Can I invest more than 1.5 lakh in 80C?
There is no legal restriction on the maximum amount invested in an ELSS, though the deduction under Section 80C is limited to Rs 1.5 lakh only.
How much do I need to invest to get 80C deduction?
Investments of up to Rs 1.5 lakh can be used to avail tax deductions under Section 80C. An additional Rs 50,000 can also be invested in the NPS for tax deductions under Section 80CCD(1B).
How much should I invest to save tax on 10000?
For the current financial year, i.e., FY2018-19 for every Rs 10,000 invested in instruments specified under Section 80C, you are likely to save Rs 520 (inclusive of cess) for the income tax slab rate of 5 per cent.
How do I invest in tax saving ELSS?
You must invest in equity funds for the long-term to achieve long-term financial goals such as retirement planning. You may invest in direct plans of equity funds and ELSS through an asset management company. However, you could consider investing through a broker for regular plans of these mutual funds.
Can I invest more than 150000 in ELSS?
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.
How much can one invest in ELSS?
How much to invest in ELSS? There is no capping on the investible amount with ELSS. However, the tax benefits are capped at Rs 1,50,000 a year. You may first consider making full utilisation your Section 80C limit by investing Rs 1.5 lakh a year.
What if I invest more than 1.5 lakh in PPF?
PPF Deposit Limit 500 and the maximum contribution amount is Rs. 1.5 lakhs. This means that you cannot invest more than Rs. 1.5 lakhs per year into a PPF account.
Which is the best 80C investment?
Best Tax-Saving Investments Under Section 80C
| Investment | Returns | Lock-in Period |
|---|---|---|
| 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 |
| National Savings Certificate | 7\%-8\% | 5 years |
How much tax do I pay on 50 lakhs?
What is Income Tax Surcharge?
| Income limit | Surcharge rate on the amount of income tax |
|---|---|
| More than Rs.50 Lakhs but Less than Rs.1 Crore | 10\% |
| More than Rs.1 Crore but Less than Rs.2 Crore | 15\% |
| More than Rs.2 Crore but Less than Rs.5 Crore | 25\% |
| More than Rs.5 Crore | 37\% |
What is the maximum tax that can be saved?
The most popular tax-saving options available to individuals and HUFs in India are under Section 80C of the Income Tax Act, Section 80C includes various investments and expenses you can claim deductions on – up to the limit of Rs. 1.5 lakh in a financial year.
How much can I invest in ELSS under Section 80C?
Under section 80C, one can avail tax benefit of upto ₹46,800 by investing upto ₹1.5 lakhs per year in ELSS. You can also invest more than ₹1.5 lakhs in ELSS, but tax benefit can not be availed on the investment exceeding ₹1.5 lacs.
What are the tax benefits of investing in ELSS?
In addition to qualifying for a tax deduction of up to Rs. 1.5 lakh under Section 80C of the Income Tax Act, the long-term capital gains earned on an ELSS are tax-free up to Rs. 1 lakh per annum. An ELSS is the only tax-saving instrument which comes with a SIP (Systematic Investment Option) mode of investment.
What is the minimum amount required to start an ELSS?
One can start with a minimum amount of Rs. 500 in a SIP and there is no upper limit. However, the tax exempted amount is only Rs. 1.5 lakh in the financial year. One can also start with lump sum investment in ELSS.
What is the lock-in period of ELSS mutual funds?
ELSS Mutual Funds have a lock-in period of 3 years. What is the maximum tax benefit that can be availed by investing in ELSS every year? Under section 80C, one can avail tax benefit of upto ₹46,800 by investing upto ₹1.5 lakhs per year in ELSS.