Invest ₹7 lakh in this superhit scheme of SBI, tax will also be saved and you will get guaranteed profit of ₹2.5 lakh.

In today’s era, when everyone wants to keep their hard-earned money safe and also want to earn good profits on it, then Tax Saving FD of SBI emerges as an excellent option. This scheme is perfect for those people who want the benefits of guaranteed returns and tax exemption simultaneously while staying away from the ups and downs of the stock market.

It is so simple and reliable that everyone, from working people to small businessmen, understands it easily and is investing in it.

After all, what is this SBI tax saving FD?

This is a special fixed deposit (FD) scheme of State Bank of India, whose tenure is 5 years. The most important thing about this scheme is its lock-in period of 5 years, that is, you cannot withdraw the money deposited in it before 5 years. Due to this condition, the government gives tax exemption on investments made in it under Section 80C of the Income Tax Act. You can save tax on investments up to a maximum of ₹ 1.5 lakh in a year.

The biggest question: How much will you get in 5 years by depositing ₹7 lakh?

Let us now talk about the most important thing. If you invest a lump sum of ₹ 7 lakh in this scheme, how much money will you get after 5 years?

Let us assume that the bank is giving you an annual interest rate of about 6.5%. On this you get the benefit of compound interest (ie interest on interest also). According to this, after completion of 5 years your money will increase like this:

This simply means that in 5 years you will get a guaranteed profit of more than Rs 2.5 lakh on your Rs 7 lakh, that too without any market risk.

(Note: This calculation is based on the estimated interest rate. There may be slight variation in the amount.)

How does the tax saving benefit work?

The biggest attraction of this FD is the tax exemption. When you calculate tax on your income, you can deduct the amount deposited in this FD from your total income. This reduces your taxable income and you have to pay less tax. However, the interest earned on this FD is added to your income and is taxable.

For whom is this scheme best?

• Senior citizens who do not want to take any risk on their money.
• Small businessmen and women who want to save for a secure future.
• All those people who do not understand the stock market or mutual funds and want a simple investment option.

Be sure to know these things before investing money!

1. Lump sum investment: In this you cannot deposit money again and again. The amount has to be deposited in one go.
2. Interest Rate: Before investing, please check the latest interest rate of that day from the bank, because it keeps changing.

Overall, SBI Tax Saving FD is a great combination of security, guaranteed returns and tax savings, which continues to be the first choice of millions of Indians even today.