{"id":295,"date":"2021-04-01T06:28:58","date_gmt":"2021-04-01T06:28:58","guid":{"rendered":"https:\/\/www.helloworldlive.com\/?p=295"},"modified":"2021-04-01T06:28:58","modified_gmt":"2021-04-01T06:28:58","slug":"why-ulips-are-one-of-the-best-tax-saving-options","status":"publish","type":"post","link":"https:\/\/www.helloworldlive.com\/why-ulips-are-one-of-the-best-tax-saving-options\/","title":{"rendered":"Why ULIPs Are One Of The Best Tax Saving Options"},"content":{"rendered":"
ULIPs provide dual benefits of insurance as well as investment. It provides life coverage while a portion of the amount is invested in the funds equity or debt or both. Thus, ULIPs help in creating wealth along with helping you to secure your life.<\/p>\n
Investors choose to invest in ULIPs<\/a> to meet their life goals, such as retirement funds, child\u2019s education, or any other goals. Investing in ULIPs also has tax advantage where one can save taxes under Section 80C. Let\u2019s check out how ULIPs can be a good tax saving investment option.<\/p>\n Why Should You Choose To Invest In ULIPs?<\/strong><\/p>\n Tax Benefits: <\/strong>With ULIPs one can enjoy dual tax benefits, on the premiums, and on the maturity amount received. Investors can enjoy tax benefits under Section 80 C on the premiums paid for the ULIPs while the returns on the ULIPs are tax-free under Section 10(10D). Although in this year\u2019s budget it was announced that returns above 2.5 lakhs on premium would not be tax-free anymore.<\/p>\n Other than the tax benefits there are other benefits of investing in ULIP<\/a>s such as:<\/p>\n Coverage for Life: <\/strong>With ULIPs, the tax payer’s family is financially secured even after the taxpayer’s untimely demise. The dual benefit of the ULIPs not only secure the finances of the company in the absence of the taxpayer also helps to meet the financial goals of the family.<\/p>\n Long Term Goals: <\/strong>Investing in ULIPs helps meet long-term goals as part of the amount is invested in the market-linked products such as equity. Those who have a higher risk appetite can choose to invest in equity funds and enjoy higher returns while those who have a low risk appetite can choose to invest in debt funds.<\/p>\n Let\u2019s Explore The Tax Benefits That One Can Earn In ULIPs<\/strong><\/p>\n