While a salaried individual does need to pay their taxes, however, the government also provides benefits in the form of tax deductions on certain investment mechanisms that can be claimed to save on your taxes.
Every year, among the obligations a citizen needs to fulfil would be also paying income taxes. The income tax rates vary from individual and depending upon their incomes and profits earned from other sources. Also, tax rates are different for individuals, senior citizens, and corporates. Income tax returns (ITR) are one of the most required filings by taxpayers. While a salaried individual does need to pay their taxes and ITR filing on their scheduled period, however, the government also provides benefits in the form of tax deductions on certain investment mechanisms that can be claimed to save on your taxes.
As 2023 has kicked started, the earlier you begin your tax planning the more you can save on your taxes.
Abhishek Soni, co-founder & CEO of Tax2win, a Fisdom company said, as per the saying, “To be early is to be on time”. 2023 is approaching and the best financial resolution this year will be to start early in tax planning to save the maximum on taxes.
However, it can be confusing when deciding which mediums to take for saving on income taxes. There are ample queries that a taxpayer can face such as how much taxes one can save, what is the lock-in period, how many tax deductions are available in income tax sections, especially section 80, or when is the right time to take action for ensuring to save on your taxes? And the list of questions goes on!
Tax2win CEO said, the answer to these queries is the Tax-saving schemes or plans that help taxpayers to save tax when filing their ITRs. It ultimately helps them in reducing their financial stress by reducing their tax burden via investing in any of such financial schemes.
Soni further added the most popular tax-saving options available are under Section 80C of the Income Tax Act which can help you claim a tax deduction of up to 150,000 Rupees in a financial year.
Here are a few recommendations under Section 80 C for 2023:
Source: https://www.livemint.com/money/personal-finance/how-to-save-on-your-taxes-in-2023-a-cheat-sheet-11672561192433.html
© 2018 CA Chandan Agarwal. All rights reserved.