Regarding income tax return

[Parm Dhillon]

Hi my mother age is 75 and her income from pension and interest is nearly 8 lacs. What is the criteria of taxation. Can she by a policy to get rebate from tax in this age?

 

[Skylar]

8 lacs.

Basic Exemption Limit: For the financial year 2023-24 (Assessment Year 2024-25), the basic exemption limit for senior citizens between 60 and 80 years old is Rs. 3 lakh. This means her first Rs. 3 lakh of income won't be taxed.

interest

Interest Income Exemption: Up to Rs. 50,000 of interest income from bank deposits and other sources is exempt from tax.

Can she by a policy to get rebate from tax in this age?

Health Insurance Premium (Section 80D): Up to Rs. 50,000 for health insurance premium paid for herself, dependent parents (including you), and spouse can be claimed as a deduction. There are additional deductions for preventive health checkups.
Senior Citizen Health Insurance Premium (Section 80D): An additional deduction of Rs. 7,500 is available specifically for the health insurance premium of senior citizens.


Better consult a tax advisor to understand the best options for your mother's specific situation. They can help you choose the most tax-efficient way to manage her income and investments considering her tax bracket and financial goals.

 

[ShavirB]

hi @Tax with Ria , would help if you could share your insights on this

 

[Tax with Ria]

Hi my mother age is 75 and her income from pension and interest is nearly 8 lacs. What is the criteria of taxation. Can she by a policy to get rebate from tax in this age?

Apart from all the other deductions and tax slab rate... She can obtain lower TDS deduction certificate under 15G/ 15H, as TDS under 194P might be getting deducted on her pension and salary income.