{"id":42378,"date":"2019-07-26T14:13:38","date_gmt":"2019-07-26T08:43:38","guid":{"rendered":"https:\/\/www.newsilike.in\/?p=42378"},"modified":"2019-07-29T15:44:42","modified_gmt":"2019-07-29T10:14:42","slug":"make-money-save-taxes","status":"publish","type":"post","link":"https:\/\/www.newsilike.in\/make-money-save-taxes\/","title":{"rendered":"Make Money While You Save Taxes"},"content":{"rendered":"\n
\"ELSS<\/figure>\n\n\n\n

\u201cTaxes included\u201d<\/em> \u2013 Two words that are more\ndisappointing to read than your bank balance at the end of the month. In fact,\nit\u2019s partly because of these taxes that your bank balance looks that\ndisappointing in the first place. <\/p>\n\n\n\n

Now, there are some taxes that cannot be avoided. Like the\nones that run longer than the items you get billed for at a restaurant or\nsupermarket. But then there are some that you can, if not avoid, at least\nreduce the amount of. One such tax is the income tax that you pay. <\/p>\n\n\n\n

The reason we are talking about this right now is because\nit\u2019s that time of the year when you need to decide on how you plan to pay less\ntax to the government. Legally, of course.<\/p>\n\n\n\n

For this, Section 80 (C) is the law that you need to\nfamiliarize yourself with. Section 80 (C) is that section under the Income Tax\nAct which enlists certain types of financial products\/avenues as being\ntax-free. This means that the money invested in those products will not be\ntaxed and you can invest upto Rs 1,50,000 in these products under this section.<\/p>\n\n\n\n

One such product that you could consider under this is the ELSS Funds<\/a>, or Equity-Linked Savings Schemes<\/strong>. ELSS are mutual funds that invest in the equity market and are also tax-free under section 80 (C).  When you invest in an ELSS, what you get is a dual advantage. On one hand, it is an equity investment<\/a> which means that you make money as it generates significant returns over the long-term. On the other hand, it is a tax-saving instrument and any amount invested in them will be exempt from taxes. So, essentially you get rewarded for saving by not being taxed. <\/p>\n\n\n\n

However, do remember two things. First is that an ELSS has a\nthree-year lock-in which means you can only withdraw the money after three\nyears of investment. The second thing is that the tax-break is only for that financial\nyear. So, if you invest say about Rs 1 lakh in an ELSS in September 2019, then\nthe tax-break will be applicable only for the financial year ending in March 2020,\neven though the lock-in is for three years.<\/p>\n\n\n\n

Most people use the PPF or the Public Provident Fund route\nto save taxes, which is a good option but the returns generated are decided by\nthe government of the day. Also, it has a 15-year lock-in period. An ELSS, on\nthe other hand, has the potential to generate good returns as it invests\nprimarily in equities, provided you stick with the investment for a relatively\nlonger period.<\/p>\n\n\n\n

To sum it up – it is important to save money, but it is\nequally important to grow it. ELSS is a good avenue like that \u2013 both for saving\nand growing your money.<\/p>\n","protected":false},"excerpt":{"rendered":"

\u201cTaxes included\u201d \u2013 Two words that are more disappointing to read than your bank balance at the end of the month. In fact, it\u2019s partly because of these taxes that your bank balance looks that disappointing in the first place. Now, there are some taxes that cannot be avoided. Like the ones that run longer…<\/p>\n Read More<\/span> Make Money While You Save Taxes<\/span><\/a>","protected":false},"author":2,"featured_media":42379,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"Layout":"","_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"Make Money While You Save Taxes.","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false}}},"categories":[4634,4609],"tags":[],"jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"https:\/\/www.newsilike.in\/wp-content\/uploads\/ELSS-Sav-Tax.jpg","_links":{"self":[{"href":"https:\/\/www.newsilike.in\/wp-json\/wp\/v2\/posts\/42378"}],"collection":[{"href":"https:\/\/www.newsilike.in\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsilike.in\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsilike.in\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsilike.in\/wp-json\/wp\/v2\/comments?post=42378"}],"version-history":[{"count":0,"href":"https:\/\/www.newsilike.in\/wp-json\/wp\/v2\/posts\/42378\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsilike.in\/wp-json\/wp\/v2\/media\/42379"}],"wp:attachment":[{"href":"https:\/\/www.newsilike.in\/wp-json\/wp\/v2\/media?parent=42378"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsilike.in\/wp-json\/wp\/v2\/categories?post=42378"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsilike.in\/wp-json\/wp\/v2\/tags?post=42378"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}