The financial year is fast coming to an end. If you’re reading this article then you probably haven’t taken your investment and tax planning as seriously as you should have. Worry not though. There’s just enough time left for you to sneak in a tax-saving investment. Just make sure you don’t put it off for much longer.
Here are some options for you to save tax under Section 80C, where you can invest and save up to Rs. 1.5 lakh in taxes.
| What To Buy | How much | Where | Benefits | You need | Processing time | We suggest |
| National Savings Certificate | Rs. 100 upwards | Through authorised banks, post offices | Safe investment, 8% ETE returns, 5-year lock-in | Investor’s name, cash or DD. | 1 working day | Recommended for long-term investment |
| PPF | Rs. 500 to Rs. 1.5 lakh | Through authorised banks, post offices | Safe investment, 8% EEE returns, loan on investment facility, 15-year maturity | ID & address proof, 2 colour photographs, account opening form (for offline application) | 1 working day | Best saving scheme for the general investor, great tool for long-term wealth building. |
| ELSS | Rs. 500 upwards | AMCs, distributors, agents | Market-linked and tax-free returns, 3-year lock-in | KYC documents, cheque, PAN card | 1 working day | Great for long-term wealth creation; can be bought easily online. |
| Life Insurance | Depends on coverage, age | Insurers, agents, online aggregators | Life cover with investment benefit | KYC documents, cheque, photograph. For some term plans, income proof and health check | 1 day to 1-2 weeks | Go online to compare and buy a cover as per your needs. Pick a term plan if you have dependents. |
| 5 Year Fixed Deposit | Rs. 200 upwards | Through banks, post offices | Safe investment, 6.6%-7.5% returns | KYC documents, PAN card, cash or cheque, | 1 working day | Low returns currently along with poor tax efficiency. Use minimally, buy online. |