Often considered as an exercise to be done in the month of Jan-Feb-March every year, Tax Planning is actually far more than that.
It is not about buying that last minute insurance policy or investing in some ELSS scheme to save on 80 C. It is also not something which can be delegated to your father for investing in a PPF account.
Govt incentivizes us, thorugh this meaningful vehicle, to invest towards some of our serious needs. Lets look at some:
- – Invest for your retirement (PF and NPS contribution)
- – Protect your family from an unfortunate event (Life Insurance Premiums)
- – Buying a home (Principal Repayment, Interest charges)
- – Protection against Medical emergencies (Medical Premium)
- – Education for self and children (Interest charges, Education Fees)
- – Long Term Investment (ELSS, Tax Saving Bonds)
