ELSS versus ULIPs: Which tax saving option is for you?
Updated : August 29, 2018 02:48 PM IST
Both ELSS and ULIPs give you an access to equities and both entail a lock in. However, there are some differences on the tax front, especially after the Union Budget 2018-19.
To begin with, most investors did not realise the difference between a ULIP and a mutual fund. The problem was that it was largely mis-sold.
Union Budget 2018-19, it is believed, could give ULIPs some hope of a revival. The imposition of the 10 percent tax on long term capital gains (LTCG) earned on mutual funds could be a trigger for ULIPs.