Do your tax planning

If you are liable to pay tax, tie up your tax planning exercise. As a law-abiding citizen paying taxes is most important so investing promptly in the right avenues to save tax assumes to save tax assumes importance. An individual can save tax up to Rs 100,000(Rs 1 lac)by investing in tax-saving investment avenues. These avenues range from the traditional Public Provident Fund(PPF), National Saving Certificate(NSC) and life insurance to the more dynamic(read market-linked) tax saving mutual funds(Equity Linked Saving Schemes-(ELLS)). These avenues not only help in tax planning but if selected well can also help individuals achieve their long term financial goals.