Tax Saving Options for Financial Year 2023-24: Invest Before March 31 to Save Income Tax

With the financial year coming to a close on March 31, taxpayers are urged to make their investments to save on income tax for the year 2023-24. The Reserve Bank of India (RBI) has instructed all agency banks dealing with government business to keep their branches open on March 31, which falls on a Sunday, to facilitate transactions.

Some of the tax-saving options available for taxpayers include investing in life insurance premiums, National Saving Certificates (NSC), Public Provident Fund (PPF), Post office time deposits, Unit Linked Insurance Plans (ULIPs), Equity Linked Saving Schemes (ELSS), and principal payments for home loans. These investments are eligible for deductions under section 80C of the Income Tax Act.

It is important to note that these tax deductions are only applicable under the old tax regime. Taxpayers opting for the new tax regime will have to forego these deductions in exchange for lower tax rates.

As the deadline approaches, taxpayers are advised to make their investments before March 31 to avail of these tax-saving benefits. Don’t miss out on the opportunity to save on income tax for the financial year 2023-24.