5 Replies to “which is the best way of income tax concession: mutual fund,deduction in voluntory PF,NSC or LIC Scheme ?”

  1. LIC is the best. Next NSC,then VPF and last is MF. In fact appropriate combination of all of them is the best. For LIC & MF,u can have online transaction & viewing facility also.
    MF is better investment for short term period.For tax saving we normally have lock in period of e.g. 3 years in case of SBI Tax gain scheme.

  2. All are with some merits & demerits. PF,NSC will give around 8 % pa return. LIC is not a good idea for tax saving investment however one should have enough life cover by way of pure life insurance. Mutual funds are risky, no guarantee of ‘returns on investment’ or ‘return of investment’.

  3. VPF is @ of PF and locked in till reirement.
    NSC is @ 8% and locked in for 6 years.
    ELSS give very good returns in the long term. Lock in – 3 years.
    Buy insurance cover as per requirement, not for tax concession. Only take advantage of the tax concession that comes along with insurance.
    Insurance is not for investment.

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