Regime Comparison

We calculate your tax under both old and new regimes every year and recommend the one that saves more.

80C / 80D / NPS

Maximise every available deduction with instruments that also build wealth — not just save tax.

Year-Round Strategy

Tax planning is a 12-month discipline, not a March scramble. We integrate it with your financial plan.

Every March, Mumbai & other Metro City's salaried professionals rush to make last-minute tax-saving investments — buying insurance they don't need, locking money in products that barely beat FD rates, and still paying more tax than they should.

Effective tax planning is not a March activity. It is a year-round strategy that, when done right, saves you between ₹50,000 and ₹2,50,000 or more in tax every year — while also building your wealth in the process. At Arthabodhi, we build your tax plan as part of your overall financial plan, so every rupee saved in tax is also doing useful work.

Old Tax Regime vs New Tax Regime — Which Is Right for You?

Since FY2023-24, the new tax regime is the default for salaried individuals. But for many Mumbai and other metro city salaried professionals with home loans, HRA, and multiple 80C investments, the old regime still results in lower tax. The right answer depends on your income level, deductions, and life stage.

Old Tax Regime

New Tax Regime (Default from FY24)

Higher tax slabs but many deductions available

Lower tax slabs but almost no deductions

Best if you have: home loan, HRA, 80C, 80D

Best if you have minimal deductions or are young

80C deductions up to ₹1.5L reduce taxable income

₹75,000 standard deduction only

Beneficial for income above ₹10L with deductions

Simpler filing, beneficial for income under ₹7L

The Complete Tax-Saving Toolkit for Mumbai & Metro’s Professionals

If you choose the old regime, here are all the deductions available to you:

Section 80C — Up to ₹1,50,000 deduction

  • ELSS Mutual Funds — tax saving with market-linked returns, 3-year lock-in (shortest among 80C options)
  • PPF — safe, government-backed, 15-year tenure, fully tax-free maturity
  • EPF — employer and employee contributions both qualify
  • NPS — additional ₹50,000 deduction under Section 80CCD(1B) over and above ₹1.5L

Section 80D — Medical Insurance Premiums

  • Self, spouse and children: up to ₹25,000 deduction on health insurance premium
  • Parents below 60: additional ₹25,000 | Parents above 60: additional ₹50,000
  • Total possible deduction under 80D: up to ₹1,00,000 per year

Home Loan Deductions

  • Section 24(b): up to ₹2,00,000 deduction on home loan interest for self-occupied property
  • Section 80EEA: additional ₹1,50,000 for first-time homebuyers (subject to conditions)
  • Section 80C: principal repayment qualifies within the ₹1.5L limit

Other Deductions Often Missed

  • Section 80G: donations to registered charities — 50% or 100% deduction depending on organisation
  • Section 80E: interest on education loan for higher studies — no upper limit for 8 years
  • HRA: House Rent Allowance exemption if you live in a rented home in Mumbai
  • LTA: Leave Travel Allowance — two journeys in a 4-year block, economy class fare

Why Last-Minute Tax Planning Costs You More Than It Saves

When you plan tax at the last minute, you end up buying products that suit the deadline, not your life. Insurance policies bought purely for 80C are poor investments. FDs that lock your money at 6% when equity SIPs historically return 12–14% over 10 years are a hidden opportunity cost.

We integrate your tax planning with your investment and insurance planning. The result: your 80C limit is filled by ELSS funds that also build your wealth, your 80D limit is filled by insurance you genuinely need, and your NPS contribution gives you an extra ₹50,000 deduction while building your retirement corpus.

Arthabodhi's tax planning approach — what makes it different

We review your Form 16, salary structure and existing investments before recommending anything

We compare both tax regimes for your specific income and deduction profile every year

Every tax-saving recommendation doubles as a wealth-building or protection investment

We coordinate with your CA for ITR filing and advance tax calculations

Book Your Annual Tax Planning Review

Takes 45 minutes. We'll calculate your tax under both regimes and show you exactly what to invest and where.

Book Your 45-min Consultation