Tips to make tax saving investments easy!

When you have been looking towards to have a better tax saving regime then do check for the tips that we have to tell you here. There are many deductions which are made in your income and that comes under the Indian Income Tax which is being paid by all the salaried people or those who have a source of income.

One has to proper tax planning in order to save the tax otherwise a major chunk of your income may get depleted while paying up the tax.

Section 80C, 80CCD and 80CCC

Under the above provisions, you can save up to 1.5 lakh which is exempted from any kind of tax. Under the Tax savings investments vehicles there are many provisions that you should know about. No matter how much you invest under different tax schemes, you still will be able to save up to the upper limit only.

Government on its part has come with many schemes which you must know about. These schemes are quite popular and you can save a huge amount of your wealth under these plans. There are numerous funds which come under the different tax sections as specified above which you should have the complete knowledge of:

·         ELSS

·         ULIP

·         NPS

·         VPF and PPF

·         Sukanya samriddhhi yojana

·         Senior savings scheme

·         FDs and NSCs

·         Pension plans

·         Insurance policies

How to save if you are a salaried person?

There are easy ways to save your money under the Tax savings investments. The most obvious option is the section 80 C under which you can get to save lots of money is you have picked the right kind of plans for yourself. At the most you can save your money up to 1 lakh and there are very few options which you can avail for yourself.

You may also resort to the options which are beyond the section 80C and that include 80G and 80D. Home loans are also a great Tax savings investments which makes you have two-sided benefits under which you can buy your house and also will be able to save your money from paying in the taxes.

Your loan will be included in the section 80C and the interest that you pay on your loan will be covered under section 24 which is up to the limit of 1.5 lakh. You leave travel allowance also makes it apt for you to claim the benefit of the tax rebate.

Education loans and tax savings

Your loan will be covered under section 80E and this education loans can be for self, taken for the purpose of higher education or for spouse or your kids of whom you are the legal guardian. But the deduction can be allowed for repaying the interest rates and not the principal amount.

For the Tax saving investments schemes, section 80CCG is also a good option and the deduction done under this is called as the Rajiv Gandhi Equity scheme. You can have your share of mutual funds and though the scheme is a bit complicated, it matters a lot that you can save yourself from the complication by hiring a good financial expert to guide you through.

Tax savings investments under section 80G can also come up as a big gainer for you if you end up as a philanthropist or are donating in the National Relief Fund. For the charity purpose, you can check for the concerned rules that can be very fruitful in saving your income to come under the tax barrier.

For the purpose of the Tax savings investments, equity also serves as a great option that can make your living a lot easier than you can imagine.