Need your suggestions- how to save tax?

Nupurji,

If one gift any amount to his wife,then the income received on the same is clubbed in Husband's income and accordingly taxed in the hand of husband.

Why don't your friend go for tax saver Mutual fund investment.By doing so,He can save tax as well as can get a good return in long term.

Thanks & Regards,

M/s S.R.Associates

Cell:9685595760

e-mail:srassociates0713 @ gmail.com

https://www.facebook.com/pages/SRAssociates/600829063295496

PPF is ideal for retirement but the investment continues upto 15 years. 

National saving certificate offers good interest around 8.4% pa, no upper limit, lock-in period is 5 years. The interest is of course taxable. 

PO MIS is another one offering decent interest. Lock-in period is 5 years, and interest is taxable. Invest upto 4.5 lacs single or 9 lacs joint. 

If money is paid to wife and she invests, the income earned from it shall be chargeable to husband.