ELSS Returns Table India - Tax Saving Mutual Fund Calculator

What is ELSS? Tax-Saving Mutual Fund Explained

ELSS (Equity Linked Savings Scheme) is a type of mutual fund that invests predominantly in equities and equity-related instruments while offering tax benefits under Section 80C of the Income Tax Act, 1961. It is the only mutual fund category that qualifies for tax deduction, making it a popular choice among salaried professionals looking to save tax while building wealth through equity exposure.

ELSS funds have a mandatory lock-in period of just 3 years — the shortest among all Section 80C investment options. Compare this with PPF (15 years), NSC (5 years), and tax-saving FDs (5 years). This shorter lock-in, combined with the potential for higher equity-linked returns (historically 12-15% CAGR over long periods), makes ELSS an attractive option for investors with moderate to high risk tolerance.

ELSS Returns: Rs 10,000 SIP for 3, 5, 10 Years

These are the most commonly searched ELSS return scenarios. Here are the projected maturity values for a Rs 10,000 monthly SIP at different expected return rates:

• •Rs 10,000 SIP for 3 years at 12%: Total investment of Rs 3.60 lakh grows to approximately Rs 4.35 lakh, generating gains of Rs 75,000. At 14% return, maturity reaches Rs 4.46 lakh.
• •Rs 10,000 SIP for 5 years at 12%: Total investment of Rs 6.00 lakh grows to approximately Rs 8.25 lakh, with gains of Rs 2.25 lakh. At 14%, maturity reaches Rs 8.81 lakh.
• •Rs 10,000 SIP for 10 years at 12%: Total investment of Rs 12.00 lakh grows to approximately Rs 23.23 lakh, nearly doubling your money. At 14%, maturity reaches Rs 26.09 lakh.
• •Rs 10,000 SIP for 15 years at 12%: Total investment of Rs 18.00 lakh grows to approximately Rs 50.46 lakh — a 2.8x multiple. The power of compounding really shows over longer periods.

For exact values across all investment amounts and periods, refer to the interactive table above. You can switch between different return rates using the dropdown selector.

80C Tax Savings with ELSS Investment

Section 80C of the Income Tax Act allows a maximum deduction of Rs 1,50,000 per financial year. ELSS investments up to this limit reduce your taxable income, resulting in direct tax savings based on your income tax slab:

• •30% tax bracket: Save up to Rs 46,800 per year (Rs 1.5L x 30% x 1.04 cess) on a full Rs 1.5 lakh ELSS investment. This requires a monthly SIP of Rs 12,500.
• •20% tax bracket: Save up to Rs 31,200 per year (Rs 1.5L x 20% x 1.04 cess).
• •5% tax bracket: Save up to Rs 7,800 per year (Rs 1.5L x 5% x 1.04 cess).

Note: 80C deductions are available only under the Old Tax Regime. Under the New Tax Regime (default from FY 2023-24), Section 80C deductions are not available. Use our Income Tax Calculator to compare which regime saves you more.

LTCG Tax on ELSS: When and How Much

Long-Term Capital Gains (LTCG) tax applies to equity mutual funds including ELSS. As per the updated rules effective from July 2024:

• •Tax-free threshold: Gains up to Rs 1,25,000 per financial year are completely exempt from LTCG tax.
• •Tax rate: Gains exceeding Rs 1.25 lakh are taxed at a flat 12.5% (increased from 10% in Budget 2024).
• •Tax harvesting: You can redeem and reinvest ELSS units after the 3-year lock-in to book gains within the Rs 1.25L tax-free limit each year, effectively reducing your overall tax liability.

Toggle the “LTCG Tax” checkbox in the table above to see exactly how much capital gains tax applies to each investment scenario.

ELSS vs PPF vs FD: Which Saves More Tax?

All three qualify for Section 80C deduction (up to Rs 1.5 lakh), but they differ significantly in returns, risk, and liquidity:

• •ELSS: 3-year lock-in, equity-linked returns (12-15% historical CAGR), market risk, LTCG tax above Rs 1.25L at 12.5%. Best for investors comfortable with equity volatility.
• •PPF: 15-year lock-in (partial withdrawal after 7 years), 7.1% guaranteed return, EEE status (exempt at all stages), zero risk. Best for conservative long-term investors.
• •Tax-saving FD: 5-year lock-in, 6.5-7.5% interest (varies by bank), interest fully taxable at slab rate, no premature withdrawal. Best for risk-averse investors with shorter horizon.

For most investors under 45, a combination of ELSS (for growth) and PPF (for stability) provides the optimal tax-saving strategy. Use our ELSS Calculator for customized scenarios with step-up SIP and our FD Returns Table for fixed deposit comparisons.