Bangalore: The prospect of retirement brings with it some relief and some headache. The major headache is to maintain your lifestyle with the fixed income from your pension and the investments you've done over the years. Inflation will be a major roadblock, preventing you from achieving your targets. So the aim is to maximize the benefits from the investments so that it can counter balance the inflation of the day. To achieve that, one factor has to be taken care of-tax management on incomes. The government has kept many ways open to shield senior citizen's income from getting eroded by taxes. Here's an attempt to make you aware of 8such ways, with inputs from Business Today.

Long Term Holding of Equity

The holding period of equities is 1 year and if you hold the equities for their full term, then you'll be eligible for long term capital gain. The good news is long term capital gains from stocks and equity mutual funds are tax free. So you should consider investing in equities and stocks and be ready to hold them long enough to avail of the benefit. On top of that, dividends from both stocks and equities are not taxable.

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