UART

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A good read up before actually trying this code will certainly provide a nice background. The following Link will help to understand the basics of UART. Link[UART]
If you could patiently digest all of it, this would be more than enough to get familiar with the topic.

Interface
The following circuit diagram would allow to create an interface for communication between the PC and the microcontroller through UART.


Code
Link[UART-Code-Mega8]