Under the existing provisions of Section 80GG, the maximum deduction available for rent paid is Rs.2,000 per month, cummulating to Rs. 24,000 per annum.
However, in view of interest of individual tax payers, the limit is proposed to be increased to Rs. 5,000 per month, aggregating to Rs. 60,000 per annum.
This amendment will take effect from 1st April, 2017 and will, accordingly, apply in relation to the assessment year 2017-18 and subsequent assessment years.
