Saving Taxes with SIP

With markets going up and down on regular basis, investors are always hesitant in making their move. With Systematic Investment Plan (SIP) they have many benefits of putting their money in the more managed process that involves step by step investment, tackling markets volatility, cost rupee averaging, better returns and moreover one can also save taxes if they invest with ELSS.

SIP Funds have proven their success in the Indian market with huge returns in the last two decades and now Indian economy going parallel with the global trade things are surely going to improve from here on. Taxes are another one of the hurdles that one plan every year and with this SIP you can combine them together to put forward a suitable plan for growing your investment in positive directions.

Tax Benefits with SIP

ELSS Mutual Funds or Equity Linked Savings Scheme investments come with the direct tax exemptions under section 80C of the Income Tax Act. One can invest up to Rs 1.5 Lakh with these ELSS funds that can be claimed under the financial year under 80C. One of the added benefits is there are no taxes on ELSS funds if being held for more than 12 months so the lock-in period is just one year and you can use them to achieve long-term financial goals whereas NSC, and PPF in India have a minimum of 5 & 15 years lock period respectively. But still, to take their full benefits under 80C you have a lock-in period of three years in India. These ELSS Funds also offer dividend options to gain before the redemption which are completely tax-free.

ELSS with SIP has a combination of better investment with month by month rather than lump-sum amount. This whole scenario provides user money to tackle the market volatility, cost rupee averaging and makes a person disciplined in their saving as well. Most of the assets management houses with mutual fund scheme offer now SIP Mutual funds that one can easily choose to get their future secure easily. SIP with longer duration has given double-digit returns that further grow investment into better wealth creation for your future respectively. Child Education planning, marriage funds, family plans, retirement funds and personal loans can also be used as long-term objectives in these schemes.

Wealthcare Securities is one of the top wealth management firms in the Capital Delhi which has worked with thousands of clients in transforming their current wealth for future assurance. They have the top market experts who have more than 20 years experience in handling finances related to investment in stocks, funds and various schemes. All investment portfolios are available online 24x7 with specific credentials to check, monitor and track the performance of your money with just the availability of internet around the world. Contact us now for getting your doubts cleared and move forward in life with sophisticated planning in every aspect.