ELSS Tax Schemes: All You Need To Know

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[{"selector":"#anim-833f20a6-2c72-48b0-85f3-24c9db961e51","keyframes":{"transform":["translate3d(-115.55555%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Tax planning is a fundamental part of financial planning, it helps to reduce tax liability and attain economic stability.

[{"selector":"#anim-bcb36272-42f5-49b8-b3a6-1dd17bfc7847","keyframes":{"transform":["translate3d(-160.75268%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-b238766f-609f-4c49-86eb-c60209431eb7","keyframes":{"transform":["translate3d(-114.87342%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Equity Linked Saving Scheme (ELSS) helps to save taxes under Section 80C of the Income Tax Act. ELSS

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[{"selector":"#anim-eafa0772-5004-4796-86be-121ba4c49b07","keyframes":{"transform":["translate3d(-114.42007%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Potential for getting Better returns with SEBI mandate of minimum 80% investment in equity related instruments

[{"selector":"#anim-b5645da8-d1cb-4b74-97e2-01900d194c7d","keyframes":{"transform":["translate3d(-115.18988%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Ideal for seeking long term capital appreciation inspite of 10% Long Term Capital Gains (LTCG) Tax

[{"selector":"#anim-7f57b6f4-6c78-4c2b-b48b-4ec046d07bb1","keyframes":{"transform":["translate3d(-115.55555%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Redemption is not compulsory after a period of 3 years

[{"selector":"#anim-0db36e4e-aa43-4a6c-849f-d8c5e91978b9","keyframes":{"transform":["translate3d(-118.0921%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-1b3cc6fa-224d-4420-8e0d-ebc512577d66","keyframes":{"transform":["translate3d(-267.36843%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Irrespective of the total amount of investment in an ELSS fund, The benefits would be limited only to ₹1,50,000. Cons:

[{"selector":"#anim-4c532247-0554-4742-8c0a-401c256499d4","keyframes":{"transform":["translate3d(-115.92356%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":600,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Tax benefits up to ₹150,000 are inclusive of other benefits such as PPF, life insurance, repayment of home loan principal, etc.

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