Some investments with deduction on principal carry tax on accrual and withdrawal
Postponing tax planning until the end of financial year runs the risk of making mistakes that can derail your overall financial plan. Prableen Bajpai, founder, FinFix Research and Analytics said some people go as far as taking a loan to make last-minute investments just to save tax. “People take expensive personal loans in February/March to utilize Section 80C tax saving options. They forget that they might be losing more money through interest than they will save in tax," she said.