ELSS full form is Equity Linked Savings Scheme, which is a tax-saving mutual fund that invests primarily in equities. It allows deduction of up to ₹1.5 lakh in a financial year.

ELSS has a lock in period of 3 years.

Investors can invest a lump sum or opt for a Systematic Investment Plan (SIP) to contribute small amounts regularly.

Long-Term Capital Gains (LTCG): Gains above ₹1.25 lakh taxed at 12.5% after lock-in.