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tax free investment

09 June 2017

sir
i want to know which investment is tax fee in terms of its maturity.
ex : mutual funds investment is claim deduction u/s 80 c . but after of its maturity it's income become taxable .
so I want to know tax fee investment

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3 Replies

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (178226 Points)
Replied 09 June 2017

Mutual funds investment is claim deduction u/s 80 c i.e. ELSS., and is TAXFREE when matured . So whatever maturity proceeds you receive after 3 years lock in period is totally tax-exempt.

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Nilesh Patel (42 Points)
Replied 09 June 2017

it's treated as a long term capita gain.. and
what about LIC maturity.

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (178226 Points)
Replied 09 June 2017

LIC policies purchased earlier to 2002 were tax-exempt. But for new investment now, main criteria is:: it should be having section 10(10D) applicability for tax free redemption proceeds.