Most successful ELSS Tax Saving Mutual Funds from the Beginning of May 2023

Tax saving funds, commonly called equity-linked saving schemes ELSS allow investors to participate in the stock market while gaining a tax credit. Rs 1.5 lakh invested in an ELSS fund may be detected under Section 80 C of the Income Tax Act. Its tax-saving funds have produced a range from 18% to 23% since their respective start dates, according to data from the Association of Mutual in India (AMFI) website at the time of writing. Intriguingly, several schemes have a sizable difference between their direct and regular plant returns. A few of these funds are also relatively recent:

● HDFC Taxsaver Fund

The HDFC Taxsaver Fund funds direct plan has produced a return of 13.2% since inception compared to 23% for the normal plan. This scheme follows the NIFTY 500 total return index.

● Parag Parikh Tax Saver Fund

The return on investment for the direct plan of the Parag Parikh Tax Saver Fund is 22.98%, compared to 21% for the regular plan since the fund’s inception. This scheme follows the NIFT 500 total return index.

● Aditya Birla Sun Life Tax Relief 96 Fund

Since its inception, the Aditya Birla Sun Life Tax Relief 96 Fund’s regular plan has generated a return of 22.44%, while the direct plan has generated a return of 13.44%. This scheme follows the NIFTY 500 Total Return Index.

● Franklin India Taxshield Fund

Since its establishment, the Franklin India Taxshield Fund’s regular plan has generated a return of 20.63%, while the direct plan has generated a return of 14.67%. This scheme follows the NIFTY 500 Today Return Index.

● Quant Tax Plan

Since its beginning, Quant Tax Plan’s direct plan has generated a return of 20.07%, while the regular plan has generated a return of 14.69%. This scheme follows the NIFTY 500 Total Return Index.

● Miraee Asset Tax Saver Fund

Since its start, Miraee Asset Tax Saver Fund’s direct plan has generated returns of 18.75%, while the regular plan has generated returns of 17.12%. This scheme follows the NIFTY 500 Today Return Index.

● ICICI Prudential Long Term Equity Fund (Tax saving).

Since its inception, the direct plan of the ICICI Prudential Long Term Equity Fund (Tax saving) has returned 14.92%, while the normal plan has returned 18.95%. This scheme follows the NIFTY 500 Today Return Index.

● Tata India Tax Savings Fund

Since its establishment, the Tata India Tax Savings Fund’s regular plan has generated a return of 18.13%, while the direct plan has generated a return of 16.22%. The scheme follows the NIFTY 500 Today Return Index.

Conclusion

Depending on their age and capacity to increase investors’ wealth, numerous schemes would have been qualified to compete in a race for tax-saving funds and win the title. There is no such race, though; however, based on information from the AMFI websites, there may be a list of eight top-performing ELSS programs from the dates of their separate launches until May 26, 2023. However, investors need to be aware that there is no guarantee that these products will continue to offer comparable returns.