ELSS is a good option for saving taxes and investing in equities
3 years, 1 month ago

ELSS is a good option for saving taxes and investing in equities

Live Mint  

I’m new to mutual fund investing, and am interested in investing in equity funds. In this context, kindly guide me on the following: On the fourth year, is it wise to redeem and reinvest ₹1.5 lakh from my ELSS in another ELSS to save tax for this amount, or is it better to invest fresh money in a new ELSS fund so that my initial capital from the first ELSS is safe? I’m a private sector employee and do not have an NPS account; so, is HDFC retirement savings fund equity plan direct growth a good alternative to invest in until my retirement? I’m planning SIPs totalling ₹60,000 per year in the ELSS funds Quant Tax Plan, Mirae Asset Tax Saver and BOI AXA Tax Advantage Direct Growth. HDFC Retirement Savings Fund is a good flexi-cap fund and is not an ELSS.

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History of this topic

From ELSS to PPF: 7 key tax-saving investments you should make before the financial year ends
1 month ago

From ELSS to PPF: 7 key tax-saving investments you should make before the financial year ends

Live Mint  

If you plan to file your income tax return under the old tax regime, you can start making investments in some tax-free instruments in order to claim deduction under section 80C before the financial year comes to an end. Under section 80C of Income Tax, taxpayers can claim tax deduction against their investment in a few select saving instruments which …

Investment in these ELSS mutual funds grew by 2.5 times in past 5 years. Do you own any?
1 month, 2 weeks ago

Investment in these ELSS mutual funds grew by 2.5 times in past 5 years. Do you own any?

Live Mint  

If you stay invested in a mutual fund for a long period of time, the returns tend to grow multifold for what is known as 'compounding'. Here, we share the list of ELSS funds, which have given over 20 percent return in the past five years. When a mutual fund scheme delivers an annualised return of 20 percent over a …

Mutual Funds: 5 ELSS funds have given up to 25% return in last 3 years
6 months, 1 week ago

Mutual Funds: 5 ELSS funds have given up to 25% return in last 3 years

Live Mint  

ELSS funds are commonly known as tax-saving funds because they offer tax exemptions under Section 80C of the Income Tax Act. Name of the fund SIP investment 3-year returns Investment tenure Total value of returns 10-year returns Investment tenure Total value of returns Bank of India ELSS Tax Saver 10,000 25.78 3 5,46,535 20.01 10 38,26,117 JM ELSS Tax Saver …

These twelve tax-saving equity mutual funds gave alpha returns in three years
1 year, 2 months ago

These twelve tax-saving equity mutual funds gave alpha returns in three years

Live Mint  

Investments in Equity Linked Saving Scheme of mutual funds, popularly known as ELSS, are eligible for an income tax deduction under Section 80C of the Income Tax Act, subject to a 3-year lock-in period. According to a weekly report by SMC Global Securities Ltd., twelve mutual fund schemes gave alpha returns in three years. These tax-saving equity mutual funds gave …

Your Questions Answered: I am 26 and looking for tax-saving investments. Is ELSS mutual fund better than PPF?
1 year, 8 months ago

Your Questions Answered: I am 26 and looking for tax-saving investments. Is ELSS mutual fund better than PPF?

Live Mint  

Q. I am a 26-year-old professional, working at an MNC. Tax benefits Under Section 80C of the Income Tax Act, you can get a tax exemption for money you put into a PPF account up to a limit of Rs 1.5 Lakh. ELSS mutual fund vs PPF Some of the key differences between ELSS mutual fund and PPF are as …

How to choose between ELSS and NPS for tax exemptions? 3 financial planners explain
1 year, 11 months ago

How to choose between ELSS and NPS for tax exemptions? 3 financial planners explain

Live Mint  

The National Pension Scheme is a better bet than equity-linked savings schemes to save taxes in 2023, revealed a survey of the available tax-saving options by The Economic Times. Suresh Sadagopan, MD & Principal Officer, Ladder7 Wealth Planners, shares, “Investment decisions even if it is for tax savings should align with one’s overall investment goals. Hence NPS should be chosen …

No, ELSS is not just a tax-saving measure, it could be your ultimate investment
1 year, 11 months ago

No, ELSS is not just a tax-saving measure, it could be your ultimate investment

Live Mint  

The vague idea regarding equity-linked savings schemes has caused many investors to misconstrue the purpose of putting money in them. Ideally sought as an essential tax-planning exercise, investments up to Rs 1,50,000 a year in ELSS funds are subject to exemption from tax under Section 80C of the Income Tax Act, 1961. The idea behind parking your earnings in ELSS …

Mutual funds, NPS to PPF — top 5 tax saving investment tools to save money
1 year, 11 months ago

Mutual funds, NPS to PPF — top 5 tax saving investment tools to save money

Live Mint  

Income tax calculator: As we are about to enter new year 2023, it's opportune for an earning individual to know the tax saving investment tools for starting a fresh investment as there is just one quarter left in FY23. Here we list out top 5 tax saving investment options where an earning individual can park one's money for higher return …

What is ELSS? Check how it is better for saving taxes than PF, PPF and other schemes
2 years ago

What is ELSS? Check how it is better for saving taxes than PF, PPF and other schemes

Firstpost  

ELSS comes with a Systematic Investment Plan option, so salaried individuals are able to keep investing their monthly income into this mutual fund Equity Linked Savings Schemes are fast gaining popularity as an investment option. ELSS are referred to the mutual fund investment schemes that help in saving Income Tax. It should be noted that three years is only the …

HDFC Taxsaver Fund turns Rs 10,000 SIP into Rs 9.39 crore in 26 years, details here
2 years, 2 months ago

HDFC Taxsaver Fund turns Rs 10,000 SIP into Rs 9.39 crore in 26 years, details here

Firstpost  

A provision of Section 80C under Income Tax Act allows taxpayers to make an investment of up to Rs 1.5 lakh in specific investment tools and claim it as a tax deduction. One such ELSS fund, HDFC Taxsaver Fund, has completed its 26 years and made some people millionaires The launch of HDFC Taxsaver Fund Regular Plan - Growth Option …

Is it safe to invest in ELSS for tax saving even when market is overvalued?
2 years, 11 months ago

Is it safe to invest in ELSS for tax saving even when market is overvalued?

Live Mint  

I have been investing about ₹50,000 in ELSS funds for tax saving purposes for the past four years and have found them very lucrative. -Name withheld on request ELSS funds are equity funds and carry market risk. For this year’s tax planning, go for less risky options such as the PPF or NSCs. It seems you invest in ELSS funds …

What are pros and cons of investing in equity-linked savings schemes?
3 years, 1 month ago

What are pros and cons of investing in equity-linked savings schemes?

Business Standard  

Tax deduction of up to Rs 1,50,000 a year Lock-in period of three years No provisions of premature exit LTCG up to Rs 1 lakh is tax-free LTCG over and above Rs 1 lakh is taxable at 10% Investment up to Rs 1.5 lakh can be claimed as a deduction Suitable for investors who have a relatively high risk-taking capacity …

Top ELSS mutual funds chosen by investors in 2020-21 on Groww. Full list here
3 years, 8 months ago

Top ELSS mutual funds chosen by investors in 2020-21 on Groww. Full list here

Live Mint  

Around 54% investors above the age of 40 chose to park lumpsum amount of money in Equity Linked Saving Scheme from January 2020 till March 2021, showed data released by Groww. Around 15% of investors in the age group of 25-40 invested in ELSS funds on its platform between January 2020 and March 2021, according to Groww. Commenting on the …

How investing in tax-saving avenues can help create wealth over the long term
3 years, 8 months ago

How investing in tax-saving avenues can help create wealth over the long term

Live Mint  

Whether you invest in a fixed deposit or an equity-linked savings scheme, your maximum allowable tax deduction for most tax-saving investments remains at a maximum of ₹1.5 lakh under section 80C of the Income Tax Act. Alternatively, you can opt for the National Pension System, which has the provision to give you a higher tax deduction of up to ₹2 …

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