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Basic law of deductions from gross total income - Sections 80A, 80AB, 80C of Income Tax Act

Rules for deductions from Gross total Income - Section 80A, 80AB & 80C of Income Tax Act

Deductions cannot exceed Gross Total Income i.e. deductions cannot convert total income into loss.

Deductions are allowed only for individuals or HUF. Deductions not allowed to members, if allowed to Association of persons (AOP) or Body of Individuals (BOI)

 

Deductions should should be claimed by assessee.

Assessee's duty to place relevant material.

Deductions to be allowed in respect of net income included in Gross Total Income. In other words, deductions need to be out of current year's income only.

Deductions only upon actual payment.

Benefits of certain deductions not to be allowed in cases where return is not filed within the specified time limit.

Upper limit for deduction:- Total deduction u/s 80C+80CCC+80CCD (1) restricted to Rupees One Lac only

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