DEDUCTION UNDER SECTION 80CCC

Deduction in respect of contribution to certain pension funds.

As per section 80CCC, where an assessee being an individual has in the previous
year paid or deposited any amount out of his income chargeable to tax to effect or
keep in force a contract for any annuity plan of Life Insurance Corporation of India or
any other insurer for receiving pension from the Fund referred to in clause (23AAB)
of section 10, he shall, in accordance with, and subject to the provisions of this
section, be allowed a deduction in the computation of his total income, of the whole
of the amount paid or deposited (excluding interest or bonus accrued or credited to
the assessees account, if any) as does not exceed the amount of one lakh rupees
in the previous year.
Where any amount paid or deposited by the assessee has been taken into account
for the purposes of this section, a rebate/ deduction with reference to such amount
shall not be allowed under section 88 up to assessment year 2005-06 and under
section 80C from assessment year 2006-07 onwards.
Limit- Deduction shall exclude interest or bonus accrued or credited to the
employees account, if any and shall not exceed Rs. 1 lakh and The aggregate
amount of deduction under sections 80C, 80CCC and sub section (1) of
Section 80CCD shall not exceed Rs.1,50,000/- (Section 80CCE). Please note that
Limit of deduction Under section 80CCC is enhanced to Rs. 1.50 from One Lakh
with effect from assessment year 2016-17 and for subsequent assessment
years. Limit of deduction under 80CCC raised to Rs. 1.50 Lakh