Finance & Taxation Glossary

SIP full form is Systematic Investment Plan — a mutual fund investment method where you invest a fixed amount every month.

PPF full form is Public Provident Fund — a 15-year government-backed savings scheme with tax-free interest and Section 80C benefits.

NPS full form is National Pension System — a government-regulated retirement savings scheme with extra Section 80CCD(1B) tax benefit up to ₹50,000.

CAGR full form is Compound Annual Growth Rate — the annualised rate at which an investment grows if it compounded at a constant rate.

XIRR full form is Extended Internal Rate of Return — the annualised return of an investment with irregular cash flows, like an SIP.

EMI full form is Equated Monthly Instalment — a fixed monthly payment made toward a loan covering both principal and interest.

IFSC full form is Indian Financial System Code — an 11-character alphanumeric code that uniquely identifies a bank branch for NEFT, RTGS and IMPS transfers.

GST full form is Goods and Services Tax — a unified indirect tax on the supply of goods and services in India, introduced on 1 July 2017.

TDS full form is Tax Deducted at Source — income tax withheld by the payer and deposited with the government on the recipient's behalf.

EPF full form is Employees' Provident Fund — a mandatory retirement savings scheme where employee and employer each contribute 12% of basic salary.

HRA full form is House Rent Allowance — a salary component that is partially tax-exempt under Section 10(13A) if you live in rented accommodation.

CIBIL full form is Credit Information Bureau (India) Limited — India's oldest credit bureau that maintains your credit score (300–900) and credit report.