Tax Saving Tips: Save money by completing these important tasks before 31 March

The financial year 2024-25 wraps up on March 31, 2025, and the new financial year 2025-26 kicks off on April 1, 2025. As this deadline approaches, it’s easy to overlook important tax-related tasks. Plus, you’re running out of time to save on taxes. Let’s explore how you can make the most of this last opportunity and what crucial tax tasks you need to tackle.

Last-Minute Tax Saving Tips

Health Insurance

Investing in health insurance not only provides you with medical coverage but also helps you save on taxes. It’s a win-win! Under section 80D, you can claim tax deductions of up to Rs 75,000 by purchasing health insurance. This applies to policies for yourself, your family, and your parents. By doing this, you could potentially save yourself a significant amount in medical expenses.

Save on Capital Gains Tax

To reduce your capital gains tax, consider putting your money into 54EC bonds. This investment allows you to save taxes up to Rs 50 lakh. You can choose to invest in 54EC bonds from either NHAI or REC, but make sure to do it before March 31, 2025.

Explore Tax-Saving Schemes

There are plenty of options available right now to help you save on taxes. By investing in post office schemes like NSC, FD, ELSS mutual funds, or PPF, you could save a significant amount—up to Rs 1.5 lakh—under section 80C.

Maximize Your Tax Benefits

If you’re already utilizing section 80C, you can save up to Rs 1.5 lakh in taxes. Additionally, by investing in the NPS, you can gain an extra tax benefit of up to Rs 50,000.

File ITR and update it

If you have made any mistake while filing your ITR, then it can be updated or corrected. For this you have time till 31 March 2025. After this you may have to face a penalty. Or you may also have to pay interest. So finish this work soon.

Check Form 26AS and AIS

TDS is deducted from the salary or investment amount of many people. So remember to check Form 26AS and AIS. If you find any mistake in it, then correct it. You have time till March 31 for correction.

Check your investments

This is the best time to check your investments. At this time, you can check where you are making profits and losses. Along with this, you can implement measures to avoid capital gain tax.