“Doubling the income tax exemption limit to 5 lakh will boost investment levels by common people.”
Government already announced that contributions by government employees in the Tier II account of NPS with a lock in period of three years will be eligible for tax deduction under 80C, it would be beneficial if the same is extended to private sector employees as well. Also, tax deduction limit for equity-linked saving schemes (ELSS) is Rs 1.5 lakh; this could be extended to all mutual funds that complete a 3-year lock-in period.
Currently, the deductible limits for health insurance premiums under Sec 80D is Rs 25, 000, this limit could be revised to higher amount and further reduce the GST for health insurance premium.
