How to save tax on my salary?



Hi,
I recently joined a new company.here my annual salary is 1.8 lakh and i also receive about 5000 as allowance monthly..please giveme some info on how to save tax as well as how toinvest wisely..thanks for the help..

How to save tax on my salary?
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6 Replies to “How to save tax on my salary?”


  1. Start saving at least 10 % of your monthly salary or income in a reccurring deposit and at the end of the year that will answeer your Income tax matteers. Yours,
    vrvrao


  2. You are allowed a relief of Rupees One Lakh maximum per annum from your taxable income on account of investments. Invest in high yield Mutual Funds (in UTI or ICICI) and Life Insurances (SBI Life). In the latter, no tax is deducted at source.
    Your allowance adds to your total income. So compute your income accordingly. Consult an investment consultant for good savings schemes which also give tax benefits and high yields.



  3. Dear sir,

    there is provison in section 80C where you can invest up to Rs 100000/-.

    You should go for insurance coverage fisrt and should ensure that you are covered 5 time of your annual income.

    U can inest in PPF aslo. There is bank FD (FOR 80 C)

    YOu can invest in mutual funds ELSS scheme

    YOu can buy NSC

    for furtehr detail you can approch your consultant






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