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How do I get the deduction under section 80TTA?...

How do I get the deduction under section 80TTA? Which Interest does it pertain to?

How do I get the deduction under section 80TTA? Which Interest does it pertain to?

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Chiranjibi Jun. 14, 2018

You get the deduction under section 80TTA if you have a postal and/or savings deposits account with the post office/bank and you earn interest on such account.

This deduction pertains to interest income on savings account of individuals. The maximum deduction that you can get is the amount of interest you have earned OR Rs. 10000 whichever is lower.

For clarification:

If you have a savings deposit account and have an interest income of Rs. 15000 in a year. You can claim deduction of Rs. 10000.

However, if your interest income is Rs 8000, you can take the entire amount of Rs. 8000 under this section as deduction since it is lower than the prescribed amount of Rs. 10000.

Note:

Interest on fixed deposits and/or securities do not fall under this section. Only interest from savings deposit account and postal savings account are allowed for deduction under this section.

How do I get the deduction under section 80TTA? Which Interest does it pertain to?

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