• www.bottomlineindia.net/taxplanning.html.

• www.census2011.co.in

• www.cleartax.com/TDS Rate Chart for FY 2015-16,FY 2016-17

and FY 2017-18.html

• www.icsi.edu/Student/CareerAsCompanySecretary.aspx

• www.incometaxindia.gov.in

• www.incometaxmanagement.com/Pages/Tax-Management-
Procedure/ 5-1-Meaning-of-Tax-Planning.html

• www.india.gov.in/official-website-income-tax-department

• www.investopedia.com/terms/t/tax-planning.asp

• www.planningcommission.nic.in

• www.salem.tn.nic.in

• www.simpletaxindia.net/2015/08/income-tax-relief-us-891-
calculator-fy-2015-16.html

• www.taxation4all.blogspot.in/2013/07/tax-planning-basically-
tax-planning-for.html
ANNEXURE
 ANNEXURE - I

TAX PLANNING AND INVESTMENT BEHAVIOUR OF SALARIED

INDIVIDUALS - A STUDY IN SALEM DISTRICT

QUESTIONNAIRE
Part I: Profile of Salaried Individuals

1. Age
a) Below 30 b) 31-40
c) 41-50 d) Above 50

2. Gender
a) Male b) Female

3. Educational Qualification
a) Up to HSC b) Diploma /Technical
c) Graduate d) Professional

4. Marital status
a) Married b) Unmarried

5. Nature of family
a) Joint b) Nuclear

6. Nature of employment
a) Govt. Employee b) Private Employee

7. Occupation
a) Clerical b) Managerial
c) Teaching

8. Annual Income
a) Up to 3,00,000 b) 3,00,001-5,00,000
c) 5,00,001- 7,00,000 e) Above 7,00,000

9. Annual Savings
a) Below 1,00,000 b) 1,00,001-2,00,000
c) Above 2,00,000

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 Part II: Tax Planning
10. State your level of awareness regarding various deductions under the
Income Tax Act, 1961.
Well Aware [5] Aware [4] Partially Aware [3]
Slightly Aware [2] Unaware [1]
S.No. Variables 5 4 3 2 1
1 House Rent Allowance is exempted up to a
certain limit
2 Children Education and Hostel Expenditure
Allowance for maximum two children
3 Transport Allowance
4 Professional Tax
5 Interest on Housing Loan
6 Dividend received from Equities or mutual
funds are exempted from the payment of tax.
7 Insurance Premium
8 Contribution to Provident Fund
9 Investment in National Savings Certificate and
Post Office Savings
10 Tuition fees paid to children for maximum two
children
11 Subscription to Mutual Fund
12 Repayment of Housing Loan (Principal Amount)
13 Fixed Deposits in Scheduled Banks/ Housing
Finance Corporations for not less than 5 Years
14 Contribution to Pension Fund
15 Deduction in respect of Health Insurance Policy
16 Treatment of Handicapped Dependents
17 Interest on Loan taken for Higher Education
18 Donation to Charitable Fund

11. How long you are paying income tax?

a) < 5Years b) 6 - 10 Years
c) 11 - 15 Years d) > 15 Years

12. Do you seek the services of a Professional Financial Adviser for making
investment decisions?
a) Always b) Often
c) Occasionally d) Never

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13. When do you formulate your tax plan during a financial year?
a) Beginning of the year b) Middle of the Year
c) End of the year d) No Planning at all

14. Do you seek the services of a Tax Consultant for filing Returns?
a) Always b) Often
c) Occasionally d) Never
15. Rank the preferred investment avenue for reducing tax liability
S.No. Variables 1 2 3 4 5 6
i) Insurance Policy
ii) Bank deposit
iii) Provident Fund
iv) Purchase of NSCs/NSS
v) Donations to charities
vi) Housing loan

16. State your opinion towards the taxation procedures under Income Tax
Act.
Strongly Agree [5] Agree [4] Neutral [3]
Disagree [2] Strongly Disagree [1]
S.No. Variables 5 4 3 2 1
i) Income tax rates in India are high
ii) Understanding of tax system in India is highly
complicated
iii) Withdrawal of Standard Deduction has adversely
affected me
iv) Tax exemption limit is not sufficient
v) Surcharge should be avoided
vi) Deduction for bank interest should be reinforced
vii) Maximum limit for Deductions u/s 80C should be
increased
viii) Substitution of tax rebate u/s 88 by deduction u/s
80 is beneficial to me
ix) Filing of return is very complex
x) Introduction of Direct Tax Code will simplify the
taxation procedures

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 17. State the any problems faced by you
Strongly Agree [5] Agree [4] Neutral [3]
Disagree [4] Strongly Disagree [1]
S.No. Variables 5 4 3 2 1
i) Filing returns with Form 16
ii) Delays in receiving refund
iii) Tax consultants are charging high fee
iv) Lack of awareness on computation of tax
liability
v) Lack of awareness on deductions under Income
Tax Act

18. Sate your expectations for effective tax planning.

Very Important [5] Important [4] Neutral [3]
Less Important [2] Not Important [1]
S.No. Variables 5 4 3 2 1
i) Tax Rates should be lowered
ii) Rationalization and simplification of Tax Laws are
inevitable
iii) Always deduct tax at source on all income
iv) Quick and time bound for refund of excess tax
paid
v) Tax planning education should be provided
vi) E-filing should be popularized
vii) Higher exemption limit should be introduced for
women below 60 years
viii) Taxable Income slab can be changed from 2.5
lakhs to 4 lakhs
ix) To increase the deduction amount limit from 1.5
lakhs to 3 lakhs u/s 80 C

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 Part III: Investment Pattern
19. Rank the preferred investment avenue
S.No. Variables 1 2 3 4 5 6 7 8 9 10
i) Insurance
ii) Mutual funds
iii) Real Estate
iv) Provident Fund
v) Capital market
vi) Bank deposits
vii) Gold
viii) NSC/ NSS
ix) Postal Savings & Deposits
x) Pension Scheme

20. Rank the reasons for selecting a particular investment avenue.

S.No. Variables 1 2 3 4 5 6
i) Safety of money invested
ii) Good returns
iii) Loan facility
iv) Tax benefits
v) Future of children
vi) Retirement life

21. State the best sources for taking investment decision.

Very Important [5] Important [4] Neutral [3]
Less Important [2] Not Important [1]
S.No. Variables 1 2 3 4 5
i) Self-decision
ii) Newspapers and Magazines
iii) Media
iv) Financial advisors
v) Friends and Relatives

22. What is your investment horizon of your portfolio?

a) Very Short period b) Short term
c) Medium term d) Long term

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23. State your opinion towards the following statements with respect to
investment behaviour.
Strongly Agree [5] Agree [4] Neutral [3]
Disagree [2] Strongly Disagree [1]
S.No. Variables 5 4 3 2 1
i) I always invest to get a regular income
ii) Ease of obtaining loan from my investments
iii) I mostly prefer to maximize returns by
investing in diversified investment avenues
iv) I buy and hold for a long period to maximise
returns
v) I go for investment to raise my standard of
living
vi) I prefer to invest for the purpose of making
more money
vii) I am having a fear to invest in stocks rather I
go for investing in bank and post office
deposits
viii) I always go for investment to claim tax
deductions
ix) I will make investment for hedging purposes
x) I always invest by gaining dual benefits
xi) I used to invest to safeguard my retirement
life
xii) I expect safety to the principal amount
xiii) I usually study the future performance
while making investment
xiv) I save money to meet emergency family
expenses
xv) I prefer to invest in easily transferable
avenues
xvi) I usually prefer investments which have
assured returns

................

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