"Tax-Saving Tips for NRIs: Section 80 Deductions"

The article outlines key tax-saving deductions under Section 80 of the Income Tax Act, 1961, available to NRIs, including investments, health insurance, education loans, donations, savings interest, and disability benefits. It emphasizes compliance with eligibility criteria and consulting tax advisors for accurate claims.


Section 80 deductions of the Income Tax Act, 1961 provide various ways for Non-Resident Indians (NRIs) to save taxes on their income. Below is a table summarizing the key deductions available under Section 80 for NRIs:
Section Deduction Type Eligibility Criteria Maximum Deduction
Section 80C Investment in specified instruments such as ELSS, PPF, NSC, and life insurance premiums. NRIs can invest in eligible instruments like ELSS funds (Equity Linked Savings Scheme) and life insurance plans. ₹1,50,000 per financial year.
Section 80D Health insurance premiums Premiums paid for health insurance for self, spouse, children, or parents. ₹25,000 for self, spouse, and children; ₹50,000 if parents are senior citizens.
Section 80E Interest paid on education loans Applicable only for loans taken for higher education for self or dependents. No upper limit on deduction (restricted to interest paid).
Section 80G Donations to specified funds or charitable institutions Donations made to eligible funds or institutions such as PM Relief Fund, NGOs, etc. 50% or 100% of donation amount (subject to qualifying limits).
Section 80TTA Interest earned on savings bank accounts Interest earned from savings accounts held in banks and post offices. ₹10,000 per financial year.
Section 80U Deductions for a person with disabilities NRIs with specific disabilities as defined under the Income Tax Act. ₹75,000 for general disabilities; ₹1,25,000 for severe disabilities.
NRIs must ensure compliance with eligibility criteria and keep all necessary documentation to claim these deductions. It is advisable to consult a tax advisor for accurate application of these benefits.


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