The DO'S and DON'TS of Tax Planning
DO'S
- Be the early bird:
Planning taxes right from the beginning offers
several advantages like disciplined investing and rupee cost averaging.
- Think Long Term:
While choosing your tax saving tool, analyse to
decide which instrument can deliver high returns and more benefits in the long
run.
- Look beyond 80C:
Investments can help you save tax. However, you can
reduce your taxable income otherwise too. For example, you can claim a
deduction for your child's tution fees.
- Spread your Investments:
Use 12 months in a year for your tax planning and
not just one. This will allow you to ease any last-minute burden on your
finances.
- Keep your Tax related documents in order:
Investments are good for saving tax. However, for
claiming deductions, you need investments proof.
DON'TS
- Follow the herd:
There is no one-size-fits-all for tax planning.
Formulate your plan after considering your financial state, goals, risk
appetite and so on.
- Think that Tax planning is difficult:
Beware of this myth. Tax planning is simple. All
you need is a careful analysis of your financial situation and enough time to
devise a suitable plan.
- Ignore your Goals:
Keep your financial goals in mind while Tax
planning. For, you may need much more than just saved Taxes.
And remember if you need any more in-depth advice about your options, we are always happy to help. We have experts who are dedicated to helping you achieve your goals, just call +91-7021741077 or email investments.mota@gmail.com.
+91-7021741077
