SAVE Maximum TAX with Guaranteed Return Products
Investing in the right financial products can help you save maximum tax and earn guaranteed returns. Guaranteed return plans are one of the investment options that can help you achieve this goal. In India, several insurance companies offer guaranteed return plans and offer fixed interest rates that are guaranteed throughout the plan life. In this article, we will explore the Guaranteed Return Plan in detail and explain how it can help save you maximum tax.
What are guaranteed return plans?
Guaranteed return plans are investment plans offered by insurance companies that provide a guaranteed return. These plans are ideal for those who want to invest their money in safe investment options. Guaranteed return plans offer a fixed interest rate that is guaranteed for the life of the plan. These plans are available in a variety of options, such as single premium, regular premium, and limited premium.
Advantages of plans with guaranteed returns:
One of the main benefits of guaranteed return plans is that they offer a guaranteed return on investment. This means that you receive a fixed rate of interest on your investment regardless of market conditions. This is a significant advantage over other investment options, such as stocks and mutual funds, where the return is not guaranteed.
Guaranteed return plans also offer tax advantages to investors. Under Section 80C of the Income Tax Act, 1961investors can claim a tax deduction of up to 1.5 lakhs on the premium paid for the plan. This reduces the investor's taxable income and hence his tax liability.
Another advantage of guaranteed return plans is that they provide life insurance protection to the investor. In the event of the investor's unfortunate demise during the term of the plan, the authorized representative receives the insured sum together with the accumulated bonus, if any.
How to choose the right Guaranteed Return Plan?
Investors should consider their investment needs and objectives when choosing guaranteed returns plans.They should evaluate the characteristics and benefits of the plan,such as premium repayment terms, guaranteed sums, policy terms and benefits. Investors should also compare the insurance companies offered to them and choose the best value for money.
Conclusion:
Guaranteed return plans are an excellent investment option for those who want to save the maximum amount of tax while earning guaranteed returns. These plans provide fixed interest rates and guaranteed life insurance benefits, as well as life insurance and tax benefits. Investors should carefully consider their investment needs and objectives before investing in a guaranteed return plan provided by Indian insurance companies. By choosing the right guaranteed returns plan, investors can achieve their financial goals and reduce maximum taxes.
