Understanding tax planning and various tax saving investments.

1. TAX PLANNING
Taurus Capital Advisors
January, 2013

3. Tax Planning
• Tax planning is an integral element of personal finance
• Key Sections
– 80C – Invest up to Rs. 1 Lac for deductions
– 80D – Deduction up to Rs. 15,000 for self & family, and additional Rs.
20,000 for parents (senior citizens)
– 80CCD – Deduction of up to 10% of gross income invested under
New Pension Scheme
– 80CCD (2) – Further deduction of up to 10% of gross income,
against contribution made by employer under New Pension Scheme
For private circulation only
© Taurus Capital Advisors

4. Tax Saving Options
Investing in PPF or NSC to claim tax-break could yield moderate returns, whereas Mutual
Funds could mean adding slight risk, but can make your money earn higher returns
• No tax on maturity
• Tenure to be 15 years
Provident Fund
• Limit increased from 70,000 to 1 Lac, but interest has
Return – 8-9%
been market linked
• Term – 6 Years
NSC
• Taxable on maturity
Returns – 8%
• Term Insurance – best to cover life
ULIP Returns –
Insurance
• Health Insurance – Limit up to 15,000
Market linked
• ULIPs – Lockin revised to 5 years
• Investment into equity related tax saving funds
Returns – Market
ELSS
• Lock-in period of 3 years
linked ~ 6-20%
• Term – 5 Years
Tax Saving FDs
• Interest Taxable
Returns – 8-9%
For private circulation only
© Taurus Capital Advisors

5. Our suggested approach
• Evaluate your existing contribution to Provident Fund (most important for
salaried people contributing towards EPF)
• Evaluate your Home Loan EMI (Principal & Interest payments)
• Term Insurance – should be your first priority
• Health Insurance – have moderate medical insurance
• ELSS or PPF – allocate balance depending on the age and participation
in equity investments
For private circulation only
© Taurus Capital Advisors

6. Invest in ELSS!!
For private circulation only
© Taurus Capital Advisors

7. ELSS Performance
3 Year Performance
5 Year Performance
10 Year Performance
For private circulation only
© Taurus Capital Advisors

8. ELSS Performance
Annualised returns
32.59%
28.09%
24.20%
19.54%
13.95%
12.69%
8.13%
8.68%
7.65%
2.80%
1 Year
3 Year
5 Year
7 Year
10 Year
Category
Top Performer
For private circulation only
© Taurus Capital Advisors

9. Equity Outlook
• Indian equity markets have given 24% return in 2012
• Key positive factors for year ahead
– Continued strength in domestic consumption demand
– Direct transfer of subsidies
– Revival of investment spending cycle led by public sector enterprises
– Corporate earnings growth in coming quarters
Equity outlook is positive for a 3 to 5 years of investment horizon,
and can give best returns for wealth creation
For private circulation only
© Taurus Capital Advisors

10. Taurus Capital Advisors
Our Profile

11. Taurus Capital Advisors
• Taurus Capital Advisors is a financial services firm providing Independent
Investment Banking and Wealth Management advice
• We are an independent and client centric private wealth management firm
• Our Wealth Management business serves the investment interests and wealth
management needs of families and high-net-worth individual investors
• We offer breed of investment solutions from product providers in equity, fixed
income and alternate investment classes
• Our philosophy is that each client requires a financial portfolio to match their
varied risk appetite and it takes an expert understanding of the financial markets
to design a portfolio that achieves the clients’ desired goals.

12. Investing is all about discipline
• We follow a detailed and disciplined process to create and fine-tune your
portfolio. Specific steps we can take include:
– Review your existing holdings and evaluate special circumstances, such as
concentrated stock positions, mismatched asset allocation etc.
– Establish target asset allocation ranges for your portfolio, which allow for market
fluctuations before rebalancing occurs, in order to maximize efficiency
– Carefully select investments from investment offerings in a full array of asset classes
– Implement your investment plan, managing transitions and analyzing tax implications
effectively

13. THANK YOU
For further details & investing
Please contact
Taurus Capital Advisors
+91-98290-07926
investments@tauruscap.in