Income Tax Saving: It is very important for all taxpayers to pay tax on time. Every taxpayer wants to avail maximum tax benefits. Many people plan to save tax while filing returns. Let us know in what ways salaried persons can save tax. Read the full news…
Saving tax is a challenge for salaried people. Many times taxpayers think of saving tax in the last days of filing Income Tax Return (ITR). By the way, if you plan tax saving in advance then you can save more amount.
Many opportunities are given by the government for tax saving. Come, let us know in this article how you can save tax up to Rs 1.5 lakh under 80C of the Income Tax Act. Let us tell you that the benefit of tax deduction is available under 80C of the Income Tax Act.
Well, today we will tell you some ways with the help of which you can easily save tax.
FD
If you invest in FD with a tenure of 5 years, you can avail tax deduction of up to Rs 1.5 lakh. At present, interest rate of 7 to 8 percent is available on these FDs. However, the interest received on FD is taxable. Tax deduction is available on FD under 80C of the Income Tax Act.
PPF
Tax saving benefit is also available on Public Provident Fund (PPF). PPF has a lock-in period of 15 years. Their interest rates change every quarter. Let us tell you that the interest received in PPF is tax free.
Equity Linked Savings Scheme
Equity Linked Savings Scheme (ELSS) is also a very good option for investment. Its lock in period is 3 years. Capital Gains Tax is applicable in this. However, redemption of Rs 1 lakh in a financial year is tax free. If it exceeds Rs 1 lakh, it is taxed at the rate of 10 percent.
National Savings Certificate
A fixed interest is available on National Savings Certificate (NSC) for up to 5 years. At present it gives an interest of 6.8 percent per annum. If you do not want to take any risk then you can invest in it. In this you can claim tax benefit up to Rs 1.5 lakh for 1 financial year.
Life insurance policy
Nowadays life insurance has become very important. You can save tax up to Rs 1.5 lakh annually with a life insurance policy.
National Pension System
National Pension System (NPS) is a volunteer scheme. In this you can collect money for retirement. In this you can save tax up to Rs 2 lakh annually. At the same time, you can also save additional tax of Rs 50,000 under 80CCD (1B).
Tuition fees
You can also avail the benefit of tax saving on the tuition fees you pay for your children’s education. You can avail tax saving under 80C.
Employees Provident Fund
You can also avail the benefit of tax saving in Employees Provident Fund (EPF). In this, you can get exemption of up to Rs 1.5 lakh in a financial year under 80C.
Senior Citizen Savings Scheme
Tax can also be saved through Senior Citizen Savings Scheme. Let us tell you that this scheme is for 5 years. The benefit of this scheme is available to those people whose age is more than 60 years.
Sukanya Samriddhi Yojana
Sukanya Samriddhi Yojana (SSY) was started by the government for the education of daughters. In this scheme, along with returns, the benefit of tax benefit is also available. Actually, this scheme is tax free.
Also Read-
- EPFO members will be able to update their PF account profile details online
- EPFO New Rules: Now these documents are no longer required for the claim process
- Where to invest Rs 1 crore to earn a monthly income of Rs 1 lakh? Understand the complete plan
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