This maximum investment amount is decided by the government. In addition the tax credit limitation for certain RD venture corporations ie.
4 Ways To Reduce Your Income Tax In 2017
Based on the income tax slab an individual falls into they do their maximum tax saving.
. The most common sections in Income Tax Act are 80C 80CCD 1B 24 b and 80D. Corporations established in the past ten years or less with carryforward losses and that are not a subsidiary of a large corporation is 40 of the corporate tax liability while the rate of 25 is. However every section amongst these has a pre-set maximum investment amount.
The upper limit of the tax credit ratio of 10 is temporarily increased to 14 until 31 March 2021.
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