Tax planning is an integral part of financial planning, optimizing on taxes can go a long way in enhancing the corpus that one builds for their financial goals. Tax planning and financial planning go hand in hand; the first step towards financial planning is to chalk out the key financial goals that one intends to achieve and aligning all investments including tax planning investments in line with these financial goals. Tax optimization also includes availing those tax benefits over and above the tax saving investments - HRA, Home Loans, LTA, Re-imbursements, etc to reduce the taxable income. Even items such as prudent sale of ESOPs could reduce the capital gains liability. Structuring your home loan in a tax efficient manner to increase your take home salary substantially.
Need for Tax Planning
- Avail all tax exemptions assesse is eligible for
- Ensure there are no contraventions of the law
- To reduce your tax liability in a legal way