Income tax saving tips: March 31 is coming. In such a situation, if you have not yet invested for tax saving then you may have trouble. If you have not yet made tax saving investment for the current financial year 2024-25, then you will have to do this work before 31 March. Only then you will be able to cut up to Rs 1.5 lakh under Section 80C of the Income Tax Act for FY 2024-25. This benefit is available only to taxpayers who choose old tax system. Choose from the investment options below and reduce your tax burden.
Public provident fund (PPF)
Public Provident Fund is an attractive tax-sewing investment option under section 80C. Currently, the interest rate on PPF is 7.1 percent. The government reviews the interest rate every 3 months. You can claim tax deduction by investing a minimum of Rs 500 and a maximum of Rs 1.5 lakh in PPF.
Sukanya Samriddhi Yojana (SSY)
Sukanya Samriddhi Yojana is especially for parents whose daughters are. Parents can open Sukanya Samriddhi account for their daughters. The interest rate in this scheme is 8.2 percent which is more than PPF. It is necessary to deposit a minimum of Rs 250 in the account. The interest received in this scheme is tax-free.
National Savings Certificate (NSC)
The minimum investment limit in National Saving Certificate is Rs 1,000. The interest rate on this is 7.7 percent. The NSC maturity period is 5 years, after which the account matures. Low -risk investors can buy this certificate for tax deduction.
Senior civil savings scheme
Senior Citizen Savings Scheme is for people over 60 years of age. Its lock-in period is 5 years old. It can invest at least Rs 1,000 and maximum Rs 30 lakh. However, tax deduction can be claimed only to a limit of Rs 1.5 lakh of section 80C. The interest rate on this scheme is 8.2 percent.
