The ULTIMATE Guide to SAVING TAXES Through FAMILY | Finance With Sharan

"senior citizens and super senior citizens have a basic exemption limit of three lakhs and 5 lakhs respectively and you have a basic exemption limit of 2.5 lakhs only so if you combine the tax liability for both you and your parent can substantially reduce the taxable income if you plan properly"

"under this section they can get a reduction of up to 50,000 Rupees for interest earned on savings and deposit accounts in their name like savings account and deposit accounts with banks Co operative Societies or post offices"

"you can simply start investing in their name instead of yours so in this way the interest will be accumulated in their name not yours and you won't have to pay the taxes at a whooping 30%."

"Here's the simple map you have 10 lakh Rupees you can invest them in your name or your mother's or your father's name FD rate of interest is 6% for you but is 6 and 1 12% for senior citizens and super senior citizens so while you get only 60,000 Rupees as interest income your parents get 65,000 rupees taxation wise at 30% tax bracket your taxes are at a whopping 18,000 rupes for them even they have the same income they fall under the 5% bracket and taxes are only 750 rup"

"if you pay for their health insurance premium section 80d provides for a deduction of 25,000 rupees and 50,000 Rupees for your parents who are aged below 60 and above 60 respectively"

"according to section 80 ddb medical expenses incurred up to rupees 1 lakh for the treatment of a senior citizen parent or up to 40,000 rupees If the parents are aged below 60 for specified illnesses are tax deductible"

"you can pay rent to your parents if you stay in your home while working and claim that H But that rent is still taxable in their hands now they can use section 24 to claim a reduction of 30% percentage of their annual rental income as repair and maintenance expenses"

"you can make a rental agreement with your homeowner parent and pay them rent you can claim this rent as paid as deduction under Section 80 g"

"you're an independent wedding planner you obviously don't have an opportunity to claim hedar you earn say an average of 36 lakhs per year after availing business related expense deductions and other tax benefits you are left with 9 lakhs of taxable income now if you effectively use section 0 g your taxable income will further reduce to 8.4 lakhs as per the existing tax Labs at 30% rate you can save 18,000 in taxes"

"if you receive any monetary gifts from your siblings they are tax exempt for you without any upper threshold"

"you can claim their education loan tax benefits under section 80e a co- applicant suppose you are the legal guardian for your younger brother ... you being a co- applicant in his his El can pay the emis and claim the related tax benefits for 8 years"

"if your siblings are dependent upon you financially and travel to your city to meet you you can use your leave travel allowance to fund their travel as well"

"you can claim money spent on your child's tution fees so for example you have spent rupe 60,000 as tution fees to your son's college you have only been able to contribute one lakh rupees under ATC Investments That year so out of these 60,000 you can claim a deduction for rupees 50,000"

"HF can own two additional properties without considering this notional rent part it is also eligible to Avail home loan and claim tax reductions as per law under Section 8C 24b ATD and atdd 80ddb and so on for the Investments and Loans undertaken"

"if you have an HF account you can make the life insurance premium payment through that HF account and claim the ATC deduction under the Huf it returns"

"A family of four with ages 40 35 6 and 4 can get the same cover for rupees 20,000 you can then move on to buy a super top of family floater 2 to enhance the sum insured even further This obviously proves to be very cost effective"

"in case you exhaust your ATD limit of 25,000 rupees while purchasing a plan for all four of you it may help to split the single floater policy into two floater policies covering one adult plus one child each that way both spouses get the ATD benefit"