Top 7 Tax Saving Investments under Section 80C

Abinaya Arangarajan Abinaya Arangarajan
Sep 27, 2021 6 min read
Top 7 Tax Saving Investments under Section 80C

Tyro professionals are incipient every year, so the tax is levied as much a burden or responsibility to them. However, those fledgling employees/professionals become seasoned ones, someday and may see an uplift or augment in their income in the coming years, thus this will increase the burden as well as responsibility to pay high on income tax.

As is the case, high incomes represent high tax levied on individual incomes and vice-versa. This will reflect a slow-down in the development of future plans of a person, when he/she is paying a high share of tax in the present. And, in such cases, when the taxpayer has paid a superfluous share or underpaying on the prescribed tax, is solicited to make sure to file a return.

That’s where the Government of India introduced various Tax-saving investments to progress financial stable career paths in the future.

Here are Top 7 Tax-saving investments you can invest in 2021:

Bajaj Life Insurance Capital Guarantee Solution
Bajaj Allianz Life Goal Assures
Canara HSBC OBC Life Insurance investment 4G
Edelweiss Tokio life Wealth secure plus
Max life Online Saving plan
HDFC Life Click2Wealth
ICICI Prudential life signature
FAQ

As said, the future is uncertain, we don’t know what will happen the very next moment? In some cases, only the invested or saved amount of an investment lends as a helping hand in the forlorn situations in the future, despite getting a low rate of return on such investment. Similarly, business is uncertain in various factors such as market price, trends, capital value or profit etc.

Bajaj Life Insurance Capital Guarantee Solution

Bajaj Allianz has come up with its new scheme on tax-saving in 2021- the Bajaj Life insurance Capital Guarantee solution that aids individuals to earn a 100% high rate of return on the investment amount which is piqued to 16.3% in the market as of now. Besides, the schemes provide zero risks and no commission is charged on the invested amount.

Eligibility: This policy/scheme is applicable to 18-65 years.

Policy term: 20 years

Benefits: Bajaj Life insurance Capital Guarantee solution bestows zero risk as well as commissions on the invested amount. The policyholder gets the benefit of partial withdrawals.

This tax-saving plan allows the policyholder for multiple withdrawals and no tax levied under section 10 (10D). Therefore, inbuilt life covers a maximum of 12 lakhs throughout the policy term.

Bajaj Allianz Life Goal Assures

Health is wealth, as we see the reality of the ongoing pandemic really made many individuals enroll on the tax-saving scheme- Bajaj Allianz Life Goal assures. Moreover, we have loads of obligations to fulfil, from education to living under a safe roof and for all that we need a sturdy amount of money to acquire. Because of this, Bajaj Allianz Life Goal Assures provides financial support to individuals as well as his/her family throughout their lives in accomplishing their needs.

Eligibility: This policy/scheme is applicable to 18-60 years.

Policy term: 10-30 years

Benefits: Bajaj Allianz Life Goal Assures offers special loyalty additions on augmenting maturity value at the time of every 5 years of the policy term and mortality charges which have been deducted in the policy term, will be added to the return fund at the time of maturity.

The tax-saving scheme comes with zero commission as well as tolerating partial withdrawals. Apart from that, this scheme permits the policyholder for flexible transfer of different funds in order to maximise the return in various markets.


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Canara HSBC OBC Life Insurance investment 4G

This tax-saving scheme covers the demise of the policyholder or their beloved one in the family by supporting them financially. The sum assured is expected to be 105% of total premiums which will be received either at the time of maturity/death of the holder or take the fund amount in periodic instalments under the Settlement Options(SO).

Eligibility: This policy/scheme is applicable to 18-65 years.

Policy term: 10 - 30 Years

Benefits: Canara HSBC OBC Life Insurance investment 4G benefits in providing loyalty additions and wealth booster during the policy term. Besides, this scheme offers flexible transfer of invested funds, partial withdrawals, tax exemption, Settlement Options are available to the holders in case to receive benefits on the maturity and Premium redirection is available if the policyholder wants to modify the allocation of future premium into one ULIP fund or more.

Edelweiss Tokio life Wealth secure plus

This tax scheme comes with a combo of insurance plan and investment plan, which is built to protect the wealth of an individual in the present as well as for future generations. The scheme gives 15 lakhs in 30 years if a premium of 8% per annum is paid.

Eligibility: This policy/scheme is applicable to 1-55 years.

Policy term: 10-20 years

Benefits: the fund value will be received either at the time of maturity or death of the insured, not taxable, offers three additions- Loyalty addition at the 6th year of the policy term, Wealth booster addition and Maturity addition.

Max life Online Saving plan

Every individual chooses to join a savings insurance plan so that they and their family can get financial support in times of need. If you want to protect your dear ones the Max life online saving plan is what you are looking for.

Eligibility: This policy/scheme is applicable to 18-60 years.

Policy term: 5 years to the selected policy term for maturity.

Benefits: In Max life, an online saving plan, the total premium paid till the date of death is 105%. The insured can also renounce during the policy term, the person will be funded the sum minus the charge from when they discontinued. Till the last days, the insured will receive the fund value.


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The prospect of filing a tax return can be daunting, so it makes sense to seek help with tax planning and preparation. But what happens if you don’t solicit the right help? There are numerous dubious tax companies out there in the market who boast about how much they

HDFC Life Click2Wealth

HDFC Life Click2Wealth is the same as other insurance that not only supports you but also your family. They give us many alternatives in which we can choose the best that suits us. No policy loans are available. The insured person's family has benefited accordingly if the person dies. Grace periods are also available as per the plan.

Eligibility: This policy/scheme is applicable to 18-75 years.

Policy term: 10 to 40 years

Benefits: The policy has maturity and death benefits. The fund will be growing even after the policyholder dies as per the premium waiver option. The Premium modes contain many options from which you can choose the best instalments. 1% of the annual premium is added to the fund value. They have 10 fund options. After 5 years, the policyholder can withdraw the money.

ICICI Prudential life signature

A unit-linked insurance plan that supports you to achieve your goals and protects your family. In a systematic plan, Withdrawals in Regular intervals are allowed to support your dreams. Monthly, half-yearly and annual are the three premium paying modes.

Eligibility: This policy/scheme is applicable to 18-75 years.

Policy term: 10 to 30 years

Benefits: After the mature period, the policyholder can choose to withdraw the whole amount or choose a structured payout. The insured will receive the top fund value even if the policyholder dies with a minimum death benefit. The insured is exempt from tax for the premium amount as per section 80c and section 10D.

Conclusion:

Everyone wants to see their loved ones lead a happy and wealthy life, even if they are not present to witness or share the moments with them. Life is precarious, no one can guess what tomorrow will hold for us, so start planning, it's never too late to start. If you are in search of a path that can help you to lead a financially secure life, then we suggest you seek assistance from any of the above-mentioned insurance companies.

FAQ

How to save tax in 2021?

Life Insurance, ULIP's, Mutual Funds, Tax Saving Fixed Deposit, SCSS or Senior Citizens Savings Scheme and Provident Fund are some of the ways you can save tax.

What is Section 80c?

Section 80C is one of the most popular section that allows taxpayers to reduce their taxable income by investing in various schemes.

Is your savings account taxed?

Yes, any interest on your savings account is taxable income.

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