investments upto Rs 50,000 can get a 50% tax deduction.
Is Section 80CCG still valid?
The RGESS permits a deduction under Section 80CCG for investments in equity shares and mutual funds. Date: 20 May, 2021 | The Income Tax Department extends the following due dates – Income Tax Return filing date extended to 31st Dec,21 from 30th Sep 2021.
What is Section 80CCE?
Currently, Section 80CCE allows an individual to deduct up to Rs1. 5 lakh from gross total income (before calculating tax payable) if this Rs 1.5 lakh is invested in specified avenues (including NPS). Certain specified expenditures also qualify for deduction under this Rs 1.5 lakh limit of section 80CCE.
What comes under 80CCG?
The investment eligible under Section 80CCG can comprise of securities of BSE/CNX100/Shares of Maharatna/Navratna/Miniratna/ETFs/Mutual Funds/Select IPOs of public sector undertakings. Deduction for Investment under Rajiv Gandhi Equity Savings Scheme – Answered above.
How do I claim 80CCG?
Eligibility Criteria for Deductions under Section 80CCG
- Deductions under this section apply only to first-time equity investors.
- Equity investments made must have a lock-in period of a minimum of three years.
- The income of the individual claiming deductions under this section must not exceed Rs.
What is ESS fund?
Equity savings invest the total fund amount between equity funds, debt funds and arbitrage. This scheme is a relatively new financial instrument introduced to the Indian money market. ESS is somewhat akin to balanced funds in their operations, with an added advantage of arbitrages.
How can I get Rajiv Gandhi equity scheme?
- Open a new demat account with any DP of NSDL.
- If you already have a demat account and you are eligible, designate your demat account under RGESS.
- To designate your demat account under RGESS, submit a declaration in Form A to your DP.
- Start investing.
What is Section 16 IVA IVB IVC?
What is Section 16? Under this new provision of the Income Tax Act, a taxpayer who has income that is chargeable under the head ‘Salaries’ should allow deduction of Rs. 40, 000 or the salary amount, whichever is less, for the computation of the taxable income.
How do I invest under 80CCG?
What are the investments that are eligible for deduction under Section 80CCG?
- Units of ETFs and mutual fund schemes.
- Shares of miniratna/navratna/maharatna.
- Securities of CNX100/BSE-100.
What is Rgess in demat account?
Rajiv Gandhi Equity Savings Scheme or RGESS is a new equity tax advantage savings scheme introduced by the Ministry of Finance for first time investors in India. The scheme enables the investor to earn the returns of equity market and be eligible for tax benefits on the investments made under this Scheme.