Tax services may seem like a tedious exercise requiring lot of efforts that may make an ordinary investor nervous at the first glance. Equity Linked Savings Scheme (ELSS) offers a simple way to get tax benefits and at the same time get an opportunity to gain from the potential of Indian equity markets.
Simply put, Equity Linked Saving Scheme is a type of diversified equity mutual fund which is qualified for tax exemption under section 80C of the Income Tax Act, and offers the twin-advantage of capital appreciation and tax benefits. It comes with a lock-in period of three years.
In recent Income Tax rules, we can invest upto Rs. 1.50 Lacs and take benefit of Income Tax Saving up to Rs. 46,350/- .
In equity mutual fund scheme, even Long term capital gain (holding period of more than one year) and Dividend received also TAX EFFICIENT.
Long Term Capital Appreciation - Suitable for Tax Savings with Capital Appreciation
Equity Linked Tax Saving [ ELSS ] :- [ Tax Saving ]
Mutual Fund investments are subject to market risks, read all scheme related documents carefully.