Which is best 80 C option?

Personal finance
1

Hi , which is best option for saving approximately 1 to 1.5 L under 80 C deduction so that i can be under nil tax for this FY , ( approximately calculating all incomes STCG ,LTCG and fno business income and other income in earlier ) Thanks in advance .

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2

i use LIC, lot of benefits with tax free return and has option for loan against policy.

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3

Already having one qtrly paying policy and having some to be deducted as school tution fees , beside that needed for some amt near 70 -80 k

4

Invest in nps.

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5

Thanks for your reply , think lockin period is high in nps , im looking for something like pro and cons of elss , or mutual funds or any debt or gilt instrumrnts will come under this …

6

PPF, ELSS, LIC etc are some of the good options.

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8

ELSS is best due to low lock-in. You also don’t have to compulsorily withdraw after 3 years, you can leave it to grow like any normal mutual fund.

NPS has a different 50K deduction (extra) so use that too. Would suggest investing in NPS for retirement purposes and not just 80C purposes, so contribute as per retirement needs, irrespective of tax saving amount.

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9

Yes, thinking of to fill at fy last week , half with elss and half with nps. Reason behind nps having extra benifits than others, and elss and nps are least lock in period and to reduce volatality than elss .

10

nps are least lock in period

NPS tier 2?

11

I read Nps lockin period 3 yrs,

12

Partial withdrawl upto 25 ℅ only in nps, looks like more to know abt nps in detail

13

NPS comes under 80CCD no?

In 1.5L, you can opt for PPF, ELSS (I think it’s only possible to exempt 46k- please check) funds, tax saver FD and insurance.

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14

You can deduct NPS contributions under 80C.

Extra 50K NPS deduction (other than 1.5L) is possible under 80CCD.

80C 1.5L you can use for anything - ELSS, PPF, NPS, etc

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15

Actually i dont want to lock in long period , thinking can make more than that elss 12-15 % , just bcz to save 45 k special tax from stcg alone im going for elss , any other options left than this ?

16

You should consider ELSS, it comes with the same benefits but gives better returns than LIC. FYI, I have worked in LIC.

17

I don’t think this is the best method considering withdrawal restrictions.

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