If it does thn how?Can we save Income tax by investing our money?
SIP (Systematic Investment plan) is just a manner of investment. A manner where you invest a certain sum of money every month. If you invest in tax free funds, you will get exemption under Sec 80C of the IT Act.
Investing using the SIP method allows you to reap the benefits of rupee-cost averaging i.e you buy more of the fund when the NAV is low and less when the prices are high thereby averaging out your cost of acquisition.
Yes but only when you invest in ELSS or any other underlying which come under 80c eg tax saving mutual funds