Are equity mutual funds eligible for 80C?

Are equity mutual funds eligible for 80C?

You must invest in Equity Linked Saving Schemes or ELSS to claim tax deduction under Section 80C. Investments in ELSS or tax saving mutual funds qualify for tax deductions of up to Rs 1.5 lakh in a financial year. Here are a few things you should remember before investing in ELSS funds.

How can I redeem my HDFC Tax Saver Fund?

Fund Information and Statistics of HDFC Tax Saver Being an ELSS tax saver fund, it can be redeemed after a minimum lock-in period of 3 years, under normal circumstances, the fund house will dispatch the redemption proceeds to the respective bank account within 10 business days from date of receipt of the request.

How do I claim ELSS tax benefit?

If you are investing in an equity-linked savings scheme (ELSS) to claim the tax benefit under section 80C of the Income-tax Act, 1961, then do make sure that you have invested marginally more than the specified limit of Rs 1.5 lakh in a financial year.

Can I get tax rebate on mutual funds?

Mutual fund tax benefits under Section 80C – Investments in Equity Linked Savings Schemes or ELSS mutual funds qualify for deduction from your taxable income under Section 80C of the Income Tax Act 1961. The maximum investment amount eligible for tax deduction under Section 80C, is Rs 1.5 lakhs.

How much tax do you pay on mutual fund withdrawals?

Short-term capital gains are gains from the sale of capital assets held for 12 months or less and are taxed at ordinary income tax rates. Long-term capital gains are gains from the sale of capital assets held for more than 12 months and are currently subject to a federal long-term capital gains tax rate of up to 20%.

Which is the best tax free investment?

Best Tax-Saving Investments Under Section 80C

Investment	Returns	Lock-in Period
National Pension Scheme (NPS)	12%-14%	Till Retirement
Unit Linked Insurance Plan (ULIP)	Returns vary from plan to plan	5 years
Public Provident Fund (PPF)	7%-8%	15 years
Sukanya Samriddhi Yojana	8.5%	N/A

How can I double my money in a year?

The principle is simple. Divide 72 by the annual rate of return to figure how long it will take to double your money. For example, if you earn an 8 percent annual return, it will take about 9 years to double. So the higher the return, the faster you can double your money.

How can I grow my money tax free?

With this best case in mind, let’s look at seven ways you can legally earn or receive tax-free income.

1. Contribute to a Roth IRA.
2. Sell your home.
3. Invest in municipal bonds.
4. Hold your stocks for the long-term.
5. Contribute to a Health Savings Account.
6. Receive a gift.
7. Rent your home.

How can I save my tax in 2020 21?

Different investment options that can be claimed for tax deduction under section 80C are:

1. Employee Provident Fund (EPF)
2. Public Provident Fund (PPF)
3. National Savings Certificates (NSC)
4. 5-year post office or bank saving accounts.
5. Equity Linked Savings Schemes (ELSS)
6. Post Office Senior Citizen Scheme.
7. Tuition fees of Kids.

What is the tax rebate for the assessment year 2020 2021?

Rebate limit under section 87A for all the Financial years

Financial Year	Limit on Total Taxable Income	Amount of rebate allowed u/s 87A
2021-22	Rs. 5,00,000	Rs. 12,500
2020-21	Rs. 5,00,000	Rs. 12,500
2019-20	Rs. 5,00,000	Rs. 12,500
2018-19	Rs. 3,50,000	Rs. 2,500

Does FY 2020/21 have standard deduction?

For the FY 2019-20 & FY 2020-21 the limit of the standard deduction is Rs 50,000….Standard Deduction Impact on Tax on Salary Income.

Particulars	FY 2020-21 (Old Tax Regime)	FY 2020-21 (New Tax Regime)
Less: Standard Deduction	50,000	–
Taxable Salary	3,00,000	3,50,000

How do you calculate income tax for the financial year 2020-21?

Therefore, your net taxable income will be Rs 15, 40,000 (Rs 16 lakh minus Rs 60,000). The income tax liability in the new tax regime will be calculated on Rs 15.40 lakh….

S. No.	Income slabs	Income tax rate (%)
1	Up to Rs 2.5 lakh	Nil
2	Between Rs 2,50,001 and Rs 5 lakh	5%
3	Between Rs 5,00,001 and Rs 7.5 lakh	10%

Can I change from new tax regime to old?

However, at the time of filing return of income, one may switch to the old regime. Thus, option at the time of filing of return may be different from intimation made by the employee to the employer. The ITR Form asks the choice of the individual and tax is computed accordingly.

What is the income tax slab for AY 2021 22?

New tax regime:

Income tax slab	Rate
Up to Rs. 2.5 lakh	Nil
Rs. 2.5 lakh to Rs. 5 lakh	5%
Rs. 5 lakh to Rs. 7.5 lakh	10%
Rs. 7.5 lakh to Rs. 10 lakh	15%