Few Best Tips to Save Income Tax If You Earn ₹7 Lakh or More

After the release of the union budget 2023, by Nirmala Sitharaman, many individuals are highly relaxed as the tax exemption limit was increased to ₹7 lakh. But still many fall under the category of paying tax having their incomes set at ₹7 lakh or more. Problem is that everyone wants to earn but no one wants to lose his or her hard-earned money by paying taxes upfront. Our country’s tax provision levies tax on the gross income of any individual or organisation. So the more your income is, the more taxable amount you will need to pay.

So, how can you save tax, and that too legally?

Few Best Tips to Save Income Tax If You Earn ₹7 Lakh or More

Some of the Best Tax Saving Tips for Individuals Earning ₹7 Lakh or More:

Section 80D: Paying Health Insurance Policy Premium

  • You can get tax deductions under Section 80D on the payments made towards the premium of yours, your spouse and your Children’s Health Insurance.

Section 80C

  • Investing your taxable income in government-backed savings schemes like ELSS, EPF, PPF, Fixed deposit for 5 years, Sukanya Samriddhi Yojana, and others, will help you to get tax deductions Under Section 80C.

Section 80E

  • Under Section 80E you can avail of tax deductions against higher education expenses you bear for your child.

Section 80DD

  • Section 80DD allows a deduction to the extent of Rs 75,000 & Rs 1,25,000 in case of partial or severe disability.

Section 80G

  • Under Section 80G deductions can be claimed if you are donating a satisfactory amount of money to a charitable trust or NGO.

Also read:

PhonePe Users Can Now Make UPI Payments in These 5 Countries

Home Loan Repayments

  • Can enjoy a deduction of up to Rs 2 lakh on a new house
  • On principal amount: Up to Rs 1.5 lakhs u/s 80C
  • On interest amount: Up to Rs 2 lakhs u/s 24b

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Rishabh Sharma

Rishabh is an experienced content writer and editor, he is working for Viralbake to cover a diversified range of categories. His articles mainly focus on providing information, being a travel guide, educating others, and also making people aware of technology, after all, he is a technophile. When not writing he can be found gaming, watching movies, and travelling.

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One Comment

  1. Deductions like 80C, 80D, 80E . 24 etc. can avail those who opt for paying tax at the old regime where the limit is 5,00,000/- not 7,00,000/-. Please clarify. 7 lakhs limit is for opting for new tax regime where the above deduction s are not allowed.

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