Ahead start works wonders in most areas of your life and tax planning is no exception. Last minute tax planning is often a compromise and does little to further your financial goals. Instead, advancing this activity by a few months with some careful planning and execution can save tax and help achieve your financial objectives.
When is the right time to start tax planning?
Tax planning in India is often seen as a last minute maneuver to squeeze some additional money by saving tax.The best time to start tax planning is at the start of the financial year which is April. Advantages of tax planning are manifold with an early start. You not only save tax, but you opt for the tax-saving options that are best suited to your needs and goals. Not surprisingly, you end up reaping serious benefits of tax planning.
How to go about tax planning
If you want to maximize the advantages of tax planning you must get a good handle on Section 80C. This is the most relevant section for salaried individuals as well as self employed individuals. The various investments and expenses associated with it can go a long way in making the most of the benefits of tax planning.
Here are some simple steps to make tax planning work for you.
- Tax Saving Investments
- How to Save Tax With Insurance
- Income Tax Slabs & Deductions
- Tax System In India