Gear Up Your Tax Planning With Mutual Funds Smart Tax Saving Tips And
Recommendations 2008

Gear Up Your Tax Planning With Mutual Funds Smart Tax Saving Tips And Recommendations 2008

Gear up your tax planning with mutual funds .​
Smart tax saving tips and recommendations - 2008
Tax planning has changed radically over a​ period of​ time .​
Since its time for filling income tax returns for 2018-2008 as​ the​ end date (31st march’ 08) is​ approaching .​
As a​ tax payer you​ need to​ understand the​ best way through which you​ can make use of​ the​ exemptions provided by the​ government .​
Earlier people had limited choice of​ tax saving instruments to​ be used for the​ purpose of​ tax planning .​
But now with the​ ELSS (Equity Linked Saving Schemes) launched by most of​ the​ mutual fund companies,​ the​ whole approach towards tax saving has changed .​
With mutual funds tax planning had become more important part of​ over all investment planning .​
With equity linked saving schemes the​ tax exemptions can be used in​ a​ manner such that you​ not just disciple your investments but also create good corpus through equity investment .​
Tax planning for resident Indians
We recommend tax saving funds,​ also referred to​ as​ Equity-Linked Saving Schemes (ELSS) .​
One such reason is​ that their benefits are too much to​ ignore as​ they hold almost all the​ benefits of​ an​ equity mutual fund.
For one,​ they do not have any restrictions .​
If you​ choose to,​ you​ can invest the​ entire Rs 1 lakh available under Section 80C in​ these ELSS funds .​
They give you​ the​ benefit of​ higher returns .​
You can get 8 per cent with your PPF and NSC .​
But if​ you​ can get a​ 40-50 per cent return,​ coupled with a​ tax benefit,​ what’s wrong with it?
How do you​ invest in​ an​ ELSS scheme? It is​ as​ simple as​ investing in​ any other mutual fund schemes .​
You just need to​ fill the​ form of​ particular ELSS scheme in​ which you​ want to​ invest .​
Submit it​ through any transaction point with the​ required document i.e .​
usually PAN card and KYC form .​
That’s it​ your work is​ done .​
You can know more through website .​
In this you​ can get the​ understanding of​ selecting any scheme and filling the​ form.
The benefit 3 Years lock in​ period for ELSS schemes.
Secondly,​ if​ you​ hate blocking your money for years on​ end,​ then this one surely made for you​ .​
The lock-in period for ELSS funds is​ just three years .​
When you​ sell after three years,​ you​ pay no capital gains tax .​
So,​ you​ get the​ tax benefit when investing and you​ pay no tax on​ your profits.
The best way to​ invest in​ a​ mutual fund is​ investing systematically through out the​ year using SIP .​
So you​ commit to​ putting away a​ fixed amount every month in​ mutual funds .​
This is​ an​ automatic savings habit that will hold you​ in​ the​ long run and help you​ not only to​ save but also invest regularly and continuously in​ the​ capital market through equity linked saving schemes (ELSS).
You need to​ be consistent in​ your investments to​ do well .​
The wonders which a​ disciplined investment can do cannot be replicated by even the​ best of​ investment strategies.
Want to​ know about the​ top mutual funds for Tax Saving?
Most of​ the​ Mutual fund companies have come out with tax saving funds .​
They are Equity Linked Saving Schemes (ELSS) .​
The funds collected under this tax saving schemes are invested in​ equity instrument,​ thus providing better returns .​
Many of​ these ELSS funds generate as​ much returns as​ a​ diversified equity fund .​
With the​ awareness been increasing among the​ investor class,​ the​ equity linked saving schemes are gaining popularity among the​ investor class .​
To know more you​ can visit Godmind and get the​ collection of​ recommended tax saving funds which is​ been provided by Godmind advisors .​
Also you​ can ask the​ Mutual fund Advisors on​ which ELSS (Equity linked saving scheme) fund to​ invest in.
Take step towards informed mutual fund investment by investing with care and due diligence.

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