21 Dec 2022
Most of us have done last-minute planning for something or the other! It could be a school project, a vacation or even some office-related work!
Sometimes the delay could be leaving late for somewhere you are supposed to go, and sometimes, it could simply be delaying an investment!
Or planning your taxes.
But delaying things and then doing it in a hurry can sometimes leave you with inadequate time to make a choice which could be optimum for you.
For instance, if you leave your tax planning for the end of the year, you may not be able to choose an option which suits you the best.
There are multiple instruments available for investment through which one can save on taxes.
One of these instruments is equity-linked saving schemes, a category of mutual funds that invest in equity and equity-related instruments.
They have a lock-in period of three years, which is among the lowest in the category of investment avenues for tax saving. *
Introducing – the Kotak Tax Saver Fund.
Why should you consider it?
- It helps you save taxes under the Section 80/C of the Income Tax Act^
- It aims for capital growth in the long term, along with savings on taxes
- If you are investing in the Kotak Tax Saver Fund via SIPs, it can ensure systematic investments!
*Instruments used for comparison include Public Provident Fund, Tax-Saver FDs, and National Savings Certificate. The details are limited pertaining to lock-in period requirements.
^This is applicable assuming the person is in the old tax regime. The Finance Bill, 2020 has proposed a New Personal Tax Regime where most of the deductions/exemptions such as sections 80C, 80D, etc., are to be foregone. This is, however, optional.
You may consult your financial expert or tax advisor before making any investment decision.