Use tax-saving investments
There are various tax-saving investments under Section 80C of the Income Tax Act. Investing in these funds can get you tax exemption up to Rs 1.5 lakh. Some of the funds are:• Public Provident Fund (PPF)• Life insurance• Equity-linked savings scheme (ELSS)• Fixed deposits• National Savings Certificate (NSC)Also, you get an...
Understand your gross annual income
The first step includes understanding your total income from all sources. If you are employed, it would be your annual salary. If you are an entrepreneur, your business or professional income would be the major source of your income. Also include other sources like income from house property, capital gains, income from other...