Easy Tax Saver Deposit Scheme allows you to save tax to better plan your tax filing. Under this scheme, you can deposit up to ₹150000/- in the financial year. The amount invested in the Easy Tax Saver Deposit Scheme is eligible for tax exemption under section 80C.

The key difference between Normal FD and Tax Saver is the lock-in period and the additional benefit of tax savings.

As the name suggests, the amount invested in the Tax Saver deposit is exempted under Section 80C. There is no tax exemption on investment in the normal Fixed Deposit.

On the other hand, the lock-in period of Fixed Deposit ranges from 7 days to 10 years, whereas the lock-in period for Tax Saver Deposit is 5 years.

Easy Tax Saver Deposit Scheme is only applicable for individuals and Hindu Undivided Families (HUF). It’s an ideal deposit scheme for those who are willing to lock a sum of money for a longer period of time to save on tax.

Easy Tax Saver Deposit Scheme has 5 years of lock-in period without an option of premature withdrawal. The only exception to it is in case of death of the primary account holder.

Easy Tax Saver Deposit Scheme has a fixed tenure of 5 years.