Senior citizens receive some additional benefits than most of the other individuals do not and rightly so. Here are 6 financial benefits that senior citizens receive.
No tax payable for income upto Rs 3 lakh
The income tax exemption limit for senior citizens is Rs 3 lakhs, while for others it is Rs 2.5 lakhs only.
Benefits on fixed deposits
On bank fixed deposits senior citizens receive an extra interest rate of 0.5 per cent. Interest rates could vary when it comes to company fixed deposits, but it is certainly more than other individuals.
Benefit on TDS
Senior citizens have to submit form 15H for claiming TDS exemption on their fixed deposits.
Advance tax and senior citizens
Senior citizens who own business and may not have business income are exempted from paying advance tax.
A good scheme
The Senior Citizens Savings Scheme is only meant for senior citizens and provides a decent interest rate of 9.2 per cent.