How to Maximize Annual Income and Lifetime Earnings in the year 2017
Section 80C of Income Tax Act allows exemption of investment or spending from income tax. But here’s how you can maximize your savings by making some common investments
– Up to 2 lakh if property is self-occupied and acquisition/construction of property is completed within 5 years from end of financial year in which loan was taken. No limit in case of let out/ deemed let out which aides to Maximize Annual Income and Lifetime Earnings
-To ensure you can Maximize Annual Income and Lifetime Earnings, Capital gains on sale of all listed securities mentioned above (other than debt-oriented MFs), held for more than 12 months, is treated as LTCG.
For those who have been eyeing a home for years, 2017 may be a good year to jump in and Maximize Annual Income and Lifetime Earnings. Home loan rates are down, as are property prices. Plus you get tax breaks!
Booking an apartment which is under construction is sometimes cheaper.
I-T law permits you to claim the total interest paid during the pre-delivery period as a deduction in five equal installments starting from the financial year in which the construction was completed or you acquired your apartment (generally this denotes the date of possession).
Additional deduction of Rs. 50,000 for interest paid shall be allowed for first-time buyers if certain conditions are fulfilled!