2006-11-10 22:41:11 · 3 answers · asked by dipika7777 1 in Business & Finance ➔ Taxes ➔ India
Over age 60 years, I think you need a mediclaim even if the premium is high.
If saving is concerned, I think you can easily save on tax by investing in Fixed deposit for five years and showing the interest on accrual . That way you will save on tax because when you will become Senior Citizen , you will get higher exemption.
2006-11-11 02:26:53 · answer #1 · answered by q4tax 3 · 0⤊ 0⤋
The one and only safe tax saving instrument in India is NSC that gives you about 8% return. PPF is too long a duration for elders. Bonds are no more attractive in the new system. However, if one is willing to take a bit of risk, then some money can be put in the tax savings mutual fund. They also have a 3 yesr lock in period. If you choose good funds, then return will be more. But you should understand the risk involved.
2006-11-11 07:08:35 · answer #2 · answered by rups 3 · 1⤊ 0⤋
Above sixty, you are supposed to retire and any income as pension is exempted from tax.
2006-11-15 05:55:27 · answer #3 · answered by Saravanan S 1 · 0⤊ 0⤋