What is 80CCG?
Known as Rajiv Gandhi Equity Savings Scheme, it was in 2012-13 that 80CCG came into effect. The purpose of this tax-saving scheme was to encourage the first-time investors and strengthen investment force in securities market.
Under this section, an individual can claim deductions up to Rs. 50,000 on their initial investment. The maximum deductions allowed are 50% of the total investment amount, which should not exceed Rs. 50,000.
Deduction under section 80CCG has been discontinued starting from 1st April 2017.