How can I invest in tax saver mutual funds online?
Log on to our ELSS calculator. Enter the nature of investment (SIP or lump sum) Enter the amount of investment. Enter the frequency of SIP (if you choose SIP as the nature of investment)
Which mutual fund is best for tax saver?
The table below shows the top-performing ELSS mutual funds based on the past five year returns:
|Mutual fund||5 Yr. Returns||Min. Investment|
|Mirae Asset Tax Saver Fund||20.92%||₹500|
|DSP Tax Saver Fund – Direct Plan – Growth||17.54%||₹500|
|JM Tax Gain Fund – Direct Plan – Growth||18.25%||₹500|
|Canara Robeco Equity Tax Saver Fund||18.71%||₹500|
How do I invest in ELSS mutual funds?
You can invest in ELSS the same way that you invest in any Mutual Fund. The easiest way is through an Online Investment Services Account. You can invest either as a lump sum or via the SIP (systematic investment plan) route.
How can I invest in ELSS to save tax?
To invest in an ELSS, an individual must be KYC compliant. The investment can be made by visiting the fund house’s branch office or the registrar office with a duly filled physical form along with a cheque. One can also start investing online via the fund house’s website or aggregators.
Are mutual funds tax free?
Long term capital gains upto Rs 1 Lakh is totally tax free. … Mutual fund tax benefits under Section 80C – Investments in Equity Linked Savings Schemes or ELSS mutual funds qualify for deduction from your taxable income under Section 80C of the Income Tax Act 1961.
How do I avoid capital gains tax on mutual funds?
6 quick tips to minimize the tax on mutual funds
- Wait as long as you can to sell. …
- Buy mutual fund shares through your traditional IRA or Roth IRA. …
- Buy mutual fund shares through your 401(k) account. …
- Know what kinds of investments the fund makes. …
- Use tax-loss harvesting. …
- See a tax professional.
What is best time to invest in mutual funds?
There is no best time as such for investing in mutual funds. Individuals can make investments in mutual funds as and when they wish. But it is always better to catch the funds at a lower NAV rather than higher price. It will not only maximise your returns but also lead to higher wealth accumulation.
Which mutual funds are exempt from income tax?
1.Tax saving equity funds
An investment made under ELSS (Equity Linked Savings Schemes) qualifies for tax exemption under section 80C. The total savings under 80C that qualifies for exemption is Rs. 1.5 lakhs (max). Apart from ELSS, other payments like LIC, PF, Children’s school fees, etc also qualify.
Is Axis Bluechip fund tax saver?
This is a diversified fund that will invest across sectors and industries. The main purpose that it serves is helping you in availing tax deductions under Section 80C of Income Tax Act, 1961.
|Scheme Name||ICICI PRUDENTIAL BLUECHIP FUND|
|Know More||Click here|
What is Blue Chip Fund?
Blue chip funds are equity mutual funds that invest in stocks of companies with large market capitalisation. These are well-established companies with a track record of performance over some time. … Blue Chip is commonly used as a synonym for large cap funds.
Can I invest more than 1.5 lakh in ELSS?
According to chartered accountants, this is necessary to claim the full tax-saving benefit of Rs 1.5 lakh, which is the maximum allowed under section 80C. However, in order to do this you may have to end up investing at least Rs 500 more than Rs 1.5 lakh i.e. Rs 1,50,500 in case of a lump sum investment.
What are the disadvantages of ELSS?
Disadvantages of an ELSS fund
- Limited total benefits. Tax benefits for a particular financial year are available only to the tune of ₹150,000 under section 80C, irrespective of the total amount of investment in an ELSS fund. …
- Tax benefits are limited.
Is ELSS better than PPF?
However, PPF offers much lower returns over a longer time horizon than ELSS. The tax benefits and capital safety are more in favour of PPF; ELSS certainly is an option for better returns. It depends on whether you have the appetite for market volatility or not.
Is maturity amount of ELSS taxable?
The redemption proceeds of ELSS are not entirely tax-free. The long-term capital gains of up to Rs 1,00,000 a year are tax-free, and any gains above this limit attract a long-term capital gains tax at the rate of 10% plus applicable cess and surcharge.
How much tax can be saved by ELSS?
Rama Karmakar, Tax Partner – People Advisory Services, EY India says, “According to Section 80C of the Income Tax Act, 1961, an individual can claim a deduction of up to Rs 1.5 lakh on the amount paid towards the subscription of any units of mutual funds covered under ELSS.