What Are The Reasons To Choose ELSS?

What Are The Reasons To Choose ELSS?

Before going to invest in a plan all the investors have more doubts. It is important to choose the right investment plan if you fail then you alone loss a lot of money. No matter the tax amount chooses best elss funds 2019 that help you to save tax.

How helpful is ELSS?

If you choose ELSS investment then you can invest up to Rs. 1.5 lakh per annum that is qualified for income deduction according to section 80C of the Income Tax act. That means that you all set to deduct the amount you invest in an ELSS from your total income to reduce your taxable income and that is what your taxes.

What are the reasons to choose ELSS?

Here come the benefits you want to understand about ELSS,

Tax benefits:

The notable reasons to choose ELSS is to save tax. You know if you invest in this plan then a tax deduction is confirmed and that is under 80C section of the income tax act of 1961. By means of dividend or else through long term capital the gain will be exempted from income tax. You know the returns are tax-free.

Lock-in period:

The lock-in period for this particular tax investment plan is of 3 years. None of the tax investment plans is available with this much lock-in period but ELSS will allow your money to get lock for 3 years period of time. If you have long-term investment means then you no need to go for some other investments.

At the same time, you never spend that money on some other thing other than that you will always go with it. It is all because the long-term investment will make you gain a lot of money.

Increase money:

This investment plan is provided with 3 years of lock-in period but ELSS will let the investors continue the growth of the fund. Even more than 3 years as well you can invest. At the same time, this fund will invest your money in equity thus there is no chance for risk. Your return will come with tax exemption for sure.

How to invest in ELSS?

Actually investing ELSS is an effortless thing why because all the procedures can be done in the step by step manner. Either you can choose the money by means of systematic investment plan (SIP) or as a lumpsum. Once after you invest in this fund you will be allowed to continue even after 3 years of lock-in period.

The most important thing you want to do is choosing best elss funds 2019 from a loyal Mutual company. A lot number of mutual investment companies are present in the market you want to choose the best from the list. Make sure that the company is available with features and then confirm that will offer ELSS fund. Only you choose the right company alone you will receive all sorts of benefits. But choosing this tax investment plan will take you to a great future.

Leave a Reply

Your email address will not be published. Required fields are marked *