Maximum deduction on life insurance, medical insurance & tuition fee restricted to just Rs 50,000 !

Direct Tax Code 2010 has three section 70, sec.71 & section 72 which deals about tax incentive (read deduction ) on premium paid on life insurance, mediclaim and payment of tuition fee respectively. Each section has its own conditions to be fulfilled in order to claim deduction (read incentive ) . However, there is section 73 under Direct Tax Code which restricts aggregate … [Read more...]

Does Direct Tax Code 2010 allow Interest deduction from house property income?

Well interest is allowed without any limit in case house is let out. However, no interest is allowed to be deducted while computing the "income from house property" on a property which is not put to rent . The simple reason is that there is no computation of income from house property as the house was not let out.However , good news is that the interest to the extent of Rs … [Read more...]