Smart Tax Planning Guide
Minimize your tax liability legally while building wealth. Learn about Section 80C, ELSS funds, and other tax-saving strategies in India.
Income Tax Slabs 2024-25
Choose between old and new tax regime based on your investments
Old Tax Regime
Key Benefits:
- • Section 80C deduction: ₹1.5L
- • Section 80D: ₹25K-75K
- • Standard deduction: ₹50K
- • HRA exemption
New Tax Regime
Key Features:
- • Lower tax rates
- • Standard deduction: ₹75K
- • No major deductions allowed
- • Simpler tax calculation
Which regime to choose? Old regime if you invest in 80C options, New regime if minimal investments.
Compare Both RegimesTax Saving Sections
Maximize deductions under various sections of Income Tax Act
Section 80C
Limit: ₹1.5 Lakh
Popular tax-saving investments and expenses
Best Option: ELSS Mutual Funds
Available Options:
Section 80D
Limit: ₹25,000-75,000
Health insurance premiums
Best Option: Family Health Insurance
Available Options:
Section 80G
Limit: 50%-100%
Donations to charitable organizations
Best Option: PM CARES Fund
Available Options:
Tax-Saving Investment Comparison
Compare different Section 80C options to make informed decisions
| Investment | Returns | Lock Period | Liquidity | Risk | Tax on Maturity | Verdict |
|---|---|---|---|---|---|---|
| ELSS Funds | 10-15% | 3 years | Low | Moderate-High | LTCG if >₹1L | Best for wealth creation |
| PPF | 7-8% | 15 years | Very Low | Nil | Tax-free | Good for conservative investors |
| Life Insurance | 4-6% | 5+ years | Low | Low | Tax-free | Buy for protection, not investment |
| NSC | 6-7% | 5 years | Nil | Nil | Taxable | Average returns |
4-Step Tax Planning Process
Follow this systematic approach for effective tax planning
Smart Tax Planning Tips
Pro tips to optimize your tax planning strategy
Start Early in Financial Year
Begin tax planning in April, not March
Automate with SIPs
Set monthly SIP in ELSS funds
Keep All Receipts
Maintain records of all tax-saving investments
Review Annually
Reassess tax-saving strategy each year
Start Your Tax Planning Today
Don't wait until March. Plan your taxes smartly and build wealth simultaneously