Have you made enough investment for tax saving in the financial year 2021-22? You should check it once. If you have not made full investment then you can do it before 31st March. After that the new financial year will start. We are helping you with this task.
You have to check whether you have made full use of Section 80C of the Income Tax Act, 1961. Tax exemption can be availed under this section by investing up to Rs 1.5 lakh annually. Under this, PPF, Senior Citizens Savings Scheme (SCSS), Life Insurance Premium, NSC, Tuition Fee for Two Children, Sukanya Samriddhi Yojana and Tax Saving Schemes of Mutual Funds come. If you have taken a home loan, then its principal will also come under the purview of this section.
Check once that you have used the limit of Rs 1.5 lakh under section 80C. If your investment is less than this limit, then you should invest the rest before March 31. Parul Maheshwari, Mumbai-based Certified Financial Planner, said, “It is important to see how much you have invested. You will get deduction only on the amount of investment you have made. This will reduce your overall tax liability.”
If you have a PPF account, then check whether you have invested in it or not. A minimum contribution of Rs 500 is required in PPF every year. If you have taken Sukanya Samriddhi Yojana, then in this also minimum contribution is necessary in the year. At least 250 rupees have to be contributed in this. If your life insurance premium is pending, then you can pay it. With this your policy will continue and you will also get the benefit of deduction.
Yes, you do not need to take a home loan or buy a traditional life insurance policy in a hurry to save taxes. These are long term commitments. Therefore, it is good to decide about them after thinking. Pankaj Mathpal, Founder and Managing Director, Optima Money Managers said, “If you are in a hurry, you can invest in tax saving schemes of NSCs and mutual funds.”
If you have made full investment under 80C, then you can claim deduction under section 80CCG1B by investing an additional Rs 50,000 in NPS. ELSS schemes of mutual funds are suitable for investors who take a little risk. But, since this investment is related to stocks, many investors can see the risk in it.
Tax exemption can be availed by spending Rs 25,000 annually on purchasing a mediclaim policy. You can buy a mediclaim policy for yourself, children and wife. You will get tax exemption on its premium up to Rs 25,000. Deduction is allowed on premium of Rs 50,000 per annum for buying a mediclaim policy for senior citizens.