You will be eligible to claim some more tax deductions for financial year 2015-16. Here is a quick update of the revised limit under various Income Tax sections that you must remember to claim this year.
1. Deduction limit on your medical insurance premium paid for self, children and spouse under Section 80D of Income Tax Act has been increased to Rs 25,000 per annum from earlier Rs 15,000 per annum. One can also claim a deduction of up to Rs 30,000 for medical insurance premium paid for parents against Rs 20,000 earlier. In case of senior citizen, the limit has been revised to Rs 30,000 per annum from earlier limit of Rs 20,000.
2. This year, you can claim an additional deduction of Rs 50,000 towards contribution made to New Pension Scheme (NPS) under Section 80CCD (1B) of Income Tax Act. This is apart from Rs 1.5 lakh deduction available under Section 80C. Now, the combined deduction under Section 80C and 80CCD (1B) is Rs 2 lakh.
