12 January 2012
Is deduction u/s 80C available for purchase of units of ANY and ALL mutual funds?
If no, kindly tell me investment in which mutual fund is eleigible for deduction u/s 80C.
As per Section 80C, investment as subscription to any units of any Mutual Fund referred to in clause (23D) of section 10 is eligible for deduction.
Section 10(23D) specifies:
(i) a Mutual Fund registered under the Securities and Exchange Board of India Act, 1992 (15 of 1992) or regulations made thereunder;
(ii) such other Mutual Fund set up by a public sector bank or a public financial institution or authorised by the Reserve Bank of India and subject to such conditions as the Central Government may, by notification in the Official Gazette, specify in this behalf.]
Going by the above, investment in ALL mutual funds should be eligible for deduction u/s 80C.
13 January 2012
Subscription towards notified units of Mutual fund is eligible for deduction u/s80C. Also refer section 10 (23D) which specifies that CG by notification in official gazatte specify mutual fund eligible for deduction u/s 80C.
Consult your investment advisor he will tell you presently what are the tax saving schemes in which you can invest for claiming deduction.
22 December 2015
Section 10(23d) Says, - Any subscription made to any units of any Mutual Fund, of section 10(23D), or from the Administrator or the specified company referred to in Unit Trust of India (Transfer of Undertaking & Repeal) Act, 2002 under any plan formulated in accordance with any scheme as the Central Government, may, by notification in the Official Gazette, specify in this behalf;
[The Central Government has since notified the Equity Linked Saving Scheme, 2005 for this purpose vide Notification S.O. No. 1563(E) dated 3.11.2005]
The investments made after 1.4.2006 in plans formulated in accordance with Equity Linked Saving Scheme, 1992 or Equity Linked Saving Scheme, 1998 shall also qualify for deduction under section 80C.