RESUME APPLICATION PAY PREMIUM
Fund Performance

Fund Performance

Knowledge Center

Knowledge Center

About Us

About Us

Tools and Calculators

Tools & Calculators

Quick links

Mobile (Download app)
  • Webpages
  • Documents
  • HDFC Life ClassicAssure PlusInvestment
  • HDFC Life ClassicAssure PlusInvestment
  • HDFC Life ClassicAssure PlusInvestment

For NRI Customers

(To Buy a Policy)

(If you're our existing customer)

For Online Policy Purchase

(New and Ongoing Applications)

Branch Locator

For Existing Customers

(Issued Policy)

Fund Performance Check

RESUME APPLICATION PAY PREMIUM

What do you want to do?

Quick links

Mobile (Download app)

Download HDFC Life App

Buy plans, track your policy, make renewal payments & monitor fund performance with HDFC Life App, Download Now!

Apple Logo Go to Google Play Store

Income Tax Exemptions FY 2017-18

down-arrow
November 19, 2016

According to the Income Tax Act, 1961, there are various exemptions and deductions for taxpayers in India. These exemptions, often revised during one or the other financial year (FY), reduce the tax liability of taxpayers, thereby helping them save a significant amount of money.

Following is a list of income tax exemptions for FY 2017-18.

1. Exemptions under Section 80C

You may avail of the numerous deductions under Section 80C, and enjoy a maximum exemption of up to INR 1.5 lakh. Investments made in various financial instruments fall under this category, which include the National Savings Certificates (NSC), Equity-Linked Saving Scheme (ELSS), Public Provident Fund (PPF), Employee Provident Fund (EPF), Sukanya Samriddhi Account Deposit Scheme, Senior Citizen Savings Scheme (SCSS), and National Pension System (NPS), among others. Other deductions allowed under Section 80C include tuition fees for children, stamp duty charges paid while purchasing a new home, and repayment of the principal amount of a home loan.

2. Deductions under Section 80CCC

Under this section, you may enjoy exemption on contributions made towards annuity plans purchased through any life insurance companies.

3. Exemptions under Section 80DD

In case any of your dependents suffer from 40% disability, you may claim up to INR 75,000 on medical expenses incurred by you. Such dependents may include your spouse, parents, siblings, or children. You may avail of a higher limit of INR 1.25 lakh in case your dependents suffer from 80% disability.

4. Section 80DDB

Individuals may claim deductions up to INR 40,000 on expenses incurred towards a treatment of specified critical illnesses. You may also claim this deduction in case any of your dependents suffer from a critical illness. Senior citizens may avail of a high exemption limit of up to INR 60,000, while super senior citizens (those who are 80 years and above) may enjoy deductions of up to INR 80,000 under this section.

5. Section 80D

Medical insurance is a popular option among taxpayers as it reduces tax liability up to INR 25,000. Individuals may claim deductions on the premium paid towards the health policy of themselves, spouse, and children. Senior citizens may enjoy a higher limit of INR 30,000.

6. Rebate available under Section 87A

Section 87A which offered INR 5,000 rebate to those earning up to INR 5 lakh per annum is now reduced to INR 2,500 for those earning between INR 2.5 to 3 lakh annually. This indicates that the tax liability for individuals earning up to INR 3 lakh would be zero. Besides, those in the income bracket of INR 3-3.5 lakh would face a lower tax burden of INR 2,500.

Besides the aforementioned tax exemptions, there are several others available under various sections of the Income Tax Act. Section 24 allows deduction on interest paid towards your home loan, while Section 80E allows interest on an education loan to be claimed as a tax benefit. As a diligent taxpayer, you should not only have an in-depth knowledge of these deductions, but also of the income tax slab rates.

Term Plan Articles Term Plan Articles

Investment Articles Investment Articles

Savings Articles Savings Articles

Life Insurance Articles Life Insurance Articles

Tax Articles Tax Articles

Retirement Articles Retirement Articles

ULIP Articles ULIP Articles

Health Plans Articles Health Plans Articles

Child Plans Articles Child Plans Articles

Popular Calculators Popular Calculators

Insurance Advisor Articles Insurance Advisor Articles

Francis Rodrigues Francis Rodrigues

Francis Rodrigues has a decade long experience in the insurance sector, and as SVP, E-Commerce and Digital Marketing, HDFC Life, manages the online sales channel, as well as digital and performance marketing. He has had hands-on experience in setting up sales channels and functional teams from scratch over a career spanning 2 decades.

LinkedIn profile
Author Profile Written By:

Here's all you should know about life insurance.

We help you to make informed insurance decisions for a lifetime.

Union Budget 2025: Key Highlights, Tax Changes, and Economic Impact

Union Budget 2025: Key Highlights, Tax Changes, and Economic Impact

Explore Union Budget 2025 with key takeaways on income tax reforms, infrastructure development, and MSME support. Stay updated on budget allocations, new and old tax regimes, and changes impacting businesses and the middle class.

Difference between Section 80C and 80CCC

Tax Structure In India: Learn Indian Tax System & Taxation in India

How Budget 2025 Affects Life Insurance: A Detailed Overview

Explore the key changes from Indias Budget 2025, including new tax slabs, ULIP Taxation updates, and how these impact your Life Insurance and Financial Planning.

How Budget 2025 Affects Life Insurance: A Detailed Overview
Impact of Income Tax Slabs 2017-18 on Individual Taxpayers Previous
Insurance as a Tax Saving Investment Next
HDFC life
HDFC life

HDFC Life

Reviewed by Life Insurance Experts

HDFC LIFE IS A TRUSTED LIFE INSURANCE PARTNER

We at HDFC Life are committed to offer innovative products and services that enable individuals live a ‘Life of Pride’. For over two decades we have been providing life insurance plans - protection, pension, savings, investment, annuity and health.

Popular Search

Popular Searches