Section 80C lists down the instruments, wherein one can invest in order to save tax.
An individual can invest a maximum of Rs 1.5 lakh under this section, and he/she must plan investments well and spread it out across the various instruments specified under this section to avail of the maximum tax benefit.
The section provides tax rebate not only for the investments one has made but also for the expenditures one incurs to acquire various assets.
The tax rebate is provided for investments under NSC, PPF, life insurance, ELSS, retirement and pension plans.
The expenditure on children’s education, stamp duty, registration charges and the principal amount paid on a housing loan can be claimed under this head.