Equity Linked Savings Scheme

1
Can I really save tax and aim to earn more at the
same time?
2
Equity Linked Savings Scheme
Long term investment always give better returns.
3
What is Equity Linked Savings Scheme (ELSS)

• ELSS, an acronym for Equity Linked Savings
  Scheme, which is a tax saving mutual fund scheme
• By investing in ELSS, investors get the benefit
  of Income Tax saving
• It is basically a diversified equity scheme,
  which has a 3-year lock-in period. These are
  linked to Stock Market and are subject to market
  fluctuations, hence the returns depend on stock
  selection, which are generally higher than
  traditional tax saving schemes.

4
Benefits of ELSS

• Tax free Dividend
• Tax free long term capital gains
• Shorter lock-in period of 3 years
• Full tax deduction of Rs. 1 lakh under section
  80C
• Potential for higher returns
• An investor has the option of investing in
  monthly equity linked savings schemes with a
  minimum investment of Rs 500.
• Investors in ELSS have the advantage of investing
  through Systematic Investment Plan.
• ELSS gives you the two-in-one advantage of saving
  tax and wealth-building.

5
Classification of ELSS
6
Classification Contd.. Growth Plan Under growth
plan, investors do not earn any dividend during
the time they hold the fund. At the time of exit
they get a lump sum amount depending on the-then
prevailing NAV of the scheme. Dividend Payout
Plan Under dividend plan, the income/profit
earned by the fund is distributed among the
investors. The dividend which the investor earns
is not taxable. Dividend Reinvestment Plan If
an investor chooses this scheme, the dividend
declared by this scheme is reinvested at the
prevailing NAV on the day of dividend
declaration. The investor is then liable to get
additional tax benefits on the reinvested
dividend amount.
7
How to invest in ELSS

• To invest in ELSS, investors need to comply with
  Know Your Customer (KYC) regulations wherein they
  have to provide their PAN card no. in order to
  avoid financial fraud.
• Once the KYC is verified, the investor has to
  approach their Asset Management company (AMC) to
  invest in ELSS. Here the investor has to fill the
  ELSS subscription form, which has to be duly
  signed by him, along with an attached copy of PAN
  card.
• The Subscription form along with the investment
  amount cheque should be submitted at the AMC.
• In case of Systematic Investment Plan(SIP) an
  additional form has to be submitted where the
  investor has to select a date on which the amount
  for SIP investment will be deducted from his
  account on the date of every month until further
  notice to the investor

8
Thank you

• If you want to invest in Reliance Tax Saving
  (ELSS) Fund.
• Call us on our Toll Free No.
  1800-300-11111 Tel No. 022 30301111
• Click to connect with us on our social
  profiles-
• https//plus.google.com/108818380526780189699/po
  sts
• http//twitter.com/Reliance_MF
• http//www.facebook.com/RelianceMutualFund
• http//www.linkedin.com/company/2275601