|Tax Saving schemes
Investors (individuals and Hindu Undivided Families (“HUFs”))
are being encouraged to invest in equity markets through Equity
Linked Savings Scheme (“ELSS”) by offering them a tax
rebate. Units purchased cannot be assigned / transferred/
pledged / redeemed / switched – out until completion of 3
years from the date of allotment of the respective Units.
The Scheme is subject to Securities & Exchange Board of
India (Mutual Funds) Regulations, 1996 and the notifications
issued by the Ministry of Finance (Department of Economic
Affairs), Government of India regarding ELSS.
Subject to such conditions and limitations, as prescribed
under Section 88 of the Income-tax Act, 1961, subscriptions to
the Units not exceeding Rs.10, 000 would be eligible to a
deduction, from income tax, of an amount equal to 20% of the
amount subscribed. HDFC Tax Plan 2000 is such a fund.