If you haven’t started your tax planning yet, do it now, because we’re only a few weeks away from March 31st. Risky investors and those in the tax bracket can consider tax-deferred deposits. Don’t waste time on your tax preparation. If you haven’t started your tax planning, do it now because we are a few weeks away from March 31, the end of the fiscal year.
Invest wisely, keeping in mind your financial goals. You can achieve your tax planning goals by investing in existing schemes, which may include Public Provident Fund (PPF), National Pension Scheme (NPS), Sukanya Samriddhi Yojana (SSY), Monthly SIP and Linked Savings (ELSS), and employees.
Provident Fund (EPF) or life insurance fund. Many banks have raised interest rates on tax-saving FDs as the Reserve Bank of India (RBI) hiked rates this year. Small finance banks and small private and innovative banks are currently offering rates of up to 7.6% on tax-saving FDs, according to data compiled by BankBazaar.
Investments up to Rs 1.5 lakh can be claimed for tax deduction under Section 80C of the Income Tax Act. Tax-protected DFs have a lock-in period of five years and no prior export is allowed. DCB Bank offers an interest rate of 7.6% on tax deposits. Among private banks, it offers the best interest rates. A sum of Rs 1.5 lakh deposited in a bank will increase to Rs 2.19 lakh in five years.
Suryoday Small Finance Bank offers up to 7.5% interest on tax-saving deposits. Among the microfinance banks, this bank offers the best interest rates. An investment of Rs 1.5 lakh invested here for five years will yield a return of Rs 2.17 lakh. IndusInd Bank offers up to 7.25% interest on tax-saving deposits. A sum of Rs 1.5 lakh invested here will grow to Rs 2.15 lakh in five years. Ujjivan Small Finance Bank and AU Small Finance Bank offer up to 7.2% interest on tax-saving deposits.
An investment of Rs 1.5 lakh will see a return of Rs 2.14 lakh in five years. Deutsche Bank offers up to 7% interest on tax-saving deposits. Among foreign banks, it offers the best interest rates. Rs 1.5 lakh invested here will yield Rs 2.12 lakh in five years. Many banks including Axis Bank, City Union Bank, HDFC Bank, RBL Bank, IDFC First Bank, ICICI Bank, and Yes Bank offer up to 7% interest on tax. – Save money.
An investment of Rs 1.5 lakh will yield a return of Rs 2.12 lakh in five years. Small private banks and small corporate banks offer high-interest rates to collect new deposits.
The Deposit Insurance and Credit Guarantee Corporation (DIGCC), a subsidiary of the RBI, guarantee deposit insurance up to Rs 5 lakh. Data was compiled as of March 2, 2023, from individual bank websites. BankBazaar has listed FDs of only foreign, private, microfinance, and public sector banks listed on BSE. Bank. These rates apply only to DFs that save five years of tax for non-senior citizens.
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