Individual savers will regret the fact that rates have come down, but this is only correcting an aberration, says Ananth Narayan of Standard Chartered Bank
Investment in national saving certificate fetches tax deduction under section 80C of income tax act. The interest accrued on NSC also is tax deductible.
There are situations where investments actually do not put any cash in the hands of the investors, however he is expected to income tax on the accrued income.
Tax saving should not be the only factor that decides if an investment can be bought.
Flashback to the start of 2008: the markets are roaring and everyone’s who's been left out of the equity ride up is rushing to enter.