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How to Claim Tax Exemption on a Two Wheeler Loan?

  • right-arrowUsage for Business: Ensure the bike is being used only for business purposes.
    right-arrowOwnership: The bike must be registered in your name.
    right-arrowFiling Returns: Submit your returns using ITR-4 and include the bank’s interest certificates.
    right-arrowKeep Documents Ready: Organise receipts, invoices, and related documents to support your expense claims.

    • Make your claim process seamless and beneficial!

    Benefits of Tax Deduction on Loan Repayment

  • right-arrowSelf-employed businesspersons can claim tax exemptions on two-wheelers used for business purposes.
    right-arrowDeductible expenses include fuel costs, maintenance charges, insurance premiums, and loan interest repayments.
    right-arrowAll these deductions are allowed under Section 80C of the Income Tax Act of 1961, which can reduce your taxable income.
    right-arrowProperly utilising these deductions can lead to significant tax savings, improving overall financial efficiency for your business.

    • Note: It's important to remember that these deductions do not apply to motorcycles purchased for personal use.

    Documents Required to Claim Tax Benefits on a Two-Wheeler Loan

  • right-arrowLoan Interest Certificate
    right-arrowBusiness Registration Proofs
    right-arrowVehicle Registration Certificate (RC)
    right-arrowOriginal Purchase Invoices
    right-arrowRecords of Business Use
    right-arrowIncome Tax Returns (ITR)
    right-arrowGeneral Loan Documents (KYC documents and income proof)

    • Conclusion

    So, if you’re considering buying a new bike, finance it with a two-wheeler loan and save on taxes. These bike loans come at pocket-friendly EMIs, which reduces the burden of loan repayments.

    Check your eligibility for two-wheeler loans and finance your new vehicle today!

    Written byWriter logoTeam Rupyy

    Frequently Asked  Questions

    What is the tax percentage for 2-wheelers?
    How can I save tax on a two-wheeler?
    What is the tax slab on 2-wheelers?
    Who can claim tax benefits on a two-wheeler loan?

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