About the mutual funds of ELSS
Each person tries to save his precious money from tax at the end of the financial year. To prepare his tax for savings, he tries various ideas. If you think it’s too early to worry about tax preparation, then you’re mistaken.
ELSS Mutual Funds is such a great investment scheme for mutual funds. Under this scheme, under Section 88, one may obtain a tax rebate for an investment of Rs 10,000. Usually, this scheme invests at least 80% of its total volume in equities below the 3-year lock-in the span.
When his lock-in lapses, a unitholder has the right to reclaim his holdings at a price dependent on Net Asset Value.
Time is beneficial:
If you are thinking of investing in ELSS, then the timing will give you an edge. ELSS invests in stock markets to give you a distinct advantage in terms of timing. You will be exposed to these schemes when stock markets are down as they will have lower costs.
Therefore, if at the beginning of this fiscal year an individual wishes to invest in these schemes, the stock markets will prove to be a good investment alternative.
In Time Short Lock:
The best tax saving scheme, too, is ELSS. The current downward trend prevalent in the stock market presents a strong opportunity to use this scheme for tax savings purposes.
Unlike other investments like PPF etc, this scheme brings a lock-in of just 3 years. Under this plan, on the day that the money is deposited, the lock-in duration starts. Thus, locking in is irrespective of the disparity in the financial year.
Under the rule, the companies in the Mutual Fund need not report their portfolio to their investors. This provides the investor with an ability to track the success of his investments.
This scheme carries a fixed rate of return, like most investment schemes. This option also provides versatility when investing in small accounts on a regular basis.
Avail your Loans with Dialabank and get Personalized Assistance
|Apply Online For|
|Home Loan||Personal Loan||Auto Loan||Gold Loan||Life Insurance|
|7 Documents are Required for e-Filing Income Tax Returns in India||Time As Investment|
|Last Date for Filing Income Tax Returns||Global Investment|
|Am I e-filing the return correctly?|