Written by : Knowledge Centre Team
2025-11-02
902 Views
8 minutes read
Share
Tax-savings play a very important role in meeting your future financial goals. But, many of us leave it for the last few months of the financial year, which is not a prudent behaviour. A poor tax planning strategy would make it difficult for you to meet your financial targets on time. Thus, if you haven’t done your tax savings yet, then listed below are 6 popular tax-saving instruments that will help you plan your taxes well in 2025
1. Unit Linked Insurance Plan - ULIPs have now become a popular investment option due to its flexibility, low cost, and tax-free returns. Unit Linked Insurance Plan is a market-linked insurance plan that comes with a lock-in period of 5 years. Furthermore, this insurance-cum-investment product is eligible for deduction as per Section 80C of the Income Tax Act. Deciding to invest in the best ULIP is wise as it offers you a life cover along with an investment avenue, where you can expect returns.
2. Public Provident Fund - Though interest rates are low, but PPF offers tax-free guaranteed returns. This is a long-term investment option that helps you avail tax benefits. The current interest rate for PPF is 7.1% and it comes with a lock-in period of 15 years. As compared to other bank deposit options, PPF is a much better option because the interest rates are tax free.
3. Tax-saving FDs - This is yet another best tip that will help you save on taxes. Though they rank low on returns it is the simplest way to save tax. The interest rate you get is as per the prevailing FD rates. Also, tax-saving FDs come with a lock-in period for 5 years which means you cannot withdraw your money before 5 years. You will only make a one-time lump sum payment. No premature withdrawals are allowed. In addition to this, tax-saving FDs are also good for those who plan their taxes at the last minute.
4. Senior Citizen Savings Scheme - This risk-free tax-saving instrument is an ideal option for those who have already retired or are going to retire soon. Senior Citizen Savings Scheme (SCSS) comes with a lock-in period of 5 years and is the best option for retirees. Also, the interest earned from the scheme is tax-free, which makes it one of the best tax-saving options for senior citizens.
Read about the top investment options for retirees.
5. National Savings Certificate (NSC) - The best part about the National Savings Certificate (NSC) is that the interest earned is eligible for tax deduction. This fixed-income investment option also comes with a lock-in period of 5 years with the current interest rate of 7.1%. This used to be one of the popular investment options, but not now as many bank fixed deposits have come under Section 80C.
6. Life insurance - This is considered as a default tax-saving instrument by investors Although this purpose is best served by term insurance policy as other life insurance policies such as endowment plans or ULIP offer poor returns at high premiums. On the other hand, a term insurance plan offers life coverage along with tax benefits. It allows you to avail tax deductions as per Section 80C of the Income Tax Act. Buy the best life insurance plan to suit your financial requirements and goals.
These are some of the pragmatic tax-saving tips that you should find very useful. Besides, if you are looking forward to buying an adequate insurance plan that also helps you save on taxes. iSelect Smart360 Term Plan allows you to enjoy tax benefits of up to ₹ 1.5 Lakh/annum on the premiums paid towards the policy as per Section 80C of the Income Tax Act.
Maximize Your Tax Savings - Talk to an Expert
Enter OTP
An OTP has been sent to your mobile number
Didn’t receive OTP?
Application Status
Name
Date of Birth
Plan Name
Status
Unclaimed Amount of the Policyholder as on
Name of the policy holder
Policy Holder NamePolicy No.
Policy NumberAddress of the Policyholder as per records
AddressUnclaimed Amount
Unclaimed Amount
Sorry ! No records Found
Request Registered
Thank You for submitting the response, will get back with you.
Disclaimer - This article is issued in the general public interest and meant for general information purposes only. The views expressed in this blog are solely those of the writer and do not necessarily reflect the official policy or position of Canara HSBC Life Insurance Company Limited or any affiliated entity. We make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability, or availability with respect to the blog or the information, products, services, or related graphics contained in the blog for any purpose. Any reliance you place on such information is therefore strictly at your own risk. You should consult with a qualified professional regarding your specific circumstances before taking any action based on the content provided herein.
Recent Blogs
What Is Tax Liability? Meaning, Calculation & Examples
05 Mar '26
1995 Views
7 minute read
Tax liability is the total tax payable after deductions and exemptions. Learn its meaning, how to calculate tax liability and how it affects ITR filing in India with examples for individuals.
Read More
Tax Saving
FATCA Declaration: Meaning, Eligibility & Filing Guide
25 Feb '26
67 Views
6 minute read
Understand FATCA declaration requirements, who must submit it, reporting rules for foreign financial assets, and why compliance is important for Indian taxpayers.
Read More
Tax Saving
Income Tax Rates in India: Latest Slabs & Comparison Guide
25 Feb '26
79 Views
6 minute read
Explore current income tax rates under old and new regimes, slab-wise comparisons, and practical tips to select the most suitable tax regime for your income profile.
Read More
Tax Saving
Short Term Capital Gains Tax & Calculation | STCG Tax India
23 Feb '26
10715 Views
11 minute read
Understand short term capital gains tax in India. Know how STCG is taxed, rates, and calculation for different assets under current tax rules.
Read More
Tax Saving
What Is TAN? How to Apply for TAN in India
23 Feb '26
1958 Views
10 minute read
What is TAN? Understand its structure, importance, and how to apply for a Tax Deduction and Collection Account Number (TAN) easily in 2026.
Read More
Tax Saving
What is EPF Form 10C? Meaning, Benefits, Eligibility
23 Feb '26
1413 Views
6 minute read
Learn about EPF Form 10C. Its meaning, benefits, and eligibility. Find out how submit form 10C online and how can help you with your Employee Provident Fund.
Read More
Tax Saving
Import Tax in India: Why Imports Are Heavily Taxed?
23 Feb '26
1971 Views
6 minute read
Understand why imports are heavily taxed in India, how import tax works, and the economic and policy reasons behind high import duties.
Read More
Tax Saving
Expenditure Tax in India: Meaning, Applicability & Examples
23 Feb '26
115 Views
6 minute read
Understand the concept of expenditure tax in India, when it applies, sectors affected, calculation approach, and practical examples to clarify its financial implications.
Read More
Tax Saving
TDS on Foreign Remittances: Rates, Limits & Rules Explained
23 Feb '26
39 Views
7 minute read
Learn how TDS applies to foreign remittances under LRS, applicable rates, thresholds, exemptions, and how these deductions affect your overseas payments and tax filing.
Read More
Tax Saving
Tax Savings - Top Selling Plans
We bring you a collection of popular Canara HSBC life insurance plans. Forget the dusty brochures and endless offline visits! Dive into the features of our top-selling online insurance plans and buy the one that meets your goals and requirements. You and your wallet will be thankful in the future as we brighten up your financial future with these plans.
Family Shield: Enhanced Protection
iSelect Smart360 Term Plan
- 3 Plan options
- Life cover till 99 years
- Steady income benefit
- Block your premium at inception
Fixed Returns, Zero Risks & Worries
iSelect Guaranteed Future Plus
- 4 Plan options
- Life cover + Guaranteed benefits
- Accidental death benefit
- Premium protection cover
Start Young, Pay Less, Stay Secured
Young Term Plan
- Life cover till 99 years
- Coverage for spouse
- Block your premium rate
- Covers 40 critical illness
Popular Searches
- Tax Planning
- Income Tax Calculator
- TDS Vs TCS
- Section 80C
- What Is ITR
- Tax Concepts
- Section 80D
- Section 24
- 80DDB
- What is MAT?
- ITR-3 Form
- Term Insurance Tax Benefit
- TDS for Professional Fees
- Income Tax Slab FY 2025-26
- HRA Calculator
- TDS on Rent
- What is Income Tax Return?
- Income Tax for NRI
- How to File Income Tax?
- Section 80C Tax Benefits
- Old vs New Tax Regime
- LTCG Tax on Investments
- Tax Saving Options for Salaried
- Income Tax Rebate under 87A