80CCF ( infrastructure bond ) No More Budget 2012 - 2013

Taxpayers may have got some relief through the increase in the basic exemption limit and widening of the 20% tax slab, but the government has taken away a crucial tax saving option. The budget for 2012-13 has not extended the Rs 20,000 rebate available for investments in infrastructure bonds this year, which was over and above the Rs 1,00,000 maximum rebate available under Section 80C. Infrastructure bonds allowed taxpayers in the highest 30% slab to save a maximum of Rs 6,180 in tax. The incentive was introduced in the budget for 2010-11 to make long-term funds available to infrastructure sector. It was extended for one more year in 2011-12.  Provided by : Economics Times