Plan your tax-saving investments for the year 2017-18
Tax planning is an important part of a financial plan that can help to reduce your tax burden and at the same time increase your wealth. Whether you are a salaried individual, a professional or a businessman, you can save taxes to a certain extent through proper tax planning and reduce income tax liability by availing the benefit of provisions relating to deductions/exemptions from taxable income under various sections of Income Tax Act.
Most popular Tax Saving Investment are Investment in eligible securities, Expenditures, Repayments etc, (PF, PPF, Life Insurance, NPS, NSC, ULIPs, MFs, Home Loan repayment, tuition fees etc.) and the deductions of which is covered under section 80C of Income Tax Act and the aggregate maximum of Rs. 1.50 lakhs which can be used to claim deductions.
Apart from the deductions available under Section 80C, there are various other Section 80 deductions that can also be claimed to save income tax. These deductions include health insurance for self, family, and parents, tax benefits on home loans etc.
In India, most of the tax saving funds are Equity Linked Savings Schemes (ELSS) and qualify for deductions under Section 80C of the Income Tax Act. Many investors start their investment journey through an ELSS to save taxes. Eventually, they start spreading their investments once they get a better understanding of various available schemes.
To save tax you can invest in the following popular tax savers investment in a legal and safe way in F.Y.2017-2018.
- Equity-linked savings schemes
- Employees’ provident fund
- Public provident fund
- Traditional insurance plans
- Unit-linked insurance plan
- Health insurance
- National saving certificates
- Tax savings fixed deposits
- Tax savings Mutual funds
- Central Government employees pension scheme
- Sukanya Samridhi account
For tax saving, investment planning and any other related services you can contact us at https://taxmantra.com/