Tax Saving - Investment under Section 80C for FY23-24

Investing in Equity Linked Saving Schemes (ELSS) mutual funds under the old tax system, as per section 80C, can reduce your taxable income. Investments of up to Rs. 1.5 lakh can be made to lower your tax liability for this financial year. It is necessary to invest in ELSS mutual funds before March 31st. Since the 29th, 30th, and 31st are holidays, please note that you can invest in the ELSS fund until 2 PM on the 28th.

For those looking to withdraw money from one scheme in their portfolio to invest in an ELSS scheme, you should place your withdrawal orders by Thursday, March 21st. This is because it will take 2 working days for the money to be credited to your account after withdrawal. With the 23rd, 24th, and 25th being holidays, the funds withdrawn by 2 PM on the 21st will be credited to your account on the 26th. Afterwards, you can invest these funds in ELSS. If you use Auto Debit, the investment process may take an additional 1-2 days. Please be mindful of this timeline.

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