Are You Paying More Tax Than You Should? Things You Are Missing Out
India is a country where people are worried/tensed when they are not earning, and even when they are earning. When they don’t earn, they are worried about a meal a day and when they are earning, they get tensed on their liability to pay tax; having said that, paying tax is not a bad thing to do. That’s more of our duty towards our nation.
It’s more like paying for a cause but why do we have to pay so much when we can actually cut it to a smaller amount or maybe no tax at all. Afraid of possible raids by the Income Tax Department, people try to maintain a clean sheet and end up paying more tax than they actually should. This tax paid by the people is very good for the government but a big hole in the pockets of the masses. It’s like giving your hard earned money to the government as a punishment of not saving it properly.
The tax paid, however, is used for making things easy for us as the government improves the infrastructure, education system and many other things which we don’t see as a direct benefit to us. And as we all know and agree, whatever that doesn’t benefit us directly or materialistically, is not a benefit for us. So, in order to get direct benefits, there are escape plans from paying tax. To put it across in a subtle way or financial terms, we have “Tax Savings” options. Tax saving is all about ensuring that you invest your hard earned money in different tax saving schemes and reap the fruits of not paying tax and getting tax free dividends too!
Listed below are a few tricks that can possibly help you save some money and pay lesser tax or no tax than what you do:
Investing in instruments like Home Loan Principal, PF, PPF, National Saving Certificate, Mutual Fund ELSS and insurance policies can help you save tax up to Rs 30000. These instruments are covered under Section 80C which allows you to invest a maximum of Rs. 5 Lakhs.
Section 24 allows you to save tax by showing the interest paid on Home Loans. In case you make any donations or charities, they help you save tax too. These are covered under Section 80G.
Savings can also be made by showing relevant medical bills for medical and tickets for Leave Travel Allowance.
Investing in Systematic Investment Plans (SIPs) is also a good option to avoid tax.
The other savings can be in form of rent receipts from landlords in case you live on rent,
Recurring and Fixed Deposits with post offices and banks.
Few Vastu tips from Saral Vastu experts that help you save and earn more:
Know your favorable direction for smart money making decisions.
Always consult authentic experts for more Vastu Information
Seating in your 1st good direction helps in growth in business / profession.
One should face his/her first favourable direction during business meetings.