How to Save Tax with Central Bank of India

Published On - March 15, 2016

admin Income Tax

The Central Bank of India was established as the first commercial bank in India that was solely under Indian ownership and management. The bank offers customers a large range of banking solutions and banking products specially designed to meet their requirements as well as help them save on tax.

Save Tax With Central Bank of India:

Customers of Central Bank of India can avail of tax benefits through various fixed deposit schemes, home loans, interest on their savings accounts and much more.

Central Bank of India Tax-saving Instruments under section 80C, 80D, 80E:

The Central Bank of India offers its customers a wide range of banking products that can help them avail of tax deductions under various sections of the Income Tax Act.

Under Section 80C:

    • CENT Tax Saving Deposit:

Individuals or Hindu Undivided Families can avail of tax benefits under Section 80C under this fixed deposit scheme, which has a fixed period of 5 years. Tax deductions can be availed up to a Rs 15,000 and the maximum deposit amount allowed per year is Rs 1.5 lakhs.

    • Central Bank of India Mutual Funds:

The Central Bank of India also helps customers to select the best and most appropriate mutual funds to invest in so as to avail of tax benefits under Section 80C of the Income Tax Act

    • Central Bank of India Home Loans:

Individuals, groups or NRIs looking to take out a house loan for the construction, acquisition or repair of a new or existing home can avail of tax deductions on their principal repayments under Section 80C that the following types home loans offer

      • Cent Home Loan Scheme
      • Cent Home Loan Plus
      • Cent Home Loan Scheme To Central and State Government Employees
    • Central Bank of India Public Provident Fund Scheme:

Contributions to the PPF account as well as interest earned by the subscriber under this scheme is eligible for tax deduction under Section 80C of the Income Tax Act 1961

Under Section 80E:

  • Education Loan – Cent Vidyarthi:The Central Bank of India provide educational loans like the Cent Vidyarthi scheme that can be acquired for the purpose of pursuing higher education both in India as well as abroad. This is a term loan, which offers a maximum loan amount of 10 lakhs for education in India and 20 lakhs for education abroad as well as tax benefits under Section 80E

Under Section 80CCD:

  • Central Bank of India New Pension Scheme:Individuals participating in this scheme are eligible for tax deductions under Section 80CCD of the Income Tax Act. Tax benefits can be claimed up to a maximum of Rs 1.5 lakhs per year. However, from 2016-17, a further amount of Rs 50,000 will also attract tax deductions under Section 80CCD(1B)

Under Section 80TTA:

    • Interest earned on Central Bank of India Savings Accounts:

Any interest earned on Central Bank of India Savings Accounts qualifies for tax benefits up to an amount of Rs 10,000, The Central Bank of India offers the following kinds of savings accounts under which applicants can avail of tax benefits on their interest under Section 80TTA

    • Home Saving Safe Account (HSS)
    • Cent Samvridhi Savings Account
    • Cent Premium Savings Account
    • Cent Salary Saving Scheme (CSSS)
    • Cent Param