LIC Tax saving plans

PolicyandFunds.com provides good customer services to choose Best LIC tax saving plans Life Insurance plans in India. Under Life Insurance Plans Investments towards the premium are eligible  for Tax exemption are secured under Section 80C of the Income Tax Act, 1961 up to a of Rs 1.5 Lakhs in India. Term Insurance tax benefit section comes under 80c. Continues on maturity or death are Tax Free under Section 10(D). List of LIC Investment Schemes are available to save tax with life coverage, it helps the policy holder to achieve their Short-Term as well as Long-Term Financial Goals, gives highest return in the Life Insurance Industry, Plans available for 5 , 10, 15, 20 and 25 years to double the money. We help to check the: Eligibility, Sum Assured, Policy Benefits, Details, Features, Reviews, & Life Insurance tax benefit Premium Calculator, and to find the Best LIC Tax Saving Life Insurance Plans in India 2018.

Available various Tax Saving Plans in LIC for different age groups like, One Time Investment with Tax Benefits, LIC tax saving fixed deposit schemes like investing in bank its called single premium plans. Term Insurance PolicyEndowment PolicyMoney Back PolicyChild Future Plan PolicyInvestment PlansPension PlansLIC Tax Saving PlansULIP Insurance Plan and we are the authorized and best LIC Agent in Chennai, LIC policy holder who is customer or clients with LIC India may contact us for any LIC India Chennai Branch related quires and claim related assistance.

LIC Tax Saving Plans

Different Tax Saving Benefits under LIC Life Insurance Plans

Life insurance policies are helpful tax planning devices, in light of the fact that the policy holder is qualified for tax benefits under the Income Tax Act (1961). There are different modes for saving tax, yet life insurance is a standout amongst the best tax planning instruments.

With LIC of India Life Insurance plans, you can save tax as well as take a gander at accomplishing your long term goals alongside financial security.

 

How to save income tax with Life Insurance Plans in India?

Under the Income Tax Act (1961), you can save tax on your well deserved cash by utilizing our creative Life Insurance products and arrangements. You can get tax points of interest at various phases of the policy.

  • Stage 1: Entry Advantage – You get tax benefits on your premium payments under Section 80C (life insurance), 80CCC (annuity) and Section 80D (health)
  • Stage 2: Earnings Advantage – The growth or development of your cash under the life insurance policy is not taxable.
  • Stage 3: Exclusive Switching Advantage – You can switch between equty, obligation and adjusted assets whenever and these switches are not taxable
  • Stage 4: Exit Advantage – You get a tax free Maturity Benefit under Section 10(10D)

Life insurance Plans is a financial sparing instrument (gadget)

Life insurance is a basic bit of any individual’s financial portfolio. It offers security to you and your family against basic ailment, inability, and passing. There are diverse sorts of life insurance designs like Endowment policy, Term insurance, unit connected plans and so forth., and so on. From a tax perspective, each one of these items are managed likewise under the attentive gaze of The Income Tax law. So paying little notice to the kind of the arrangement picked, you can value the going with benefits:

  • Under Section 80C, spare tax on the premium paid on insurance policies. Under Section 10(10D), development/passing benefits are sans tax subject to the conditions indicated in that.
  • Under Section 80D, benefit tax advantage on premium paid towards basic sickness advantage offered by term insurance policy
  • With the happening to advancement, you can buy distinctive tax-sparing financial items online to spare both your shot and attempts. In any case, don’t place assets into any financial or insurance item just to spare tax. It is fine to pay tax when you can’t place assets into a correct speculation item yet never contribute just to spare taxes!

Income Tax Slab Rate and Deductions – FY 2017-18 (AY 2018-19)

What is Income Tax Slab in India?

Income tax is that level of income paid to the Government of India by the taxpayers for the movement of general society allowed to move around freely. This income is engineered into various gatherings on the introduction of the measure of income. Each such collecting is known as a Tax Slab. Tax is charged at various rates on the degree of income falling under various income tax slabs.

The Income Tax Act 1961 is the law that manages the approaches for our income tax in India.

The income tax slab rates are consistently revived each year amidst the money related course of action. Differing conclusions that are permitted to a taxpayer under Section 80C, Section 80D etc.,

Income Tax Slab Rate Post Budget 2017

The tax is enrolled by the income tax slabs declared by the Government of India in the Budget. Indian Finance Minister has reported the changes in the tax slab structure in union budget for 2017.

Following are the income tax slab in India: Rates and Deductions for various tax payers:

Income Tax Slab – Income Tax Rate For Men Age below 60 Years

Income Tax Slab in India Income Tax Rate in India Education Cess in India Secondary and Higher Education Cess (SHEC) in India
Earning Income upto Rs. 2,50,000 Nil Nil Nil
Earning Income between Rs. 2,50,001 to Rs. 500,000 5% of Earning Income above Rs. 2,50,000 2% – Income Tax 1% – Income Tax
Earning Income between Rs. 500,001 to Rs. 10,00,000 20% of Earning  Income above Rs. 5,00,000 2% – Income Tax 1% – Income Tax
Earning Income above Rs. 10,00,000 30% of Earning  Income above Rs. 10,00,000 2% – Income Tax 1% – Income Tax

Income Tax Slab – Income Tax Rate For Women Age below 60 Years

Earning Income Tax Slab in India Earning Income Tax Rate in India Education Cess in India Secondary and Higher Education Cess (SHEC) in India
Earning Income up to Rs. 2,50,000 Nil Nil Nil
Earning Income in between Rs. 2,50,001 to Rs. 500,000 5% of Earning Income above Rs. 2,50,000 2% – Income Tax 1% – Income Tax
Earning Income between Rs. 500,001 to Rs. 10,00,000 20% of Earning Income above Rs. 5,00,000 2% – Income Tax 1% – Income Tax
Earning Income above Rs. 10,00,000 30% of Earning Income above Rs. 10,00,000 2% – Income Tax 1% – Income Tax

Income Tax – Income Tax Slab Rate for Senior Citizens of India – Age above 60 old and less than 80 years old

Income Tax Slab in India Income Tax Rate in India Education Cess in India Secondary and Higher Education Cess (SHEC) in India
Earning Income upto Rs. 3,00,000 Nil Nil Nil
Earning Income between Rs. 3,00,001 to Rs. 500,000 5% of Earning Income above Rs. 3,00,000 2% – Income tax 1% – Income tax
Earning Income between Rs. 500,001 – Rs. 10,00,000 20% of Earning Income above Rs. 5,00,000 2% of income tax 1% – Income Tax
Earning Income above Rs. 10,00,000 30% of Earning Income above Rs. 10,00,000 2% – Income tax 1% – Income Tax

Income Tax – Income Tax Slab Rate for Senior Citizens of India – Age above 80 years old

Income Tax Slab in India Income Tax Rate in India Education Cess in India Secondary and Higher Education Cess (SHEC) in India
Earning Income up to Rs. 5,00,000 Nil Nil Nil
Earning Income between Rs. 500,001 to Rs. 10,00,000 20% – Earning Income above Rs. 5,00,000 2% – Income Tax 1% – Income tax
Earning Income above Rs. 10,00,000 30% – Earning Income above Rs. 10,00,000 2% – Income Tax 1% – Income Tax

Income Tax – Income Tax Slab Rate for Hindu Undivided Families (HUF) in India

Income Tax Slab in India Income Tax Slab Rate in India
Earning Income Up to Rs.2,50,000 Nil
Earning Income Rs.2,50,000 – Rs.5,00,000 10% Earning Income above Rs. 2,50,000
Earning Income Rs.5,00,000 – Rs.10,00,000 20% Earning Income above Rs. 5,00,000
Earning Income above Rs.10,00,000 30% Earning Income above Rs. 10,00,000

Income Tax – Income Tax Slab Rate Legal Entities Registered as Associations of Persons (AOP) in India 

Income Tax Slab in India Income Tax Slab Rate in India
Earning Income Up to Rs.2,50,000 Nil
Earning Income Rs.2,50,000 – Rs.5,00,000 10% Income above Rs. 2,50,000
Earning Income Rs.5,00,000 – Rs.10,00,000 20% Income above Rs. 5,00,000
Above Rs.10,00,000 30% Income above Rs. 10,00,000

Income Tax – Income Tax Slab Rate for Legal Entity Registered as Bodies of Individuals (BOI) in India

Income Tax Slab in India Income Tax Slab Rate in India
Earning Income Up to Rs.2,50,000 Nil
Earning Income Rs.2,50,000 – Rs.5,00,000 10% Income above Rs. 2,50,000
Earning Income Rs.5,00,000 – Rs.10,00,000 20% Income above Rs. 5,00,000
Over Rs.10,00,000 30% Income exceeding Rs. 10,00,000

Partnership Firms:

Partnership Firms and LLPs (Limited Liability Partnerships) – Tax rate 30%

Local Authorities:

Local Authorities – Tax rate 30%.

Domestic Companies:

Domestic Companies – Tax rate 30%

Income Tax Slab RateCo-operative Societies

Income Tax Slab in India Income Tax Slab Rate in India
Earning Income up to Rs.10,000 10% – Income
Earning Income Rs.10,000 to Rs 20,000 20% – Income above Rs. 10,000
Above Rs. 20,000 30% – Income abve Rs. 20,000

and also to be the following,

Surcharge:

  • In 2% of the income tax amount – (If income is more than Rs.1,00,00,000/-)
  • In 5% of the income tax amount. (If income is more than Rs.10,00,00,000/-)

Education Cess: Extra 2% – Charged from the amount of income tax + surcharge being paid

Secondary and Higher Education Cess (SHEC): Extra 1% – Charged from the amount of income tax + surcharge being paid

Different ways to Save Income Tax in India

Life insurance Plans (policy)

The premiums paid on life insurance policies are fit the bill for finding from taxable income under Section 80C to save tax. A bit of the other tax saving plans which fall under this portion are PPF, NSC (National Savings Certificates), Sukanya Samriddhi, NPS (National Pension System) and Education Fees of Kids. Regardless, the best entirety which can be asserted as conclusion from taxable income under this range is 1.5 lakh.

Health Insurance Policy

Health Insurance Policy Under Section 80D, premiums paid in any mode other than cash towards ensuring the soundness of self, mate, and children are met all requirements for finding for up to `25,000 from your taxable income. Paying the premium on health insurance policies of senior citizens makes you fit the bill for an additional thinking of `30,000 from your taxable income, in like manner helping you save more tax. This limit incorporates the expenses of up to 5000 realized on preventive of master health checkups.

Home Staying Rent Receipts

In case you are staying in a rented settlement and get HRA from your supervisor, you can assert finding under Section 10(13A). The base of the going with three will be allowed as exemption from taxable income before finding out tax on signify income

  • HRA got from the Employer which is Actual
  • The real rent paid in plenitude of 10% of crucial pay
  • half of the essential pay if you stay in a metro city and 40% if you stay in a non-metro city

Regardless, under Section 80GG, if you don’t get house rent stipend (HRA) from your chief or don’t have a private house, you can get thinking of house rent costs from your taxable income. The base of the going with three will be allowed as conclusion from taxable income:

  • 60,000 per annum
  • Rent paid short 10% of adjusted total income.
  • 25% of total income for the year.

Making of Charitable Donation (unselfish blessing)

A blessing made towards certain assistance saves and valuable affiliations is met all requirements for discoveries under Section 80G. Regardless, any blessing made in things, for instance, sustenance material, medicines, and so forward.; are not fit the bill for induction.

Financing Progressed or Advanced Education

Under Section 80E, the interest paid on an advance taken for cutting edge instruction possesses all the necessary qualities for a conclusion from taxable income. The deduction is offered for a most outrageous of 8 years or till the time the interest is paid, whichever is earlier

Buying Home (House)

Under Section 24, you can get tax advantage on home credit for interest installment for up to ‘2 lakhs. Moreover, first time home buyers can assert an additional finish of 50,000 on home advance excitement under fragment 80EE, gave the going with establishments are met:

  • The lodging credit should be approved in the FY 2016-17
  • The credit should not be more than 35 lakh
  • The private house estimation should be under 50 lakh
  • The home buyer should not have some other private property enrolled in his name.

Required Documents to buy Tax Saving Life Insurance Policy or Plans

Keeping in mind the end goal to apply for an Money Back Policy, clients will for the most part be required to submit essential documentation, for example, the accompanying:

  • Completely filled Application form/Proposal frame.
  • Photo.
  • Evidence of living arrangement/address verification.
  • Evidence(proof) of age.
  • Medical Reports (just if required).

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