There are lot of plans already in the making as covid related restrictions are getting relaxed, be it travel, meetups, live sessions, IPL etc, but there are some to-dos that need to be checked before we end the current financial year. Here is a quick guide:
1.) Link PAN Aadhaar
Yes, the requirement which got extended for sometime, so many thought it is not mandatory, but the final deadline for the same is 31st March 2022, and if you fail to link it before deadline, your PAN will become technically inoperative, meaning issues while opening a new bank account or making investments etc. So incase you have not yet linked PAN with Aadhaar, please do it today by logging into your income tax account on https://www.incometax.gov.in/
2.) Tax Planning
There is no better feeling in life than saving taxes, offcourse we do not encourage you to evade tax, but yes a better tax planning can help you save some amount. Last year many of you would have experienced a rise in stock market and also your portfolio, which would have tempted you to book some profits. Now the profits booked are subject to tax at 15% in case of short term and 10% in case of long term. Now either you can pay the appropriate tax or you can do some Tax loss harvesting. In Tax loss harvesting, you can book some losses out of the unrealized losses in your portfolio, mainly after the recent correction experienced, thus allowing you to offset the losses against the gains earned. This will reduce your overall tax. Other benefit which is available, is that there is no income tax on long term capital gains upto INR 1 lac. So incase you were planning to book some profits on stocks or equity mutual funds, which are held for more than 1 year, you can take an advantage of this provision to book some profits and rebalance your portfolio
3.) 80C investments
Last minute tax saving is dangerous as we may end up investing into products without understanding the underlying risk and also whether the same product is aligned to our goal. Also we at times fail to make investments, because we would have missed the applicable time limits. So now is the time to relook whether all the investments are made to avail benefit under 80C and incase it is pending, this is the best time to do instead of waiting till the last minute. Incase you are planning to make investments in ELSS schemes which are eligible for 80C, you dont need to rush to any place, instead you can just log in to www.orowealth.com and make you investments at the ease of few clicks
These are some important things that needs to be done before 31st March 2022, which has a larger benefit when it comes to your personal finace objective.
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