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Where can I invest in a high tax bracket?

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Where can I invest in a high tax bracket?

What is the Maximum Tax Saving That You Can Avail?

Total Taxable Income Rs. 15,00,000
(Minus) Tax Saving Investments/Spends Section 80TTA 10000
Net Taxable Income 14,90,000
Tax on Net Taxable Income:
30\% of Rs. 490,000 (14,90,000 – 10,00,000) Rs. 147,000

How can high income earners reduce tax in India?

Recommended ways of saving taxes under Sec 80C,80D and 80EE

  1. Make an investment of Rs 1.5 lakh under Sec 80C to reduce your taxable income.
  2. Buy Medical Insurance, maximum deduction allowed is Rs.
  3. Claim deduction up to Rs 50,000 on Home Loan Interest under Section 80EE.

Where should I invest my money to get highest returns in India?

Now, let us take a quick understanding of each of the best investment options with high returns in India 2021 one by one:

  • Unit Linked Insurance Plan (ULIP)
  • Public Provident Fund (PPF)
  • Mutual Fund.
  • Bank Fixed Deposits.
  • National Pension Scheme (NPS)
  • Senior Citizen Savings Scheme.
  • Direct Equity.
  • Real Estate Investment.
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Which investments are tax free in India?

Listed below are tax free investments that meet a variety of needs and financial goals:

  • Life Insurance. Rs. 1,50,000 (Rs 1.5 lakhs)
  • PPF (Public Provident Fund) Rs. 1,50,000 (Rs 1.5 lakhs)
  • NPS (New Pension Scheme) Rs. 1,50,000 (Rs 1.5 lakhs)
  • Pension. Rs. 1,50,000 (Rs 1.5 lakhs)
  • Life Insurance. Rs. 1,50,000 (Rs 1.5 lakhs)

How can I avoid paying income tax in India?

Save Income Tax on Salary

  1. Deductions under Section 80C, Section 80CCC and Section 80CCD. Citizens of India can save tax under these 3 sections.
  2. Medical Expenses.
  3. Home Loan.
  4. Education Loan.
  5. Shares and Mutual Funds.
  6. Long Term Capital Gains.
  7. Sale of Equity Shares.
  8. Donations.

How much interest on FD is taxable?

The bank estimates your interest income for the year from all the FDs you have with the bank. There would be a 10\% TDS deduction if your interest income exceeds Rs 40,000 (Rs 50,000 in the case of senior citizens). Prior to Budget 2019, the limit of TDS on interest income was Rs. 10,000.

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