Tax Saving Investments are an import part of tax planning as they offer tax deduction under section 80C or 80CCC. The importance of these investments is so much and people frequently looking and investing in these. However, they hesitate to invest due to low returns and blockage of funds for 3 years or more. Below I have mentioned Best Tax Saving Investments u/s 80C to invest your funds and save on tax.
Best Tax-Saving Investments Under Section 80C
Although there are various tax-saving investment plans available in the market. People often get confused which plan best suits them. In order to make you choose the best investment plan for you depending on your risk appetite and preferences, we’ve come up with some of the best tax-saving investments u/s 80C of the Income Tax Act, 1961.
| Investment | Returns | Lock-in Period |
| ELSS Fund | 15%-18% | 3 years |
| National Pension Scheme (NPS) | 12%-14% | Till Retirement |
| Unit Linked Insurance Plan (ULIP) | Returns vary from plan to plan | 5 years |
| Public Provident Fund (PPF) | 7%-8% | 15 years |
| Sukanya Samriddhi Yojana | 8.5% | N/A |
| National Savings Certificate | 7%-8% | 5 years |
| Senior Citizen Saving Scheme | 8.7% | 5 years |
| Bank FDs | 6%-7% | 5 years |
| Insurance | Returns vary from plan to plan | 3 years |
Ulip Past Performance
Select CompanySelect Ulip Plan
| Fund Name | Type of Fund | 3 Years | 5 Years | 7 Years |
| Debt Fund | Moderate | 138 | 9.33 | 6.55 |
| Secure Fund | Low Risk | 38 | 3.27 | 3.65 |
| Blue Chip Equity Fund | High Risk | 163 | 17.7 | 15.63 |
| Stable Fund | Moderate | 23 | 13.8 | 11.97 |
| Accelerator Fund | High Risk | 187 | 19.79 | 17.07 |
| Opportunity Fund | High Risk | 154 | 25.26 | N.A. |
There may be some more investment options of 80C investments but above mentioned are the best and universally accepted options for saving Tax on your income.
