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I am a senior citizen(64 years) and my all income is through interest from bank FDs and savings account interest. I do not get any pension. Annual interest amount comes to more than 3 lakhs. Banks do not accept 15 H form.

I also have insurance with Bajaj Allianz. How much deduction am I allowed.

Which are the other channels by which I could invest and save taxes?

Which is the ITR form I should be filling for the Income Tax? more

Helpful Tax, Investments and Retirement Jul 15

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Pritam Sharma

Thanks Umesh Kumar JI more

Aug 02

Umesh Kumar (Professor)

Further I suggest you to complete your 80(C) limit of Rs 1.5 Lac by first PPF and then other instruments. Further complete your 80(D) limits of 15k/30K, though they give no income but in case of medical emergencies save a lot of money incurred in treatment. Tax free bonds have very low interest rate. Hence some amount must also be invested in balanced mutual funds of reputed companies for better returns if you have an investment horizon of about 10 years but not less than 5 years. Though these are not tax free but ultimately the growth after paying taxes may be more than interest on tax free bonds. Depending on money to be invested take a judicial decision of dividing balanced investment between balanced mutual funds of reputed companies and tax free bonds. more

Aug 01

Pritam Sharma

Thanks Simardeep Singh Ji for your valuable comments. more

Jul 31

Simardeep Singh

Pritam Ji, you may avail of Sec 80C deductions like 5 year tax saving FD, 3 year equity MFs to save tax upto prescribed limit. And reg deduction of TDS, do not worry much since the refunds now get processed within a month, if all the details entered in return are correct. You may mail me at simardeep88@hotmail.com. Further, I dont afree with the suggestion of Ramesh Suri ji in respect of investing in tax free bonds. Investments in tax free bonds yields higher for people in higher tax slabs and for you, investing in FDs might be a better and reasonable avenue to invest, given the additional interest to senior citizens. Simardeep Singh Chartered Accountant more

Jul 31

Pritam Sharma

Thank you Ramesh Suri Ji. Very good information indeed. Thank you Ravindran Ji, agree with you to pay taxes promptly but I want to make it clear that I will not be an offender. If I can save some money in legal way, why not, I must try to save. As I have no income other than the interest amount. more

Jul 31

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