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| Posted: 28 Jul 2016 08:19 AM PDT Buy Gold Bonds Online SHINING BRIGHT If you plan to invest for the long term, the Sovereign Gold Bond Scheme may be your best option After a long slump, gold has witnessed an almost 15% rise to `28,595 per 10 gram over the past six months.This may have eased the buying pressure for now, but is a price-rise likely in the near future, creating another buying opportunity? Internationally , gold prices may fall given the likely increase in interest rates by the US Federal Reserve. In India, however, the prices may rise somewhat if the fundamentals remain intact and the rupee stabilises. Given Indians' long-standing love for the yellow metal, are they planning to buy? If yes, will they stick to their favourite form, physical gold, or move to gold bonds, the new option in the market that was launched November last? The prices may not be as bearish as they were in November to create a buying dip, but gold bonds could be the best option by sheer virtue of the interest (2.75%) you would earn in addition to capital appreciation. An online survey conducted among 934 respondents last week reveals that 48% people are indeed planning to buy gold, but they are not so enthused about picking it up in the form of bonds (only 20%).This despite the fact that nearly 71% of financial planners consider it the best option. With the fourth tranche of the Sovereign Gold Bond scheme to launch after the start of the gold bond trading on the exchange on May 29, we reprise the scheme, list its pros and cons, and tell you whether you should opt for it or not. HOW DO BONDS COMPARE WITH OTHER OPTIONS?
First, they offer interest income over and above capital appreciation, which is not available with the other options.
Second, there are no charges incurred as against the locker, insurance premium or making charges you would pay for jewellery , or the expense ratio for ETFs. Third, there are no concerns over security or purity since the bonds are held in the demat form and the price is based on gold with 0.999 purity . Besides, bonds are not subject to capital gains tax if held till redemption, with only the interest portion taxable as of now. On the other hand, both gold ETFs and physical gold are subject to capital gains tax. On the flip side, liquidity is an issue. It's a major concern as the exit option is available only after five years, unless you sell the bond on the exchange for which the market is not very active at the mo ment. WHAT SHOULD YOU DO?
Besides income, bonds offer peace of mind. Remember, however, that you may remain locked in for five years. And of course, you c a n' t we a r bonds.   ----------------------------------------------- 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 2016Best 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 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 ----------------------------------------------- | ||
| Posted: 28 Jul 2016 01:35 AM PDT There are many tax filing websites and apps through which you can file returns. Here is how you can use them Evolution of online platforms for income tax related work has made life easier for tax payers, and their numbers have increased every year substantially. According to data available on the income-tax department's e-filing website, http://incometaxindiaefiling.gov.in/, as on 30 June, there were about 53 million registered users. A few years back, as on 31 March 2012, this number was close to 20 million. These registered tax payers can e-file any type of return on the government website for free. However, those who find it difficult to understand the tax jargon, or have multiple sources of income, may prefer taking help of experts to file their returns. Traditionally, chartered accountants have been the most sought after by tax payers who were looking for assistance to file their tax returns. But, with increasing penetration of the Internet, lack of time and for convenience, tax filing portals are becoming popular.
As of now, there are many tax filing websites through which you can file returns. There are many tax filing apps as well that you can download on your smartphone and use.
With only two weeks left to file your tax returns (last date is 31 July), here is how you can use online portals and apps to file your tax returns.
Tax filing portals
However, if you need assistance or want them to file your return, you may have to pay (see table). "Individuals with any type of income-be it Indian income or foreign income, from business or share trading-can easily file their returns with or without expert assistance.
Most of these websites have user-friendly software. You just need you to follow a few instructions and fill your return. In some cases, you just need to upload Form 16 (if it contains all your earnings' details) on the portal and the software does the rest for you. It picks the relevant details and fills the form on your behalf. With some portals, you need to send Form 16 along with basic information via email. They will do the needful and send you the filled income tax return (ITR) form for further processing.
Some portals also take into consideration common issues that most tax filers face while filing returns, such as claiming deduction benefit if not already utilised through the employer and, therefore, not mentioned in Form 16. One such issue is claiming house rent allowance (HRA) while filing returns. Our software lets taxpayers take the HRA benefit (if they could not submit rent receipts to their employer). They just have to answer a couple of questions online. Their HRA exemption is calculated and a majority succeed unassisted.
Banks have also tied up with portals to provide tax filing.
We look at it as customer convenience and accuracy. When you file ITR on the income-tax website, you have to manually key in your Form 16 details. Here you can just upload a PDF of the form.
Using a tax filing app
What do you get in a tax-filing app? The user interface is simpler, making it easier for individuals to navigate on the app. Most of the apps are restricted to ITR1. Almost 80% of the salaried individuals use ITR1. Hence, we are catering only to them as of now.
Some allow you to file ITR2 and ITR2A. For instance, tax filing portal, Hello Tax's app is only for those who have to file ITR1. However, on its website, you can file ITR2 also. Similarly, ClearTax allows you to file all kinds of ITRs on its website. But on its app, you can file only ITR1, ITR2 and ITR2A.
Most of the tax filing done through an app is free of cost. However, some charge a nominal fee. And if you take assistance in filing the tax return, the cost can range from Rs.400 to Rs.13,000, depending on the kind of service. Assisted tax filing means a chartered accountant will help you file your returns. Almost all online tax filing portals that also have apps offer these on Android phones. If you look at the smartphone users in India, majority of them have Android phones. Hence, it makes sense for us to launch it for these users.
Completing the process
Whether you use a portal or an app to file your tax returns, in either case, you have to complete the process by verifying the acknowledgment. You can do this online using a digital signature or through Aadhaar, Internet banking or ATM. The offline way is to take a print out of the acknowledgement (ITR-V), sign it and then send it to income tax department's centralised processing centre in Bengaluru. You can do so either by ordinary post or by speed post, within 120 days of transmitting the data electronically. The process is then complete. You should save a copy for your record.
Once the department receives the acknowledgement, they send you a mail confirming the receipt. But one must remember that after receiving ITR-V, the submitted return gets checked for any errors or missing information before it is sent for processing. Another intimation is sent by the tax department after checking for any calculation error, incorrect claim, excessive deduction, or wrong exemption in the return of income filed.
With only a few days left to file tax returns, make sure you have all the information needed to be able to do this.
If the income tax department's website seems difficult to use, there are many portals and apps also available. If you can file yourself, then go ahead; if not, then seek assistance. ----------------------------------------------- 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 2016Best 10 ELSS Mutual Funds in india for 2016
1. BNP Paribas Long Term Equity Fund 2. Axis Tax Saver Fund 3. Religare Tax Plan 4. DSP BlackRock Tax Saver Fund 5. Franklin India TaxShield 6. ICICI Prudential Long Term Equity Fund 7. IDFC Tax Advantage (ELSS) Fund 8. Birla Sun Life Tax Relief 96 9. Reliance Tax Saver (ELSS) Fund 10. Birla Sun Life Tax Plan
Invest in Best Performing 2016 Tax Saver Mutual Funds Online 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 ----------------------------------------------- | ||
| Posted: 28 Jul 2016 12:06 AM PDT Invest NCDs Online NCDs (Non Convertible Debentures) are debt instruments with a fixed tenure issued by companies to raise money for business purposes. Unlike convertible debentures, NCDs can't be converted into equity shares on a future date. 1. What are the advantages of NCDs over traditional debt instruments like fixed deposits? NCDs offer higher return as com pared to bank fixed deposits. For ex ample, the recently con cluded NCDs of Edelweiss Housing Finance gave returns of up to 10%, Mahindra Finance NCDs in May gave 9%. In comparison, fixed deposits from banks give 7.5-8%. If held in demat form, in terest income from NCDs is not subject to tax deducted at source (TDS). However, taxes are applicable to NCDs if they are held in physical form. As compared to this, if interest in come exceeds `10,000 in a financial year in a bank deposit, it is subject to TDS. Since NCDs are listed on the stock exchange there could be easy liquidity .
2. How to invest in an NCD? Investors can invest in NCDs ei ther during the public issue of fer by submitting a physical form with the details required.Alternatively , they can also apply online through their demat account. They can also look at buying NCDs from the secondary markets that are listed on the BSE or NSE.
3. What should you look at before buying an NCD? Investors need to look at the credit rating, coupon rate on of fer and the credibility of the promoter before investing. Credit rating is done by rating agencies such as Crisil, ICRA and Fitch. If the rating is AAA, it indicates highest quality in terms of timely repayment of principal and interest. Financial planners suggest AAA or AA rating. Lower the rating, higher would be the interest rate. Investors must also compare the interest rate offered by the NCD with other competing instruments such as fixed deposits. Generally , to attract investors NCDs offer 1-2% higher interest rates than bank deposits. There can be various options for interest payout such as monthly , quarterly , half yearly or annually , which investors can choose depending on their cash flows.For NCDs trading on the secondary market, investors need to calculate the yield to maturity , the residual tenure, understand if there is any put or call option before taking a decision. They could also look at the company's financial health, management reputation, past track record before investing.Investors also need to check whether the NCD is secured or unsecured.Wealth managers suggest secured NCDs over unsecured ones. ----------------------------------------------- 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 2016Best 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 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 ----------------------------------------------- |
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