Page 15 - தேசிய ஓய்வூதியம் திட்டம் News Today : Breaking News, Live Updates & Top Stories | Vimarsana

Synopsis Here is a look at expenses/deductions which can be used to reduce tax payable under the old tax regime. Getty Images The month of March marks the end of the financial year and is the time when taxpayers needs to evaluate their tax liability taking into account eligible deductions, based on their income for that financial year (FY). Not availing certain eligible deductions can result in higher tax outflow. It is to be noted that from FY 2020-21, a taxpayer can choose to pay tax under the new, concessional tax regime. In case the taxpayer opts for the new tax regime, he/she will have to forego most tax deductions and exemptions. In some cases, the taxpayer may want to opt for the existing tax regime but due to liquidity issues, especially considering the Covid-19 pandemic situation, may not be able to make further tax-saving investments. Such taxpayers need not get disheartened as certain expenditures are also eligible for tax deduction.

National pension schemeEmployee provident fundSenior citizen savings schemeChildren education allowanceHostel allowanceSenior secondary examinationSenior citizensCentral governmentRent allowanceHouse rent allowanceProvident fundTax saving investmentTax deductionOld tax regimeTax exemptionTax saving