1.PPF (Public Provident Fund):-
It is one of the traditional already highly preferred retirement planning investments. It is also a great long-term tax saving investment. And the maximum amount that is allowed as an investment in the scheme is Rs 1.5 lakh. Interest income on PPF and the amount received on majority are both tax free.
The Public Provident Fund (PPF) Scheme, It is a tax-free savings avenue that was introduced by the Ministry of Finance (MoF) in India in the year 1968. Interest earned on deposits in the PPF account is not taxable. And deposits made towards PPF accounts can be claimed as tax deductions..
2. FD (Fixed Deposits):-
Fixed deposit is another popular tax saving Investment. The interest rate is different from one bank or post office to another. Maximum exception allowed is Rs 1.5 lakh for a minimum duration of 5 years. And the interest earned and thet maturity amount is taxable.
Fixed deposits are a high-interest Term deposit and offered by banks in India. The most popular form of Term deposits are Fixed Deposits, while other forms of term Deposits are occur again Deposit.
3. EPF (Employee Provident Fund):-
This scheme helps save a maximum of Rs 1.5 lakh. In this fund, up to 12 % of an employee’s basic salary gets deducted and the other 12 % is contributed by the employer. The amount at majority is tax free.
The organization is organized into zones which are headed by an Additional Central Provident Fund Commissioner for each of the political states in the country.
4. Life Insurance:-
Life insurance is the most popular tax saving investment under Section 80C of the Income Tax Act. With a maximum deduction of Rs 1.5 lakh is allowed in a given financial year. And the amount received at maturity or in the case of death is tax free.
Separately from the tax saving benefits life insurance helps one plan for the unplanned events in his or her life.