Investors are well aware of instruments like PF, LIC, PPF, ULIPS, ELSS or Equity Linked Savings Schemes, as they offer rebate U/S 80CC of the IT Act. Amongst all these instruments ELSS stands out as a smart and efficient way of saving tax and creating wealth. It is worth noting that none of the other tax saving instruments have ever delivered double-digit returns. Whereas, historically ELSS has given returns in high double digits.
Equity Linked Saving Schemes (ELSS) is Similar to any diversified equity mutual fund that invests in equity markets. In nutshell, ELSS is a closed ended mutual fund that offers tax benefits plus capital appreciation. ELSS schemes are generally locked in for a period of 3 years from the date of investment.
|Scheme (Returns as on May 18, 2018)||Axis Long Term Equity Fund (G)||IDFC Tax Advantage (ELSS) Fund - (G)||ABSL Tax Relief 96 (G)|
Tax Savings with Equity Linked Savings Schemes (ELSS)- MutualFundWala