Boost Your Savings: 7 Investment Options For Saving Your Tax In India

7/7/2024 5:00:16 AM

(MENAFN- AsiaNet News) In India, several investment options can help you save taxes under various sections of the Income Tax Act. Here are the top seven investment options.

Here are the top seven investment options.

PPF is a long-term savings scheme with a 15-year tenure. It offers tax deductions on contributions, and the interest earned and the maturity amount are tax-free.

Equity-Linked Savings Scheme (ELSS): 80C

ELSS funds are mutual funds that invest primarily in equities. They have a lock-in period of three years and offer the potential for high returns.

NSC is a fixed-income investment scheme with a 5-year tenure. Interest is compounded annually but is taxable. However, it can be reinvested and claimed under Section 80C.

Contributions made by an employee to the EPF are eligible for tax deductions. The interest earned and the maturity amount are also tax-free, provided certain conditions are met.

National Pension System (NPS): 80C, 80CCD(1B)

NPS is a retirement investment. NPS contributions are tax-deductible under Section 80C and Rs 50,000 under 80CCD(1B).

These are bank fixed deposits with a lock-in period of five years. The investment amount is eligible for tax deductions, but the interest earned is taxable.

SSY is a savings scheme for the girl child with a tenure of 21 years or until the girl marries after turning 18. Contributions, interest earned & maturity amounts are all tax-free.

MENAFN07072024007385015968ID1108414282

Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.