Can SIP be declared under 80C?

You can initiate an SIP into an ELSS, the most popular tax-saving investment under Section 80C of the Income Tax Act, 1961. Every SIP instalment into an SIP counts towards tax deductions under Section 80C. You can claim a tax rebate of up to Rs 1,50,000 and save up to Rs 46,800 a year in taxes.

Can SIP be shown for tax exemption?

SIP comes with a lot of tax-free benefits and has been gaining popularity among Indian mutual fund investors. It allows an investor to invest in a disciplined manner without worrying about market volatility and timing the market. You can claim a tax rebate of up to Rs 1,50,000 and save up to Rs 46,800 a year in SIP.

Is income from SIP taxable?

If a SIP of an equity fund is held for less than 12 months, there will be short-term capital gain taxable at 15\%. But if a SIP of a debt fund is held for 36 or more months, then there will be long-term capital gain taxable at 20\% after indexation of cost.

Do I have to declare sip on tax return?

If the long-term capital gains are less than Rs 1 lakh, then you don’t have to pay any tax. However, you make short-term capital gains on the units purchased through the SIPs from the second month onwards. These gains are taxed at a flat rate of 15\% irrespective of your income tax slab.

Is my mutual fund under 80C?

How ELSS saves tax? ELSS mutual funds are the only class of mutual funds that are covered under Section 80C of the Income Tax Act, 1961. By investing in an ELSS, you are entitled to claim a tax rebate of up to Rs 1,50,000 a year. This helps you save up to Rs 46,800 a year in taxes.

Do mutual funds have tax benefits?

Mutual fund tax benefits under Section 80C – Investments in Equity Linked Savings Schemes or ELSS mutual funds qualify for deduction from your taxable income under Section 80C of the Income Tax Act 1961. The maximum investment amount eligible for tax deduction under Section 80C, is Rs 1.5 lakhs.

Does mutual fund comes under 80C?

ELSS mutual funds are the only class of mutual funds that are covered under Section 80C of the Income Tax Act, 1961. By investing in an ELSS, you are entitled to claim a tax rebate of up to Rs 1,50,000 a year.

Does HRA come under 80C?

Is HRA part of 80C? No. HRA exemptions can be claimed under Section 10(13A) or Section 80GG.