Tax Saving Investment Planner
Plan your investments across various sections to reach the maximum tax-saving potential of over ₹4.75 Lakhs.
Current Investments
Section 80C
Limit: ₹1,50,000
Section 80D
Limit: ₹75,000
Section 80CCD(1B)
Limit: ₹50,000
Section 24(b)
Limit: ₹2,00,000
Opportunity Found!
You can save an additional ₹1,42,500 in taxes by maximizing your investments.
Section-wise Utilization
Action Plan
Section 80C
Invest ₹1,50,000 more to save ₹45,000 in tax.
Section 80D
Invest ₹75,000 more to save ₹22,500 in tax.
Section 80CCD(1B)
Invest ₹50,000 more to save ₹15,000 in tax.
Section 24(b)
Invest ₹2,00,000 more to save ₹60,000 in tax.
Tax Planning Strategy
Effective tax planning is not just about saving tax; it's about aligning your tax-saving investments with your long-term financial goals.
Liquidity vs Returns
ELSS has a 3-year lock-in with high return potential, while PPF has a 15-year lock-in with guaranteed returns. Balance your portfolio based on your needs.
Protection First
Always prioritize Life and Health insurance. They provide financial security while giving you significant tax benefits under 80C and 80D.
The NPS Advantage
Section 80CCD(1B) offers an exclusive deduction of ₹50,000 for NPS contributions, which is over and above the ₹1.5 Lakh limit of Section 80C.
Tax Planning FAQs
Can I claim both 80C and 80D?
Yes, these are independent sections. You can claim up to ₹1.5 Lakh under 80C and up to ₹75,000 (or more depending on parents' age) under 80D.
Is home loan principal part of 80C?
Yes, the principal component of your home loan EMI is eligible for deduction under Section 80C, while the interest component is covered under Section 24(b).
What is the best time to start tax planning?
The best time is at the beginning of the financial year (April). This allows you to spread your investments and avoid a last-minute cash crunch in March.
Does the New Tax Regime allow these deductions?
No, most of these deductions (80C, 80D, 24b) are NOT available under the New Tax Regime. Only specific deductions like 80CCD(2) for employer's NPS contribution are allowed.