Where should I invest under 80c?

Investment Returns Lock-in Period
Public Provident Fund (PPF) 7%-8% 15 years
Sukanya Samriddhi Yojana 8.5% N/A
National Savings Certificate 7%-8% 5 years
Senior Citizen Saving Scheme 8.7% 5 years

What can be shown under 80C?

What do you mean by 80C deduction under chapter VI A?

  • Public Provident Fund ,
  • Employees Provident Fund ,
  • LIC premium.
  • Equity linked saving scheme.
  • Principal amount payment towards home loan,
  • Stamp duty and registration charges for purchase of property,
  • Sukanya smriddhi yojana (SSY) ,
  • National saving certificate (NSC) ,

Can I invest more than 1.5 lakhs in 80C?

If you are investing in an equity-linked savings scheme (ELSS) to claim the tax benefit under section 80C of the Income-tax Act, 1961, then do make sure that you have invested marginally more than the specified limit of Rs 1.5 lakh in a financial year.

How can I save tax under 80C?

Public Provident Fund (PPF)

PPF is a scheme provided by the government and the investment in it is eligible for deduction under Section 80C. You can invest as low as Rs 500 and as high as Rs 1.5 lakh in a financial year. The interest on PPF is currently tax-free (compounded yearly) and the maturity period is 15 years.

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What is 80C in income tax 2020 21?

* Child may be married/unmarried, dependent or not on the Individual. For HUF – A deduction would be allowed on the premium paid by HUF for any of its members of the family.

What is the new income tax slab for 2020 21?

Income tax slab rate applicable for New Tax regime – FY 2020-21.

Income Tax Slab New Regime Income Tax Slab Rates for FY 2020-21 (Applicable for All Individuals & HUF)
Rs 0.0 – Rs 2.5 Lakhs NIL
Rs 2.5 lakhs- Rs 3.00 Lakhs 5% (tax rebate u/s 87a is available)
Rs. 3.00 lakhs – Rs 5.00 Lakhs
Rs. 5.00 lakhs- Rs 7.5 Lakhs 10%

Is PF part of 1.5 lakh investment?

An employee’s contribution to the Employee Provident Fund (EPF) account also earns a tax break under Section 80C of up to Rs 1.5 lakh. This amounts to 12% of salary that is deducted by an employer and deposited in the EPF or other recognised provident funds. The current interest rate on the EPF is 8.5% p.a.

How can I save tax beyond 1.5 lakhs?

Section 80CCD (1B) allows an additional tax deduction of up to Rs 50,000 on contribution in NPS Tier I Account. This deduction is over and above the deduction available on contribution of up to Rs 1.5 lakh in the NPS Tier I account under Section 80C.

Is RD covered under 80C?

Investment in Post Office RDs is eligible for tax savings under Section 80C of the Income Tax Act, 1961. The interest earned on RD is taxable, and not tax exempted.

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Is 80C applicable in new tax regime?

The deduction under 80C can be claimed only if an individual opts for the old/existing tax regime in a financial year. If he/she opts for the new concessional tax regime, then he/she will not be eligible to claim these deductions.

Is Axis Bluechip fund comes under 80C?

Consider that Axis Mutual Fund can help you save tax up to Rs. … This is an open-ended ELSS savings scheme with a 3-year lock-in period. It provides tax benefits up to Rs. 47,668 under section 80C of the Income Tax Act, 1961.

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