Tax exemption schemes: Big news! By investing money in these 5 schemes, you will get tax exemption with excellent returns

How To Save Tax: In India, the government provides many facilities to encourage people to save. The government also provides tax exemption to investors for investing in some investment schemes. By investing in these tax saving schemes, income taxpayers can not only reduce their tax liability, but can also create a good fund.

If you are a taxpayer and you want to get tax exemption along with good returns, then you should invest in schemes like PPF, ELSS and NPS. The special thing about these schemes is that the investment made in them remains safe, along with investing money in them, you also become entitled to tax exemption.

1. Public Provident Fund (PPF): Investing in this scheme provides tax benefits under Section 80C of the Income Tax Act. A maximum of Rs 1.5 lakh can be invested in this scheme annually. The PPF scheme is getting 7.1 percent interest annually.
2. Equity Linked Savings Scheme (ELSS): This scheme linked to the share market provides tax exemption under section 80C of the Income Tax Act. You can claim tax exemption of up to Rs 1.5 lakh annually by investing in ELSS Mutual Fund scheme.
3. National Pension Scheme (NPS): NPS is a retirement scheme run by the government. This is a great scheme for those who want to arrange funds for their post-retirement life. Investing in NPS can be taxed up to Rs 1.5 lakh under Section CCD (1) and an additional Rs 50,000 under Section CCD (1B) of the Income Tax Act.
4. Provident Fund (EPF): Employee Provident Fund is another tax-saving plan. Employees contributing to the Employee Provident Fund (EPF) can avail tax exemption under Section 80C.
5. ULIP: ULIP is a type of life insurance product that provides insurance coverage along with giving returns to the investor. The premiums and returns from ULIPs are tax-free under section 80C and 10(10D) of the Income Tax Act, 1961. In this, tax exemption is available up to Rs 1.5 lakh.