Financial need

Financial security

Retirement corpus

Investment

Instrument

Premium of life insurance policy

Section
of
IT Act
80C

Premium of mediclaim policy

EPF

80D*
80C

PPF
Pension funds & annuity plans

80C
80C
80CCC
80CCD
80C
80C

SCSS
ELSS (tax saving mutual fund scheme)

NSC
Tax saving deposits
Rajiv Gandhi Equity Saving
Scheme
Tuition fees
Repayment of principal of home loan
Eligible expenses/ paymePreventive health checkups
Payment of house rent

80C
80C
80CCG
80C
80C
80D
80 GG

#Partial withdrawals are subject to certain conditions.

Tenure

Frequency of investment

Long

Liquidity
Taxation at maturity
before
maturity#
Loan against traditionaTax free

Annual
Long

N/A
N/A
Withdrawal allowed for Tax free

Regular
Regular

Regular

15 years & extension

Withdrawal allowed froTax free
Regular
Long
Withdrawal after specifTaxable under 80CCC/ 80CCDRegular/ one tim

5 years & extensionPartial withdrawal not Interest taxable

3 years
No
Tax free
5 years/ 10 years
5 years
3 years

No
Interest taxable
No
Interest taxable
To take benefit of capitTax free

One time
One time/
SIP
One time
One time
One time

Annual
Long
Annual
Annual

N/A
N/A
N/A

N/A
N/A
N/A

ertain conditions.

N/A
N/A
N/A

Features

Premium on own/ spouse/ and childs

Up to Rs. 15,000 for self/ spouse/ children & Rs. 15,000 for parents. (Limit is Rs. 20,000 for senior citizens.)
Contribution up to 12% of salary is el

The aggregate limit is Rs. 1 lakh for the account of an individual and his minor children. Contribution to the accou
Plans in the name of spouse and children are also eligible.
Pension received from an annuity plan is taxable in the hands of recipients.
The maturity amount of pension scheme will be exempt from tax if used for purchasing an annuity plan.
Only senior citizens are eligible. Interest is paid quarterly @ 9.3% per annum.
Dividends are tax-free.
Equity exposure seeks to provide higher return.
Interest accrued on NSC is added to total income and then deduction is allowed under Section 80C as interest is
Banks & post offices offer such deposits.
Only individuals are eligible. Inves
Tuition fees of 2 children are eligible
Interest up to Rs. 1.5 lakh is deductible from taxable income under Section 24 (b).
Limit is of Rs. 5,000 within prescribed overall limit of 80D* as mentioned above.

r senior citizens.)

ntribution to the accounts of spouse and major children is excluded from this limit.

annuity plan.

tion 80C as interest is deemed as reinvested up to the end of 5th year.