New government
presented the budget for the financial year 2014-15. There is some benefit has
been given to individual tax payers. Basic exemption limit has been increased by Rs 50000, Investment limit under section 80 C has been revised from Rs 1 lac to Rs 1.5 lac, home loan interest tax benefit for self occupied house also increased from 1.5 lac to 2 lac.
In this post we will try to see how much tax benefit individual tax payer will be getting from these changes.
Exemption
limit
Basic
Exemption limit raised from Rs. 2 lacs to Rs. 2.50 lacs for general category of
individuals and from Rs. 2.5 lacs to 3 lacs for senior citizen. So in total Rs 50000
has been added to exempted limit.
Currently
Indian market is in bull phase and the new investors are happy by seeing the
growth of their investments. They are hoping that the bull phase will continue
forever.
The idea of
this post originated from the discussion about the actions people has taken
during the 2008 market crash on Facebook Group “Asan Ideas for Wealth”.
In 2008 market
crash almost all fund’s NAV dropped significantly. People who are sitting on
huge profits suddenly found that now they are sitting on losses. After seeing
the market crashed some people stopped investment, some people redeemed their
funds and some people continued with further investment.
