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  Section 80TTB- Deduction in respect of interest on deposits in case of senior citizens As per the income tax act provisions of section 80TTB, an assessee can claim deduction upto of Rs 50000 (which is only restricted to Rs 10000 in Section 80TTA) from his gross total income on account of income earned from the following sources-  Interest income from Saving Bank Deposits or Fixed Deposits Interest on Deposits held in a Co-operative Society Interest earned from Post Office Deposits Eligibility Criteria: This section is applicable w.e.f 01.04.2018 Section 80TTB is only applicable to individual assessee of age 60 years or above i.e., senior citizens.  Deduction Allowed Lower of the following- Rs 50000, or Amount received or earned by way of deposits as aforesaid.

What are Deductions under the Income Tax Act, 1961? Chapter VI-A of Income Tax Act contains various sub-sections of section 80 that allows an assessee to claim deductions from the gross total income on account of various tax-saving investments, permitted expenditures, donations, etc .   What are Exemptions under the Income Tax Act, 1961? Exemptions are provided on particular sources of income and not on the total income. It can also mean that you do not have to pay any tax for income coming from that source. For example - As per Section 10(1) of the  Income Tax Act, 1961 - Income from agriculture is exempted.   Difference between Exemptions & Deductions Basis Exemptions Deductions Incidence These are not included in our Taxable income. These are deducted from our Gross total income. Application Applied at each head of income. Applied at Gross total income...