There are several ways you can save tax in addition to using Section 80C of the Income Tax Act in India.
Some of these include:
How to save tax other than 80c
- Investment in tax-saving fixed deposits: You can invest in tax-saving fixed deposits (FDs) offered by banks and financial institutions. These FDs are eligible for tax deductions under Section 80C of the Income Tax Act.
- Contribution to the National Pension Scheme (NPS): Contributions to the National Pension Scheme (NPS) are eligible for tax deductions under Section 80CCD (1B) of the Income Tax Act.
- Investment in equity-linked savings schemes (ELSS): Equity-linked savings schemes (ELSS) are diversified equity mutual funds that have a lock-in period of three years. These are eligible for tax deductions under Section 80C of the Income Tax Act.
- Contribution to health insurance premium: You can claim tax deductions on the premium paid for a health insurance policy for yourself, your spouse, and your dependent children under Section 80D of the Income Tax Act.
- Donation to charitable organizations: Donations made to certain charitable organizations and institutions are eligible for tax deductions under Section 80G of the Income Tax Act.
It’s worth noting that the tax benefits and deductions available to you may depend on your individual circumstances and tax bracket. I recommend consulting a financial advisor or tax professional for personalized advice on tax-saving strategies that may be suitable for you.