Direct tax code impact on ELSS

[nikrod]

My question is if tax saving funds are not included under 80 c(as per dtc?) what is the best alternate to save tax ...
If one falls in 10 % slab we may pay the tax and use that 90 % of money to invest in equity diversified fund rather than puttting the money in ppf and wait for 20 years- it may be more beneficial than investing in ppf or other debt instruments [ just i am telling out of irritation]. But if we fall under 20 or 30 % slab no other go we have to buy some idiotic stuff or go for home loan if not obtained already

One option is to invest in NPS. We can have upto 50% exposure to equity (index) in NPS. Though long lock-in period is a concern.

 

[drsambu123]

One option is to invest in NPS. We can have upto 50% exposure to equity (index) in NPS. Though long lock-in period is a concern.

Thanks. You mean new pension scheme..I read about it . its nice... If they exempt capital gain tax at the end( as revised in DTC as EEE) it will be a good long term investment.

 

[magnet]

Thanks. You mean new pension scheme..I read about it . its nice... If they exempt capital gain tax at the end( as revised in DTC as EEE) it will be a good long term investment.

Ya NPS,PF and ppf will be under EEE

But problem with NPS is they dont offer commisions to banks or its like chavanis to bank...hence they neither promote nor help..Heard even banks like SBI suggesting people not to invest or say no idea stuff so they can trick them to other options which offer bank commissions...

 

[ram3738]

My question is if tax saving funds are not included under 80 c(as per dtc?) what is the best alternate to save tax ...
If one falls in 10 % slab we may pay the tax and use that 90 % of money to invest in equity diversified fund rather than puttting the money in ppf and wait for 20 years- it may be more beneficial than investing in ppf or other debt instruments [ just i am telling out of irritation]. But if we fall under 20 or 30 % slab no other go we have to buy some idiotic stuff or go for home loan if not obtained already

If there is no tax benefit, then what is the point in putting money into ELSS for three year. Will all fund houses close their shop of ELSS after DTC ?

 

[ram3738]

This DTC is bull ****
> 90% population have annual income less than 3 lacs (Aam Admi- UPA ,MMS concept). And DTC has no benefit for them rather they are withdrawing ELSS,FD like products. For example a person who has income of 2.5 lacs would put 1 lac in ELSS and can roll over after three year.
But UPA govt wants aam admi to become begger

 

[drsambu123]

This DTC is bull ****
> 90% population have annual income less than 3 lacs (Aam Admi- UPA ,MMS concept). And DTC has no benefit for them rather they are withdrawing ELSS,FD like products. For example a person who has income of 2.5 lacs would put 1 lac in ELSS and can roll over after three year.
But UPA govt wants aam admi to become begger

Though DTC is going to exclude(?) ELSS, the increase in tax slabs would help many . otherwise its dissppointing news for people who are investing in ELSS( and gettting good profit) and saving tax... We have to wait and see the final call of DTC

 

[ram3738]

Though DTC is going to exclude(?) ELSS, the increase in tax slabs would help many . otherwise its dissppointing news for people who are investing in ELSS( and gettting good profit) and saving tax... We have to wait and see the final call of DTC

Is there any possibilty that ELSS will be retained its tax benefit status?

Fund houses may do something.

ULIP,insurence policies, PPF are not really investment products. Because commision and charges will eat major portion and rest will be eaten by inflation (thanks to govt for controlling inflation). The out put will be negative or minimally possitive. What should common man do?

 

[drsambu123]

Is there any possibilty that ELSS will be retained its tax benefit status?

Fund houses may do something.

ULIP,insurence policies, PPF are not really investment products. Because commision and charges will eat major portion and rest will be eaten by inflation (thanks to govt for controlling inflation). The out put will be negative or minimally possitive. What should common man do?

We have to wait with fingers crossed...
We hope ELSS will be retained as tax saving option
Lets see

 

[nikrod]

We have to wait with fingers crossed...
We hope ELSS will be retained as tax saving option
Lets see

Same here. All fingers crossed. If government removes ELSS from the list and allows 3 lakh exemption in only debt instruments (PPF etc.), I would prefer to pay tax and invest in equity then save tax..

 

[drsambu123]

I think govt is planning to make huge corpus via debt based instruments from poor tax paying people for various purposes like bailout of PSUs, takling the fiscal deficits etc... Even the recent verdict favouring IRDA over SEBI regarding regularisation of ULIPS shows the same intention...