My total salary for the year 20-21 financial year till Jan 21 is 681991. My salary per month after deduction is 72000/- p.m. My total investment and deduction is as follows:
1. Housing principal-218886/-
2. Housing Interest-118632/-
3. Child school fees-37800/-
4. LIC- 45000/-
IT deduction by company till date = 18000/- till date. 4500/ Rs is deducted since october 2020.
What should i do to save tax?
Ans: As per the details mentioned above section 80C is completely covered.
In order to avail further benefit, you can avail medical insurance premium under section 80D. You can claim deduction upto 25,000 on premium paid towards medical insurance for self, spouse and children and parents below 60 years of age and Rs. 50,000 if parents are above 60 years of age.
You can also avail an additional deduction of 50k by investing in NPS.