A Study on Tax Planning & Investment Pattern of High School Teachers in Ballari City

A Study on Tax Planning & Investment Pattern of High School Teachers in Ballari City

Syed Mudasir ¹                                                   Pavan Kumar S S ²

   Student DMS BITM Ballari                    Assistant Professor DMS BITM Ballari

Abstract:

Tax planning is quite important and will aid in boosting the tax payer's discretionary income by lowering the incidence of tax. One needs complete knowledge of the most recent tax rules, deductions, exemptions, and allowances as presented in the tax payer under the Indian Income Act 1961 in order to use the optimal tax planning strategy. The most important thing is to be aware of investment options as well as income tax rules. Tax responsibilities are promptly met by the salaried class of taxpayers. The main issue salaried workers confront is a lack of knowledge about income tax rules and investment opportunities. As a result, they end up paying high tax rates and have very little money left over after paying taxes to save and invest.

It is observed that majority of them almost about 80-85 percent of them are not properly aware of the tax deductions and various investments avenues, large number of them make tax planning at the end of the year and end up paying higher taxes and keeping their hard-earned money ideal.

Key words: Tax planning, lack of knowledge, exemptions & allowances, optimal tax strategy