It's that time of the year again where you will be required to make a beeline of all your investments! Yes, its time to make the tax saving investments, but what's the right alternative for you this time? Was your investment plan prudent last year? Did the investments help you save on tax? Or did you land up paying more? Many such questions may rake up your mind and confuse you, but here are some valuable tax-saving tips that may help you save more! For starters, you may consider investing in insurance policies such as health insurance.
Health Insurance will not just save you from paying more but it will also secure you and your loved ones in times of medical emergencies. Or you may also consider offering donation. Let us have a look at some other tax saving avenues that can save your hard earned money:
Public Provident Fund (PPF): Under Section 80C, investment in a Public Provident Fund is the best fixed options to start off the investments. It can get you tax exemptions very easily. While the interest with this investment tool may vary but you may surely earn the maximum by timing the investments. As a matter of fact, this tool great guarantee on the income and so it shouldn't be neglected.
Employee Provident Fund (EPF): This is another investment contribution that aims to save your hard earned money. It is largely applicable for salaried employees. The employee provident fund is deducted from the monthly salary and the employee's contribution is entitled for tax deduction under Section 80C.
Mutual fund: It is the next in line investment option for many individuals. Hence, if an individuals Section 80C is not saturated he could seek the help of mutual funds or Equity Linked Saving Schemes (ELSS).
New Pension Scheme (NPS): This is a good investment tool that encompasses tax planning along with retirement planning.
Tax saving avenues or options are many. The catch here lies in choosing the most suitable and feasible investment plan that will not just save money but also bring out enough profits in the future. So, choose right! Run your ideas or take the help of financial planner to save your precious money from depleting this year.
PS:- Tax Benefits are subject changes to tax laws.