Tax Saving Options | Value Research Tax-saving investments can be made in bank deposits, National Savings Certificate, PPF and ELSS funds
Ask Value Research

Tax Saving Options

Tax-saving investments can be made in bank deposits, National Savings Certificate, PPF and ELSS funds

Where should I invest to save tax under section 80C? I want to invest for a five-year term.
-Rajesh

Investment options to save taxes under section 80C are pretty straightforward. You can save tax by investing in fixed income options like bank deposits, National Savings Certificate and PPF. In equity, ELSS or Equity Linked Savings Scheme are the only option. Although Indian equity markets have struggled in the past few years, we don't expect the next 5 years to be that disappointing. Hence, if you can withstand the volatility, you should invest in an ELSS fund. Franklin India Taxshield and ICICI Prudential Tax Plan are relatively stable tax planning funds. Franklin India Taxshield has given returns at 14.78 per cent over a five-year period and ICICI Prudential Tax Plan yielded 17.15 per cent for the same period.




Other Categories