Section 80TTA:How To Claim Income Tax Rebate On Saving Bank Deposits
Section 80TTA provides the tax payer income tax deduction of rs 10000 on interest income of saving bank account.
It is important to note here that no firm,Body of individuals,Association of persons,LLP can take tax benefit under Sec 80TTA.
Section 80TTA For AY 2018-19 In Budget 2018
There is no change in the amount of tax benefit in the current year Budget 2018-19.
That is to say one can take rs 10000 interest income benefit under section 80TTA OF INCOME TAX ACT that got from income lies in saving bank account.
How to claim tax benefit under section 80TTA In the income tax return AY 2018-19
In the month of MAY or JUNE tax payer has to file ITR online.
In order to take income tax benefit on saving bank interest income,one has to add the income in the section INCOME FROM OTHER SOURCES in the ITR form.
Suppose you have earned rs 10000 as interest from income one lakh in FY 2017-18.
SO tax payer will put one lakh in the INCOME FROM OTHER SOURCES Section while filing ITR.
ONLY THEN HE CAN PUT RRS 10000 IN THE SECTION 80TTA.
For Senior citizens
As far as senior citizens are concerned,there is no extra tax benefit is available under Section 80TTA
In other words Max rs 10000 are available for tax benefit under 80TTA SECTION for senior citizens also.
If you have any FD OR RD in a bank,there will be no tax Rebate on this.
As FD AND RD are taxable under income tax act.
Finally we can say that under 80TTA of IT ACT only individual and HUF(HiNDU UNDIVIDED FAMILY) can take rs 10000 tax benefit.