Payment towards premium of life insurance policy and medical insurance policy gives an individual’s family the financial security needed and protects them from uncertainties and eventualities of life. It is not only securing future of a family but also helps in saving taxes too. Individuals who have made payment of life insurance policy premium will get deduction of the same upto Rs.1,00,000 under section 80C of the Income Tax Act, 1961 (“the Act”). If the payment is made towards the health insurance premium then you are entitled to avail deduction of the same under section 80D of the act. Section 80C specifies that an individual is eligible for claiming deduction for payment of Life Insurance Premium of self, spouse and children. Premium paid upto 20% of policy sum assured will qualify for the deduction. Under section 80D, an individual can claim a deduction of Rs 15,000 (Rs 20,000 in case of senior citizens) for medical or health insurance of self, spouse and dependent children. You can also claim a further deduction of Rs 15,000 (Rs 20,000 if either of your parent is a senior citizen) for making payment of similar policy for your parents whether they are dependent or not. The premium must be paid by cheque or any mode other than cash. Therefore, one should plan his investments accordingly and make decisions in such a manner that helps the individuals to secure their future and to save taxes as well. Effective planning will not only provide security of lives but also help them to get maximum tax benefits under the Income Tax Act, 1961. We at Taxmantra.com have the expertise in handling issues relating to individual taxation. The sole object of Taxmantra.com is to make your life easy as our tax experts file your return of income. We just require your salary certificate/ other income details to file return of income. Taxmantra.com offers excellent tax support in addition to filing of return of income and comprehensive tax planning. At Taxmantra.com we do not put you at pain by asking to fill in long tax forms. You just need to fill in a form with basic details after attaching your salary certificate/ other income details, after which we take care to online tax return filing in most hassle free manner. So online income tax filing with Taxmantra.com is obviously a better experience. Get in touch with us to file tax return online today and stay hassle free.We at Taxmantra.com provide full year support solving all your tax issues, in addition to filing of your return of income with excellent tax planning. Contact us at “info@taxmantra.com”, we are here to help you to solve all your tax issues.