The Ministry of Finance has given a three month extension to investors to invest in tax savings instruments to avail benefits under section 80C, 80D and 80G.
With this, your clients can invest in ELSSs and ULIPs, buy health insurance policies and donate to charitable institutions till June 30, 2020 to save on taxes this fiscal.
This has come after AMFI and Life Insurance Council wrote to the ministry seeking a clarification from the Finance Ministry if the three-month extension would apply to people seeking to invest in 80 C instruments.
The Ministry said, “The date for making various investment/payment for claiming deduction under Chapter-VIA-B of IT Act which includes Section 80C (LIC, PPF, NSC etc.), 80D (Mediclaim), 80G (Donations), etc. has been extended to 30th June, 2020. Hence the investment/payment can be made up to 30.06.2020 for claiming the deduction under these sections for FY 2019-20.”
Further, the ministry has clarified that donations made under PM Cares Fund will get 100% deduction under section 80 G. Cafemutual requests you and your clients to make contribution to PM Cares Fund in these trying times to support the noble cause.
