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of <h1>Karnataka State Employees' Insurance Scheme Contributions Eligible for Tax Deductions u/s 80C of Income-tax Act.</h1> The Karnataka State Employees' Group Insurance Scheme, 1981, provides insurance coverage and a lump sum payment for state employees, offering financial support in the event of death during service or upon retirement. A query was raised regarding the eligibility of monthly contributions to this scheme for tax deductions under section 80C of the Income-tax Act, 1961. It has been clarified that contributions to the scheme qualify for tax relief under section 80C, subject to the limits specified in section 80C(4) of the Act. This information is directed to all Chief Commissioners and Directors-General of Income-tax.
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