Skip to main content

How to turn a better tax planner ?

Tax Saving Mutual Funds Online

Current open Infra Bond Application form

AS the financial year (FY) 2011-12 (April 1, 2011 to March 31, 2012) is nearing an end, it would be best to plan your personal finances to avoid any last minute rush. Some tips for doing this are given below

 

■ Plan your investments: One must plan investments and spread it across various instruments specified under Chapter VIA, such as Section 80C and Section 80CCF, of the Income Tax Act, 1961 (the Act) so as to avail maximum tax benefit.

The popular options available under Section 80C (maximum deduction available up to Rs 1,00,000 per year) are investments in public provident fund (the limit of which has recently been enhanced to Rs 1,00,000), national savings certificate, life insurance premium and fixed deposits in banks, among others.

It is pertinent to note that not only investment in specified avenues helps in reducing taxes, but specific expenditures, such as repayment of principal on housing loans and tuition fees paid for children, would also qualify for deduction under Section 80C.

Submit investment proofs to employers in time: In case you are a salaried individual, then you should submit the proof of investments/expenses to your employer within the time specified by the employer, so that he takes the relevant available deductions into consideration and compute the taxes on the balance income.

In case you are repaying a home loan, you must collect the certificate of repayment of principal amount and the interest paid during the financial year from the concerned bank/financial institution. You are required to submit the proof of the same to your employer so that the relevant deductions are allowed and taxes are computed accordingly.

If you are claiming deduction under Section 80D for payment of health insurance premium for self and family, then ensure that you submit the receipt to your employer, to avail the allowable deduction of up to Rs 15,000 (additional deduction of Rs 20,000 would be done in case of dependent parents, who are senior citizens).

■ Documentation of all your investment proofs and receipts: Although, there is no longer a requirement to file any supporting document, such as investment proofs along with the return of income, it is advisable to maintain the relevant documentation for the same and keep them in records for future reference. These would also be required, in case your return is picked up for assessment.

■ Maintaining record of the income earned during the year: One should keep a record of their income earned from various sources like bank interest or rental income because they are taxable. Also, if you have sold/transferred any assets, such as house property, shares and mutual funds, then you are required to pay tax on the same, after taking in account the necessary deductions and exemptions available.

■ Payment of advance tax: In case you have any income on which tax has not been deducted at source, then you are required to pay advance tax on such estimated income as per the prescribed timelines.

Advance tax is payable only if the total tax liability after reducing the tax deducted at source is more than Rs 10,000.

It is always advisable to pay advance tax before the due date in order to avoid interest liability, which is payable before filing a tax return.

The next due date for payment of advance tax is March 15, 2012.

These small, yet important, resolutions can go a long way in avoiding the last minute rush of trying to minimise your tax liability and ensuring that all the available exemptions/deductions are claimed in a timely manner.

 

 

---------------------------------------------

Invest in Tax Saving Mutual Funds ( ELSS Mutual Funds ) to upto Rs 1 lakh and Save tax under Section 80C.

 

Invest Tax Saving Mutual Funds Online

Tax Saving Mutual Funds Online

These links can be used to Purchase Mutual Funds Online that are regular also (Investment, non-tax saving)

 

Download Tax Saving Mutual Fund Application Forms from all AMCs

Download Tax Saving Mutual Fund Applications

 

These Application Forms can be used for buying regular mutual funds also

 

Some of the best Tax Saving Mutual Funds available ( ELSS Mutual Funds )

  1. HDFC TaxSaver
  2. ICICI Prudential Tax Plan
  3. DSP BlackRock Tax Saver Fund
  4. Birla Sun Life Tax Relief '96
  5. Reliance Tax Saver (ELSS) Fund
  6. IDFC Tax Advantage (ELSS) Fund
  7. SBI Magnum Tax Gain Scheme 1993
  8. Sundaram Tax Saver

---------------------------------------------

Application form for Tax Saving Infrastructure Bond and more information

Current open Infra Bond Application form

 

Submit filled up application    Collection canter near you

 

Popular posts from this blog

Group Health Insurance

Buy Group Health Insurance Online   For Human Resources, the biggest challenge today is to decide whether medical benefits should be offered to employees or not, what type of plans should be offered, what will be the cost and how will the cost be split between employees and employer. Well, most of these are subjective and would depend on a lot of factors including company size, average employee salary, etc. However, this article will give you a fair idea on how you should go about deciding these factors: 1. Why offer group health insurance benefit to employees : Studies have proved that retention rates among employers offering GHI are much higher than the ones who are not offering. Moreover, the cost of providing this benefit as a percentage of salary is very low as compared to the perceived value. As an example, say if average salary of an employee in your organization is 4 LPA. If you decide to offer a health insurance benefit to him for a Sum insured of ...
Read more

ICICI Prudential Dynamic Plan Invest Online

Download Tax Saving Mutual Fund Application Forms Invest In Tax Saving Mutual Funds Online Buy Gold Mutual Funds Leave a missed Call on 94 8300 8300   ICICI Prudential Dynamic Plan             Invest Online This fund does remarkably well during falling markets, but fails to show the same prowess during a rising market. The fund sticks to its mandate to adapt to the dynamic nature of the market by shuttling between debt and equity. It takes aggressive asset calls in equity when the market surges by investing in quality mid-cap stocks. At the same time, it adopts a defensive strategy by investing in debt and cash when markets get overvalued, making it a good long-term choice.     For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call     Leave a missed Call on 94 8300 8300   Leave your comment with mail ID and we will ...
Read more

SBI MAGNUM MIDCAP ONLINE

Invest SBI MAGNUM MIDCAP ONLINE   SBI MAGNUM MIDCAP fund didn't fare well in its initial years but, in recent years, has steadily improved its performance under the capable hands of its current fund manager. Although investing predominantly in mid-cap stocks, the average market capitalisation of its portfolio is lower than other category peers.   Although the stock selection approach is mostly bottom-up , the fund manager doesn't shy away from taking bold sector bets , as is reflected in its large exposure to the healthcare sector. She is equally adept at handling performance across market cycles--the fund has captured more of the upside during market upticks and contained the downside during downturns in a better manner than its peers.   Given its superior risk-reward equation, the fund is a worthy pick in its category.     ----------------------------------------------- Invest Rs 1,50,000 and Save Tax under Section 80C. Get Great Returns by Investing in Best Performing EL...
Read more

Birla Sun Life MIP II Savings 5

  Birla Sun Life MIP II Savings 5 - Invest Online   Have you traditionally been a debt investor but now wish to test waters in equities? Then, debt-oriented funds such as Birla Sun Life MIP II Savings 5 (Birla Savings 5), which have limited exposure to equities, may fit your requirement. With a five year return of 10.5 per cent compounded annually, the fund managed a good 3-3.5 percentage points more than its benchmark Crisil MIP Blended Index, as well as its category average. The fund appears well poised to capitalise on a falling interest rate scenario and has increased the average portfolio duration of its debt instruments in recent times. Suitability Birla Savings 5 is suitable only for conservative investors. If you want to make a beginning in equities and cannot take any short-term declines in your stride, then this fund will suit you. If you are already an equity investor and want to use a debt-oriented fund merely as a diversifier, then you may prefer peers from the HDFC and Re...
Read more

Lump Sum or SIP?

Invest Mutual Fund Online     You have a lump sum in hand and you wish to invest in equity funds. However, you have heard a lot of talk about investing in equity funds through Systematic Investment Plans (SIPs) because they help average costs, ensure you do not ill-time the market, and help you invest in small sums, besides giving you many other advantages. So, should you invest the money you have in hand in one go, or let it remain in your bank account and then do an SIP? There is no harm in investing a lump sum amount. For all you know, compounding, over the long term, could work better with lump sum. However, make sure you fulfill all of these three criteria if you want to invest in one go. Else, SIP is the way to go. #1: You invest for the long term According to past data, ideally, if you have a time frame of 12 years or more, you can consider lump sum investing (provided you satisfy the other two conditions that follow). So, what is the sanctity behind 12 years? Is it because only...
Read more
Related Posts Plugin for WordPress, Blogger...
Invest in Tax Saving Mutual Funds Download Any Applications
Transact Mutual Funds Online Invest Online
Buy Gold Mutual Funds Invest Now