Let’s find out what tax benefits are available to women in India and how you can make the most of them.
As years pass, women continue to break records in every aspect of their lives, whether professional or personal. To empower women further, the Indian government has also taken steps to encourage women’s financial independence.
Let’s find out what tax benefits are available to women in India and how you can make the most of them.
Before we begin, here is a quick fun fact!
Did you know that, before FY2011-2012, there were different tax slabs for men and women in India? A lower tax slab for women was implemented to encourage them to work and become independent.
But after FY2011-2012, the old tax slab was abolished, and the gender-neutral tax slab came into play.
4 Tax Benefits For Women
Concession on Stamp Duty
Are you a woman and are planning to buy a home for yourself and your family? If yes, then registering the house under your name can help you save some money.
Yes, that’s true. Because you might be eligible for a lower stamp duty rate when you register a property in your name. In Maharastra, there is a 1% concession in stamp duty for women buyers compared to their male counterparts.
It’s important to note that not all states offer this fabulous deal. So, it’s always a good idea to research and check if the state you plan to buy a house in provides a stamp duty concession.
Property Tax Rebate
We all shell out money from our pockets and pay property taxes every year. But, there is a way through which you can save some money while paying property taxes.
Yes, some municipal corporations offer rebates on property tax if the property is registered in a woman’s name. It’s like getting a little gift from your local government.
But note that property tax rates vary across different municipal corporations within a state. So, it’s essential to determine if your municipal corporation offers such a rebate.
Lower Interest Rates on Home Loans
Have you ever dreamt of owning a home and living a sweet life with your loved ones? We are sure just like everyone else, you have also dreamt of this goal in life. But everything comes at a cost. Most individuals end up taking a loan to buy a house, and the loan rate these days has skyrocketed!
But imagine being able to achieve your dream at a lower cost! Yes, you heard it right! Banks and NBFCs offer women a golden opportunity to make their home-buying dreams a reality by offering a little low-interest rate than they usually charge.
According to Business Today, the State Bank of India (SBI) offers a fantastic concession of 5 basis points or 0.05 per cent for home loans given to women. This means that for every Rs 1 lakh of the loan amount, you can save up to Rs 500 per year! Such small savings can go a long way, especially considering home loans can extend for several years.
Subsidy Under Pradhan Mantri Awas Yojana
The Pradhan Mantri Awas Yojana is a scheme which aims to make housing affordable for Indian citizens. This scheme offers a special credit subsidy under the PMAY scheme under the condition that a woman should own or co-own the house.
To conclude, these are some ways through which you can save some money in the above circumstances. Now comes the question, after saving, where would you invest?
Well, the government has also come up with a special scheme for women. If you are a woman and wish to invest your money, then Mahila Samman Patra is a scheme under which you can invest at 7.5% for a tenure of 2 years.
That’s it for today. Don’t forget to take advantage of tax benefits and share the article with your friends.
