What are the best options for tax saving for a 15+ lakhs CTC?

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Ask for a lower CTC.

funnylike

Take a home loan😀

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80C : Elss, PPF, Insurance. Max Limit is 1.5L deduction.
Addition 50K(over 1.5L) deduction for NPS.
HRA deduction with landlords PAN.

helpfullike

Try to utilise the limit in section 80C. The EPF amount is already included in it. The remainder could be used, buy some life insurance or invest in some endowment funds (LIC for eg.). You also have several types of mutual funds for tax savings that can be utilised.
If you’re paying home rent, etc there is another section 10 for HRA alone, that can be leveraged too.

If you also donate money to organisations, section 80G is something you can put your receipt in.


Please note that all of this comes only under the old regime of taxation.

likehelpful

A lot of ppl over see NPS Tier 1 inventment. They give you 50k additional deduction on taxable amount.

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Read maybe? I don’t think it’s the 50k/year a big chunk. It’s that when you’re 60 you’re not allowed to take money out of it as you wish. It’s your funds and investments but the scheme prevents you to use it as you wish. How much tax you’re saving on it? 15k based you’re in a 30% bracket. You could make more than that having a fund manager/investment consultant in the long run.

Donate may be! 😜

Came to know of this recently: dependant parents medical expense upto 25k or 40k in case of senior citizens (above 60). And their health insurance.

Your own health insurance upto 25k, I think.

I could be wrong on the amount but these items have tax exempt.

Then you have retirement funds, which I think are not so good. Like consult a fund manager and make your own portfolio, at least you have access to your money. Nps doesn’t allow using your own invested money till you retire and even post retirement only upto 40% or some percent can be withdrawn.

A lot of folks miss it, all diagnostic tests that you do are covered upto 5k. Basically you have to spend to get tax saving.. but in general we do these tests so that's fine.

LTA is another good instrument. However, with 2020/21 situation.. it is difficult

80c nps housing loan 80g,80d are some provision will help you nearly half of yourctc

I hope your 80C is covered. Take some loan for Housing Repairs- You can use the money well and get tax benefit in addition. I took a good 5lk and it worked pretty well this year with all the additional bonuses coming in.

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