Tax saving option: There is now less than 2 months left for the financial year 2024-25. In such a situation, people who want to reduce their tax, do not have much time left to invest properly. Many people are looking for options that give them tax exemption and their future will also be safe. It is necessary to do tax planning on time so that no problem has to be faced later. Here we are telling you about some of the best schemes, in which you can save tax by investing and also earn good returns.
1. Equity Linked Saving Scheme (ELSS)
ELSS Fund is a great tax saving option, which gives a discount of up to Rs 1.5 lakh under Section 80C of the Income Tax Act. You can start investing from at least 500 rupees. Its lock-in period is only three years, the lowest compared to other tax saving options.
2. National Pension Scheme (NPS)
NPS is a good option for retirement, with an additional deduction of Rs 50,000 under Section 80CCD (1B) and Rs 1.5 lakh under 80C. This gives you the benefit of safe future along with saving tax.
3. Public Provident Fund (PPF)
PPF is a safe and tax-free investment option. It provides exemption under 80C and the amount of interest and maturity is also tax-free. This is great for those who want to invest for long periods.
4. Unit Linked Insurance Plan (ULIP)
In ULIP, you also get the benefit of investment along with life insurance. It comes with a five-year lock-in period. It gives tax exemption on premium and maturity amount is also tax-free.
5. Tax Saver Fixed Deposit (FD)
If you want a low risk option, tax saver FD is a good option. It has a lock-in period of five years and a discount of up to Rs 1.5 lakh under 80C. However, it cannot withdraw money ahead of time.
6. Senior Citizen Savings Scheme (SCSS)
This scheme is very beneficial for senior citizens. It gets 8.2% annual interest and a tax deduct on investment amount up to Rs 30 lakh.
7. Sukanya Samriddhi Yojana (SSY)
The scheme is specially made for daughters under 10 years of age. It provides tax exemption of up to Rs 1.5 lakh under 80C and its return is also tax-free.