3) A
separate section for deduction on the principal paid on home loan
should be introduced. Home loan principal repayment deduction is
currently clubbed with other options under Section 80C, which has a
ceiling of Rs. 1.50 lakh.
4) Home
buyers can currently avail home loan interest deduction only after the
completion of construction of property. In case construction is not
complete within 3 years, the deduction is reduced to Rs. 30,000 per year from Rs. 2 lakh under current norms. This needs to be changed, given widespread construction delays.
5) The limit of Section 80C of Rs. 1.5
lakh which raised and linked to the Additional exemption U/s 80CCD(1B)
Max. Rs. 50,000/- income-level of tax payers as some of the compulsory
contributions like employee provident fund leave very little scope for
other investments for people falling in highest tax bracket up to Rs. 2
Lakh.
6) Medical Insurance U/s 80D has raised the Max. limit of Rs. 25,000 per annum & Rs. 30,000/- for Sr.Citizen