Saving on income tax is what every person wants to do, but at one point or another, he gets stuck to the things that let him to pay more of income tax. A smart investment should be made in consideration to the same; so that one can save the precious hard-earned investment should go in the right direction only.
If you still have not zeroed in on a financial product to invest in to reduce your tax out for the year, you can take the online route.
For those, who could not make it all through the financial year but now they are looking for the last investment to save tax, then we are bringing here some ideas that would definitely help out in reaching of a positive conclusion for the same.
1. Insurance:
Another way Buying insurance plans such as online term plan or unit-linked insurance plans (Ulips) at the last minute may not always work. You can make an online payment for the same that would by the end result in saving some adequate amount of money from income tax.
2. Ulips:
ULIPS is actually unit linked insurance plans. One can buy online Ulips by visiting the insurer’s website. As there is no intermediary involved, there is no commission that gets paid to any agent in online Ulips. The process of applying and making payment through net banking or credit card will be entirely online. With some insurers, Aadhaar number may be mandatory to buy policy online.
3. PPF:
You can invest on PPF as it will also help you to Opening of a Public Provident Fund (PPF) account with a designated bank in itself will take few days. You can only fill up the form online by logging into your Internet banking account. You will have then take a printout of the form and submit it along with certain other documents at the bank branch for verification.
4. Five-Year Bank Fixed Deposit:
The five-year tax-saving fixed deposit is the probably the most hassle-free way of making an online tax saving investment. If you have a Know-Your-Customer (KYC) compliant account, all you need to do is log into your Net banking account and invest from there. Make sure your PAN is updated in the bank’s records. Redemption on maturity comes directly to your bank account.
These are few of the smarter ideas that you can invest in order to save a big portion of income tax by making the right investment on the right time. You can also consult a tax service company, so that you may get the most appropriate solution for saving taxes.
Share the knowledge!
You may also like
