Yes, Angel One offers tax-saving fixed deposits (FDs) that help you save tax under Section 80C of the Income Tax Act. These fixed deposits have a lock-in period of 5 years, and the amount invested can be claimed as a deduction up to ₹1.5 lakh in a financial year. However, the interest earned on these FDs is taxable as per your income tax slab. This makes tax-saving FDs a safe and popular choice for investors who want both tax benefits and steady returns.

What Are Tax-Saving Fixed Deposits?

Tax-saving fixed deposits are special types of fixed deposits where the investment amount is eligible for tax deduction under Section 80C. They come with a mandatory lock-in period of 5 years, meaning you cannot withdraw your money before that time. These FDs offer guaranteed returns, making them suitable for risk-averse investors. The interest is paid at regular intervals but is taxable according to your income tax slab.

Benefits of Tax-Saving Fixed Deposits via Angel One

Angel One’s tax-saving fixed deposits are easy to open and manage online. You get attractive interest rates, safety of principal amount, and tax benefits under Section 80C. The fixed tenure of 5 years helps you plan your investments effectively. These FDs are a good option if you want to save tax without taking market risk. Also, nomination facility is available, ensuring your investment is safe for your family.

Who Should Invest in Tax-Saving Fixed Deposits?

Tax-saving FDs are ideal for investors who want a safe investment with fixed returns and tax benefits. If you are new to investing or prefer low risk, these FDs are a good choice. They suit salaried individuals, senior citizens, and anyone looking to save tax under Section 80C. However, if you want higher returns and are willing to take some risk, you may also consider options like ELSS or PPF.

How to Open a Tax-Saving FD with Angel One?

You can open a tax-saving FD with Angel One easily through their website or mobile app. Simply log in to your account, select the fixed deposit option, and choose the tax-saving FD type. Enter the investment amount and complete the payment online. You will receive a confirmation, and the FD will be credited to your account. Angel One also provides customer support to help you at every step.

Things to Remember About Tax-Saving Fixed Deposits

While tax-saving FDs are safe and beneficial, remember that premature withdrawal is not allowed. The interest you earn is taxable, so plan accordingly. Also, investing in only fixed deposits may not be enough to grow your wealth; consider diversifying your investments based on your goals. Angel One provides easy access and guidance to help you make the best choices for your financial future.