If we understand the tax saving investment well, we can take advantages from it. Here are some important tax free investment which will save you tax: Equity Mutual Fund Scheme – Mutual funds are of different types, but it is broadly divided into three type – debt, equity and hybrid. Among these the most popular categories mutual fund are equity mutual fund. The main objective of an equity mutual fund is to generate higher return. Typically, by investing anywhere, when your money is increased, the increased amount is earned as tax and tax is imposed on it. But this does not happen in the case of Tax Equity Mutual Fund. But you cannot withdraw money in three years. Public Provident Fund (PPF) – The Public Provident Fund (PPF), is the account which you can open in the bank or post office. You can deposit regular money in this account. The scheme is for 15 years from the date of opening the account. It is necessary to deposit at least 500 rupees every year. Tax exemption under section 80C is exempted. It is the safest method to save money though it meets only inflation. National Pension System (NPS):- The NPS is a pension scheme that has been started by the Indian Government. The amount deposited in National Pension Scheme up to Rs 1.5 lakh annually is eligible for tax deduction under Section 80C. Tax Saving FD (Fixed Deposit) – Banks make five years' tax-saving FD available to their customers. Your amount deposited in it is exempted under Section 80C . Keep in mind that the exemption is available only on the basic amount, not the interest it receives. Sukanya Samriddhi Account – Tax deduction under section 80C is also benefited on the account opened under the Sukanya Samriddhi Yojana introduced by the Central Government. This one fetches interest of 8.5 percent compounded yearly. You can open the Sukanya Samriddhi Account for the names of two daughters till they are 10 years old. Rs. 1,000 need to be deposited annually and maximum of 1.5 lakhs can be deposited annually. National Saving Certificate (NSC) – NSC is also a post office saving scheme. In this you can buy certificates for Rs. 100 to 10,000 for five years. You can get a tax exemption under Section 80C on the deposit amount. Keep in mind, the interest paid by the NSC does not get tax exemption, which is 7.6 percent per annum. <img src="&#10;&#10;&#10; &#10;&#10; &#10; &#10;&#10; &#10; &#10;&#10; &#10; &#10;&#10; &#10; &#10;&#10; &#10; &#10;&#10; &#10; &#10;&#10; &#10;https://www.letsdiskuss.com/assets/upl_files/8d0ee47e89.jpg" style="width: 580.5px; height: 197.009px;">

What are the tax-saving investments for this financial year?