Bangalore: Tax planning, tax returns, tax savings etc, anything associated to tax is always hectic and painful as maximum percent of your earnings can be dragged away from you if you do not plan your tax payments appropriately.  Where there are plenty of rules and regulations which will force you to pay a large portion of your income as tax, there are plenty of opportunities too which can help you to tax free income. Here are seven ways listed by Babar Zaidi of Economic Times by which you can rightfully choose to not pay tax on your investments.

1. Use Indexation to Nullify Tax

High Inflation may be a bad phase for many investors and other money makers but for few people it has proved to be a boon. Taxation rules allow an individual to revalue their assets according to inflations trends during the holding period. You can choose to pay 10 percent flat tax on long-term capital gains or pay 20 percent after indexation. Indexation has been a popular way to nullify tax over the years.  People have also been able to reduce their tax payments almost to zero level by opting for this inflation indexation benefit.

11 Financial Lessons to Learn From Lord 'Ganesha'

15 Factors to Consider Before Investing In IPOs