HOW TO SAVE TAXES WITH MUTUAL FUND INVESTMENTS THIS YEAR

TAXING TIMES

Are taxes taking a big bite out of your money? Mutual funds can help!

INVEST IN ELSS

Invest in Equity-Linked Savings Schemes and claim deductions of up to Rs. 1.5 lakh under Section 80C of the old regime of the Income Tax Act, 1961.

MORE STRATEGIES

Also, when investing in other equity schemes, be sure to hold units for at least one year.

THINK LONG TERM

That’s because long term capital gains of up to Rs. 1.25 lakh are tax free. Thereon, the tax rate is 12.5%.

AVOID SHORT TERM

In contrast, the short-term capital gains tax is 20%, with no exemptions.

PRO TIP

Plan your tax-saving investments throughout the year. Avoid the last-minute rush and invest calmly!