Investing in Mutual Funds by SMS its that simple. IDFC starts SMS transact facility

I have seen so many people having spare cash in there savings account or in there current account fetching very less interest. Many of this people know that if they invest in liquid fund they can fetch much higher returns but just dont like the hastle of writing a cheque and going all the way to the amc office to submit the form. well well here is a solution.

you can just send an SMS and your investment is done from your bank account to the debt fund and even for redemption you can just send an SMS and your units are redeemed and amount directly credited to your bank account within 24 hours. so now if you are going out on vaction even for few days and want to park your fund for couple of days you can just send an sms and the money is invested and while coming back from vacation you can just send an sms and your money is back to your bank account with little more interest.  (YOUR MONEY is WORKING even when you are on VACATION )

IDFC mutual fund offers this kind of facility called SMS Transact facility.

The investor needs to sign a onetime debit mandate form & submit at any of the CAMS office or IDFC AMC branches. Investor will recieve a confirmation within two weeks after which they can start transacting.
For Investing send an SMS as INV AMOUNT to 56767267
For Redemptions send an SMS as RED AMOUNT to 56767267
(e.g for withdrawing Rs. 5000 send sms as RED 5000 to 56767267)
Investor will receive a return SMS from CAMS confirming receipt of request for transaction mentioning the date, transaction amount & time of receipt. One can also open a zero balance account.

Currently this facility works with the following banks such as Kotak, Axis, City, ING Vysya, Standard Chartered, SBI, HSBC.

by default the money will be invested in IDFC Money Manager Treasury Plan.

for more details
http://www.wealthforumezine.net/AMCSpeakIDFC121211.html

'SIP ki Kahani' an animation video explaining the power of SIP by Kotak AMC

This is an interesting animation movie made by Kotak AMC explaining the power of SIP using filmy style.

http://eksipkikahani.com/movie/

Income Tax limits for Individuals for AY 2012 -2013

Proposed Income Tax slab for Individual Tax payer for AY 2012-2013.

1. upto 2,00,000 - Nil
2. above 2,00,000 till 5,00,000   - 10%
3. above 5,00,000 till 10,00,000 - 20%
4. above 10,00,000                    - 30%

Rajiv Gandhi Equity Investment scheme encourages tax payer to invest upto Rs 50,000 directly in equity will fetch a tax exemption of around 50% of the Investment.

Savings Bank account Interest Income upto Rs 10,000 is exempted.

Simple yet Best Financial Plan for an Individual.

Everybody either buys too many financial products like LIC or ULIP or NFO and things keeps getting added based on how many agents have pushed the products and after a while its too complicated and dont know whats happening or an Individual just dont save anything or totally allergic to any financial planning or most people even want to start investing but procrastinate on things or they put all there money in Stock market and burn huge whole in there pocket.

so I have come up with the most basic but yet VERY VERY EFFECTIVE FINANCIAL PLAN with least monitoring required.

1) Buy a good Health Insurance for the Family (Family Floater plan cheaper)
2) Buy simple pure TERM Insurance Plan for Head of family
3) Start an SIP in good BALANCED FUND (balanced Fund does automatic Portfolio Rebalancing)

Note : you can do an Dividend payout to a Gold Fund to get gold exposure.

Each and every Individual should do this three things religiously at the least.

Tax Deductions on Rental Income of property

If you have a real estate property which is given on Leave and License and earning rental income then you can claim Tax deductions as follows

1) Rental Income are allowed Standard deduction of 30% or Actual expenses on maintaining the property which ever is higher.
2) you can deduct Property Tax from the same
3) Water charges are also deductible
4) Loan Interest is also deductible if any taken for buying this property can be claimed on actuals.


Example: Property given on leave and license fetches Anual rental income of Rs 1,20,000 (Rent of Rs 10,000 per month)   with water charges of Rs 1,000 per annum and Property Tax of Rs 6,000 per annum.

Taxable Income comes out to be
Taxable Income = 1, 20,000 - (0.3)1,20,000 - 1000 - 6000 = 77,000

so instead of paying tax on Rs 1,20,000 you have to pay tax only on Rs 77,000

ATM Transaction charges on use of Third party ATM

ATM transactions use have been on rise of late and it is an easier and convenient way for masses to access cash.

Third Party ATM (use of ATM other than your own bank) use is on rise and more convenient but now there is some changes to that.
1) you will be allowed only 5 free transaction in a month anything above will be chargeable.
2) Even balance enquiry or any other transaction including the cash withdrawal will be counted, earlier only CASH WITHDRAWAL were counted in your free quota.
3) CASH WITHDRAWAL limit is still Rs. 10,000 /- on Third Party ATM. 
4) At a time only one transaction will be done. you will have to enter the PIN for each transaction seperately.
5) If any complaint regarding ATM is not resolved within 30 days then there is a penalty on the bank of Rs. 100 per day of delay.
6) you have to make any complaints within 7 days of the transaction.

Salaried income of less then 5 lakh do not need to file IT returns with some conditions

Individual whose main income source is from salary with taxable income of less than Rs 5 lakh will not have to file income-tax returns in the current assessment year. However there are few conditions where exemption is not allowed, few of them are as follows.
 
1)Salary income of less than Rs 5 lakh in FY 2010-11,is exempted from filing IT return provided the salary is from single employer. meaning if someone has changed the job then he will have to file IT return.

2) Interest income of more then Rs 10,000 in savings deposit will have to file returns.
If interest income is less Rs 10,000 then employee will have to declare his permanent account number to his employer and obtain certificate of tax deduction in Form No 16.

3) Individuals having income from other sources besides salary or having refund claims will have to file IT returns.