Why ELSS is the Best Tax Saver
Under Section 80C of the Income Tax Act, you can claim a deduction of up to ₹1.5 Lakhs. While PPF and FD are popular, ELSS (Equity Linked Savings Scheme) offers the shortest lock-in period and highest potential returns.
ELSS vs PPF vs FD
| Feature | ELSS | PPF | Tax-Saving FD | | :--- | :--- | :--- | :--- | | Lock-in | 3 Years | 15 Years | 5 Years | | Returns | Market Linked (12-15%*) | Fixed (~7.1%) | Fixed (~6-7%) | | Tax on Returns | 10% on gains > ₹1L | Tax Free | Taxable |
> Returns are historical and not guaranteed.
Strategy
Don't wait until March! Start a monthly SIP in an ELSS fund today to spread your tax burden throughout the year.