Tax Literacy a Tool for Sustainable Investment Decisions: A case study of Salaried Class Employees in Bilaspur District, Chhattisgarh.

Abstract Tax literacy encompasses the comprehension of tax laws, regulations, and their implications for personal financial planning and investment behavior. It involves understanding various tax-saving instruments, deductions, and exemptions available to optimize tax liabilities. The present study was conducted to examine the relationship between tax literacy on the sustainable investment decisions of salaried class employees of Bilaspur Chhattisgarh. A pre-tested self structured questionnaire was used to collect the data. The collected data was subjected to multiple regression analysis for determining the relationship between tax literacy on the investment decisions of salaried class employees. The results of socio-demographic characteristics of salaried class employees of Bilaspur Chhattisgarh reveal that this class of employees belongs to different age group, gender, qualification, marital class and income class. Results reveal that maximum number of salaried class employees of Chhattisgarh have good to excellent information about income tax. The findings show that most preferred investment goal by salaried class employees of Chhattisgarh was wealth accumulation, it was followed by child education, retirement planning, purchase of a house, and tax saving. The results of multiple regression analysis clearly confirm that the tax literacy has impact on the investment decision of salaried class employees. The results of the present study can have wide implications for policymakers and financial advisors in designing targeted financial literacy programs and investment products tailored to this demographic. Keywords: Tax literacy, Income decisions, Salaried class employees, Bilaspur Chhattisgarh.