If people thing about tax savings means firstly life insurance, NSC, equity linked savings plan, Sukanya Samriddhi account and PPF only comes to their mind which are qualified for deduction of tax under section 80C in the income tax act. An individual person can claim their tax deduction up to 1.50 Lakhs under this act. Special situations among people life which involves special dependant, providing rent to parents, owning a home in another city and more.
Providing a rent to parents: children can pay rent to their parents, if the property or home is registered under the name of the parents.
Paying loan in different locations: Individuals are constantly moving their career into a different location. This will end up with the result that people can live in a rental place near to this working place and repaying the loan who bought homes in his native place, this person paying rent will be eligible for exemption of HRA.