Income Tax: Senior citizens are entitled to claim THESE benefits
ITR 2025: As income tax (I-T) return filing season is back, taxpayers are busy arranging documents to be able to file their income tax (I-T) return. There are a number of concessions and deductions offered for different category of taxpayers based on different criteria include the age of taxpayers.
For instance, there is a higher exemption limit for senior citizens at the time of filing tax return and higher deduction towards medical expenses for specified diseases. Senior citizens are also allowed income tax deduction on interest income they stand to earn from savings accounts and fixed deposits.
I. Deduction on medical insurance premium: While regular citizens are offered a maximum of ₹ 25,000 deduction in form of medical insurance premium, senior citizen are entitled to claim maximum of ₹ 50,000 for senior citizens.
II. Medical expenses for specified diseases: Senior citizens are also entitled to claim up to ₹ 1 lakh under 80DDB for treatment of specified diseases as compared to ₹ 40,000 for those aged below 60.
III. Interest income on savings and fixed deposits: Senior citizens and super senior citizens are also allowed a deduction of up to ₹ 50,000 on interest income they earn from savings accounts, fixed deposits and recurring deposits (RDs) in banks and post offices.
IV. Exempt from filing ITR: Additionally, the basic exemption limit for taxpayers is ₹ 2.5 lakh, whereas it is higher for the senior citizens i.e., ₹ 3 lakh and ₹ 5 lakh for super senior citizens. This means citizens above the age of 60 do not need to pay any income tax for annual income upto ₹ 3 lakh.
Additionally, section 194P of I-T Act, 1961 introduced in 2021 provides conditional relief to taxpayers above the age of 75 from filing tax returns.
For all personal finance updates, visit here
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
30 minutes ago
- Time of India
Sensex slides over 800 points as global tensions resurface
Representative image (ANI) MUMBAI: Geopolitical factors, primarily talks of an imminent Israel attack on Iran, left global investors jittery, impacting those on Dalal Street on Thursday. As a result, the Sensex closed 823 points down at 81,692 points, with L&T, Infosys , and ICICI Bank contributing the most to the index's loss for the day. The day's session also left investors poorer by nearly Rs 6 lakh crore, with BSE's market capitalisation now at Rs 449.6 lakh crore, official data showed. Tariff-related uncertainties and rising crude oil prices also weighed on investors, market players said. On the NSE , Nifty closed 253 points lower at 24,888 points. According to Vinod Nair, head of research at Geojit Investments, consolidation in domestic markets is evolving into a broad-based trend, now extending to large-cap stocks. "Valuation concerns and rising oil prices, driven by West Asia tensions, are fuelling risk aversion among investors. Adding to the uncertainty, the US is considering unilateral tariff hikes on several key trading partners, with a decision expected within the next one to two weeks, ahead of an early July deadline. " In Thursday's session, foreign funds were net sellers of stocks worth Rs 3,831 crore, while domestic funds were net buyers at Rs 9,394 crore, BSE data showed. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
&w=3840&q=100)
Business Standard
7 hours ago
- Business Standard
Got multiple source of income? Here's how to tax returns, use correct forms
Filing Income Tax returns (ITR) is complicated if have income from multiple sources like salary, rent, stock trading or as a social media influencer. Mistakes in disclosure or selecting forms can lead to information not matching tax records and scrutiny by the authorities. Experts explain how to avoid tax notices while filing ITR this year. Common ITR filing mistakes with multiple income sources Salaried individuals often overlook non-salary income such as interest from fixed deposits, rental income, or capital gains, says S R Patnaik, partner (head - taxation) at Cyril Amarchand Mangaldas. "Even when such income is reported, misclassification or failure to claim applicable deductions is a frequent issue, which can lead to mismatches with Form 26AS or AIS," he notes. Aarti Raote, partner at Deloitte India, says choosing the wrong ITR form is a common mistake. 'For example, someone with consultancy income in addition to salary cannot file ITR-1. They may need to file ITR-3. Filing taxes at the last minute leaves little time to reconcile income details across documents.' 'Even failing to verify your return after e-filing renders it invalid,' says Siddharth Nigotia, senior associate at SKV Law Offices. How to report multiple incomes correctly while filing ITR Maintaining records meticulously helps in the task, experts say. 'Verify income receipts from digital platforms like YouTube, stock brokers, or clients against Form 26AS and AIS before filing,' says Patnaik. He advises maintaining bank statements, invoices, and Form 16A for TDS credits to prevent mismatches. 'Include all receipts, YouTube payments, UPI credits, consulting invoices, under the appropriate head, whether it's 'income from other sources' or 'profits and gains of business or profession'. Examine every entry in your AIS for high-value transactions, TDS, dividends, and rent to avoid omissions,' says Nigotia. Raote also recommends frequent reconciliation. 'Most brokers and consultants issue annual income and TDS summaries. But it is the taxpayer's duty to verify them with the AIS and 26AS periodically.' What if you misreported an income in ITR? Missing out on disclosing income doesn't automatically mean trouble if corrected early. 'You can file a revised return under Section 139(5) by December 31, 2025,' says Patnaik. 'Doing so voluntarily, without a notice, helps you avoid penalties.' Raote notes that if you miss this deadline, 'you can still file an updated return within four years, but additional taxes and penalties would apply.' Nigotia underscores the importance of proactive revision. 'Revising before due dates generally invites no penalty; Only the interest on underpaid tax may be due.' Managing multiple bank accounts Receiving income in multiple bank accounts i.e salary account, business account, or payment apps does not impact tax liability directly, but can complicate tracking. 'All income is taxable regardless of which account it comes into,' says Nigotia. 'Even UPI receipts over Rs 50,000 per year must be reported under appropriate heads.' Patnaik advises consolidating financial data before filing to ensure no source is forgotten. 'New ITR forms also require disclosure of all bank accounts held in the year, so tracking across accounts is vital,' says Raote. If you have multiple sources of income, diligently track, classify and reconcile them for taxes. Choose the correct ITR form, check with AIS/Form 26AS, and file revisions early if needed. A little attention to detail can go a long way in keeping the taxman at bay.
India Today
11 hours ago
- India Today
Isuzu announces nationwide I-Care monsoon service camp from June 16 to 21
Isuzu Motors India has announced the launch of its nationwide 'I-Care monsoon service camp', offering service benefits and preventive maintenance checks for its range of D-MAX pick-ups and SUVs. The camp will be held from June 16 to 21, 2025, across all authorised Isuzu dealer service outlets in at enhancing customer satisfaction and ensuring a hassle-free driving experience during the monsoon season, the initiative is part of the company's Isuzu Care programme. The service camp will provide special offers and comprehensive vehicle inspections, supporting owners in maintaining their vehicles during the challenging rainy Monsoon Camp will be conducted in over 80 cities, including major locations such as Delhi, Mumbai, Bengaluru, Chennai, Hyderabad, Kolkata, Pune, Jaipur, Ahmedabad, Lucknow, and Guwahati, among others. Customers can contact their nearest Isuzu dealership or book their service online, or via call for more details. Isuzu Motors India, a subsidiary of Isuzu Motors Limited, Japan, currently offers models such as the Isuzu D-MAX V-Cross, Hi-Lander, and mu-X SUV for the personal segment, along with S-CAB, S-CAB Z, and Regular Cab for commercial users. Known for their reliability and durability, Isuzu vehicles continue to gain popularity in India for their value-driven Isuzu vehicles are manufactured at the brand's advanced 107-acre plant in Sri City, Andhra Pradesh, which has been operational since 2016 and expanded further with a Press Shop and engine assembly facility inaugurated in to Auto Today Magazine
