Best tax free investment options
What is tax free investment? Tax free investment means such investment on which the return or interest is completely free from income tax. That is, whatever money you get from this investment, you will not have to pay any kind of tax on it. Best Tax Free Investment Options 1. Public Provident Fund (PPF) What is PPF? PPF is a long-term savings scheme run by the Government of India, which is one of the most popular options for saving tax and giving tax free returns. Features of PPF: • Tax exemption on investment under 80C • Interest received and maturity amount are completely tax free • Interest rate is around 7.1% (decided by the government every quarter) • Lock-in for 15 years , followed by extensions of 5 years each • Very safe investment as it is a government-backed scheme 2. Sukanya Samriddhi Yojana (SSY) What is SSY? If your daughter is younger than 10 years, then this scheme is best for giving tax free returns . This scheme has been started for the bright future of daughters...