Tax Saving-ELSS Advantage!

Which is the best tax saving instrument? (under Section 80c - 1 Lakh limit)

There are wide spectrums of choices available

3.Insurance / Pension Plan
4.FDs ( 5 Year Tenure)
5.Infrastructure Bonds
6.ELSS * and a few more

*(ELSS refers to Equity Linked Saving Scheme of mutual funds)

ELSS is one of the best choices

1)It has the potential for highest returns (Last five year average returns well above 30 % p.a. **).
2)It has the minimum lock in period (3 years) compared to other tax saving instruments.
3)Dividend from equity schemes are tax free (for Dividend Payout option)
4)No Long term capital gain tax on redemption as the period of investment is greater than a year.
5)An SIP investment can help you hedge against market fluctuations while investing.

With so many advantages, ELSS is the most attractive investment option available to us.

(SIP#- Systematic Investment Plan. Where a fixed portion is invested in a fund every month like a Recurring Deposit)(** Returns Subject to market risk)

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