Invest to save tax in 2014

Download Tax Saving Mutual Fund Application Forms

Invest In Tax Saving Mutual Funds Online

Buy Gold Mutual Funds

Leave a missed Call on

94 8300 8300

 

While on one hand the government taketh away, on another it gives, albeit a small amount. It has made available different Sections of the Income Tax Act under which you can save this amount that you pay to the government, the most famous of which is the 80C deductions.

Under Section 80C, you can invest Rs 1 lakh in various instruments.

Under Section 80CCF, you can invest Rs 20,000 in long term infrastructure bonds.

Under Section 80D, you can save Rs 35,000 towards health insurance premiums for yourself and your family.

So, all the taxpayers can go in for this common saving methods. If you do that, then you would have invested Rs 1.55 lakhs. And how much income tax can be saved by you after the investments ?

Use the simple logic above which shows that you would have paid 10.30%, 20.60% and 30.90% of tax – the same percentage of Rs 1.55 lakh you will stand to save. The below shows the savings in each of the three slabs.

	Tax bracket		Income Tax Saved
10.30%		10.30% of Rs 1.55 lakh = Rs 15,965
20.60%		20.60% of Rs 1.55 lakh = Rs 31,930
30.90%		30.90% of Rs 1.55 lakh = Rs 47,895

That is what you would end up saving.

It is important to note that these savings are valid for every tax payer who saves his money into the sections mentioned above. Over and above this, other sections of the income tax are applicable to you depending on which one is valid for you – for example – if you have a home loan, then the interest component can be used to save income tax. Similarly, there are other sections that can be used.

Do you think the money allowed to save as tax is a pittance compared to how much you need to invest in the instruments available ? Is it possible to increase how much income tax can be saved by all tax payers at all ?

 

 

 

For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call

 

 

Leave a missed Call on 94 8300 8300

 

Leave your comment with mail ID and we will answer them

OR

You can write back to us at

PrajnaCapital [at] Gmail [dot] Com

 

---------------------------------------------

Invest Mutual Funds Online

Invest Any Mutual Fund Online

 

Download Mutual Fund Application Forms from all AMCs

Download Mutual Any Fund Application Forms

---------------------------------------------

 

Best Performing Mutual Funds

1. Largecap Funds             Invest Online
1. DSP BlackRock Top 100 Fund
2. ICICI Prudential Focused Blue Chip Fund
3. Franklin India Bluechip
4. ICICI Prudential Top 100 Fund

B. Large and Midcap Funds         Invest Online

1. ICICI Prudential Dynamic Plan
2. HDFC Top 200 Fund
3. UTI Dividend Yield Fund
4. Birla Sun Life Front Line Equity Fund
5. Franklin India Prima

C. Mid and SmallCap Funds          Invest Online

1. Reliance Equity Opportunities Fund
2. DSP BlackRock Small & Midcap Fund
3. Sundaram Select Midcap
4. IDFC Premier Equity Fund
5. Birla Sun Life Dividend Yield Plus
6. SBI Emerging Businesses Fund
7. HDFC Mid-Cap Opportunities Fund
8. ICICI Prudential Discovery Fund

D. Small and MicroCap Funds   Invest Online

1. DSP BlackRock MicroCap Fund

2.       Franklin India Smaller Companies

E. Sector Funds          Invest Online

1. Reliance Banking Fund
2. Reliance Banking Fund
3. ICICI Prudential Banking and Financial Services Fund

F. Tax Saver Mutual Funds      Invest Online

1. ICICI Prudential Tax Plan

2. HDFC Taxsaver

3. DSP BlackRock Tax Saver Fund
4. Reliance Tax Saver (ELSS) Fund

G. Gold Mutual Funds        Invest Online

1. Relaince Gold Savings Fund
2. ICICI Prudential Regular Gold Savings Fund
3. HDFC Gold Fund
4. Birla Sun Life Gold

H. International funds         Invest Online

1. Birla Sun Life International Equity Plan A

2. DSP BlackRock US Flexible Equity

3. FT India Feeder Franklin US Opportunities

4. ICICI Prudential US Bluechip Equity

5. Motilal Oswal MOSt Shares NASDAQ-100 ETF