The financial year 2024-25 is ending soon, and the new financial year 2025-26 will begin on April 1. If you’re planning to save on taxes, you still have some time left. There are various government schemes available for tax saving. However, if you plan to take advantage of any of these schemes, you must apply before March 31, 2025.

Save Lakhs in Taxes by Investing in These Schemes

You can apply for various tax-saving schemes and claim deductions by choosing the old tax regime.

Currently, you can invest in popular government schemes like PPF, NPS, SSY, ELSS, and SCSS. By investing in these schemes, you can save significant amounts of tax.

ELSS (Equity Linked Saving Scheme)

ELSS is an equity mutual fund that helps you build a good fund for the future while also saving on taxes.

  • Lock-in Period: 3 years
  • Tax Exemption: Up to ₹1.5 lakh under Income Tax Section 80C
  • Tax on Returns: No tax on returns up to ₹1 lakh

PPF (Public Provident Fund)

PPF offers an interest rate of up to 7.1%, making it one of the most popular schemes among investors.

  • Tax Exemption: Up to ₹1.5 lakh under Income Tax Section 80C
  • Lock-in Period: 15 years (funds cannot be withdrawn before this period)

SSY (Sukanya Samriddhi Yojana)

Sukanya Samriddhi Yojana is specifically designed for daughters.

  • Eligibility: You can open an account for a daughter below 10 years of age.
  • Interest Rate: Up to 8.2%
  • Tax Exemption: Save up to ₹1.5 lakh

NPS (National Pension System)

NPS is a retirement-focused scheme that offers attractive tax benefits.

  • Tax Exemption: Save ₹1.5 lakh under Section 80C
  • Additional Benefit: ₹50,000 exemption under Section 80CCD(1B)
  • Eligibility: Any Indian citizen between the ages of 18 and 65 can apply
  • Minimum Investment: ₹1,000