How to claim maximum deduction while filing the declaration and pay Zero tax for CTC of up to Rs 20 Lacs in case of a salaried employee for FY 2022-23

A thread on deductions for salaried 🧵

Tax Deductions

Section 80C Exemption 150k
NPS 80CCD(1B) Tax Exemption 50k
Medical Insurance (Self & Parents) 50k
Standard Deduction 50k

20 lac - 3 lac = 17 lakhs

Car Maintenance 25k
Meal Coupons 25k
EPF by Employer 125k
NPS (Employer Contribution) 100k

Mobile & Internet Bill Reimbursement
Uniform Allowance
Children Education/Hostel Allowance
Newspaper/Journal Allowance
Gift voucher
Leave Travel Allowance - all 125K

17 lac - 4 = 13 lac

House Rent Allowance - 50k per month Total 6 lacs

13 Lac - 6 lac = 7 lac

Home Loan Interest 200k
Gratuity (Not part of salary but component of CTC and is non-taxable) 50k

7 Lac - 2.5 Lac = 4.5 Lac

upto Rs 5 Lac Zero Tax as per Rebate u/s 87A