Continue with PPF, SCSS, SSY, term and health cover under new tax regime

Stop fresh investments in ELSS and Ulip; decision to exit post lock-in should depend on performance

A salaried individual can choose between the old and the new tax regime every financial year. The new regime levies lower tax rates but doesn’t allow deductions. People who have opted for this default regime need to decide about the tax-saving instruments they were investing in earlier.

“The basic premise for choosing any product should be its risk-reward and whether it helps you meet your financial goals. Tax saving should be a by-product,” says Deepali Sen, founder and partner, Srujan Financial Advisers.

Public Provident Fund (PPF)

PPF, an exempt-exempt-exempt (EEE) scheme, offers 7.1 per cent return and remains attractive for