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Income Tax Saving Tips: Most of us invest in a scheme keeping profits in mind. But if along with the profit on investment, you also get income tax exemption, then the benefit doubles. Know here about 4 such schemes which not only give you the benefit of interest but also save your income tax in 3 ways. These schemes have been kept in EEE category.
Know what is EEE category
EEE stands for Exempt Exempt Exempt. Schemes falling in this category save tax in three ways. There is no tax on the amount deposited every year, apart from this, the interest received every year is also not taxed and the entire amount received at the time of maturity is also tax free, i.e. saving tax on investment, interest/return and maturity. it occurs. Know in which schemes you can avail its benefit-
public provident fund
PPF is a good option to save tax and invest safely. Under this scheme, any investor can deposit a minimum of Rs 500 and a maximum of Rs 1.5 lakh in a year. The annual interest on PPF is 7.1 percent. The special thing about this scheme is that the amount invested in it, the interest received on the investment amount and the maturity amount, all three are tax free.
Equity Linked Savings Scheme
Equity Linked Saving Scheme (ELSS) is also called tax saving mutual fund. In Equity Linked Saving Scheme you can deposit money in lump sum or through SIP. Its lock-in is for three years. After this you can withdraw the money whenever you want or continue your investment. If you withdraw money after 3 years, you get tax exemption.
Sukanya Samriddhi Yojana
Under this scheme the investor gets 8.2 percent interest. Under this scheme, any father can deposit Rs 250 to Rs 1.5 lakh annually in his daughter’s account. This money is deposited for 15 years and when the daughter turns 21, the entire amount along with interest is returned to the investor. To invest in this, the daughter’s age should be less than 10 years.
employee future plan
If you are employed then you can also save your tax through EPF. EPF is also an EEE category scheme. Currently 8.25 percent interest is available on this. In such a situation, you can save a good amount of money through this scheme. If you want, you can also increase your contribution through VPF.