Prajna Capital

HDFC PRUDENCE ONLINE
Franklin Tax Shield Fund Online
Your Kids can Reduce your Income Tax

Posted: 17 Jul 2016 03:12 AM PDT

This balanced fund has a stellar long term track record, but has seen perfomance falter in recent years. In the hands of a highly experienced and capable fund manager, the fund takes a more aggressive approach compared to peers.

The risk component in this fund is very high--standard deviation much higher on a relative basis. In the equity portion, the fund manager has placed heavy bets on banking stocks and has also invested in companies with lower market cap compared to peers. He is equally aggressive in the debt component of the fund, with high allocation to longer maturity government paper which is highly sensitive to interest rate changes. Given the elevated risk profile, the fund may not suit conservative investors.

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Invest Rs 1,50,000 and Save Tax under Section 80C. Get Great Returns by Investing in Best Performing ELSS Mutual Funds
Top 10 Tax Saver Mutual Funds to invest in India for 2016
Best 10 ELSS Mutual Funds in india for 2016

1. BNP Paribas Long Term Equity Fund
2. Axis Tax Saver Fund
3. Franklin India TaxShield
4. ICICI Prudential Long Term Equity Fund
5. IDFC Tax Advantage (ELSS) Fund
6. Birla Sun Life Tax Relief 96
7. DSP BlackRock Tax Saver Fund
8. Reliance Tax Saver (ELSS) Fund
9. Religare Tax Plan
10. Birla Sun Life Tax Plan

Invest in Best Performing 2016 Tax Saver Mutual Funds Online
Invest Online
Download Application Forms
For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call
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Leave your comment with mail ID and we will answer them
OR
You can write to us at
PrajnaCapital [at] Gmail [dot] Com
OR
Leave a missed Call on 94 8300 8300

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Franklin Tax Shield Fund Online

Posted: 16 Jul 2016 10:04 AM PDT

Invest in Franklin Tax Shield Fund Online

As the due date (March 31) for declaration of investments approaches, risk-averse retail investors can consider Franklin Templeton Tax Shield Scheme, among the ELSS schemes.

Having a performance record of over 16 years, the scheme has consistently beaten its peers and benchmark index, thanks to its robust stock-picking process. Its fund manager Anand Radhakrishnan's strategy of picking stocks has been consistent even if his selection doesn't match the market preference. He chooses companies which have high earnings potential, established business models and more importantly high corporate governance.

In the three-and five-year periods, when the scheme delivered returns in the range of 15-20%, its peers gave returns in the range of 13-18%.Also, it has been far ahead of its benchmark index Nifty 500 in the past three and five years.

Investors should take note of one crucial fact.Due to the scheme's relentless pursuit for quality growth stocks, it may have stocks which seem expensive. Here the rational is to pay for incremental growth of companies.Prominent among the new entrants in the scheme is State Bank of India.

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Invest Rs 1,50,000 and Save Tax under Section 80C. Get Great Returns by Investing in Best Performing ELSS Mutual Funds
Top 10 Tax Saving Mutual Funds to invest in India for 2016
Best 10 ELSS Mutual Funds in india for 2016

1. BNP Paribas Long Term Equity Fund
2. Axis Tax Saver Fund
3. Franklin India TaxShield
4. ICICI Prudential Long Term Equity Fund
5. IDFC Tax Advantage (ELSS) Fund
6. Birla Sun Life Tax Relief 96
7. DSP BlackRock Tax Saver Fund
8. Reliance Tax Saver (ELSS) Fund
9. Religare Tax Plan
10. Birla Sun Life Tax Plan

Invest in Best Performing 2016 Tax Saver Mutual Funds Online
Invest Online
Download Application Forms
For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call
---------------------------------------------
Leave your comment with mail ID and we will answer them
OR
You can write to us at
PrajnaCapital [at] Gmail [dot] Com
OR
Leave a missed Call on 94 8300 8300

-----------------------------------------------

Your Kids can Reduce your Income Tax

Posted: 16 Jul 2016 08:50 AM PDT

INVEST IN THE NAME OF MINOR CHILD

If you invest in your minor child's name, the income earned will be clubbed with your income and taxed under the clubbing provision. However, you could avail of a small exemption of `1,500 per child, per year for a maximum of two children. This means, you can invest `15,000 in a fixed deposit in your child's name, and for two kids, this amount can be `30,000 earning tax-free income every year.

INVEST IN THE NAME OF AN ADULT CHILD

After your child turns 18, he is treated as a separate individual as far as taxation is concerned. This means that if you gift him money and it is invested, the income will be considered his earning and will be subject to the same exemptions and deductions as any other adult taxpayer. It will not be clubbed with the parent's income.This means that if his income falls below the basic exemption limit, you could earn tax-free income on invest ments. An income of up to `2.5 lakh a year will be tax-free.

RAISE YOUR INVESTMENT LIMIT IN THE PPF

If you have exhausted your Section 80C exemption limit through other investments, you could separately invest up to `1.5 lakh a year in your child's PPF account. However, under clubbing provisions, the interest income will be clubbed with that of the parent and taxed.

TAX BENEFITS FOR MEDICAL TREATMENT OR FOR HANDICAPPED CHILD

Under Section 80DDB, you can claim tax benefit for medical expenses incurred for your child. The amount is `40,000 or the amount actually paid, whichever is lesser.This is only for specified illnesses or ailments. Also, under Section 80DDA, you could claim deduction for medical expenses incurred for a disabled child between `75,000 and `1.25 lakh, depending on the level of disability.