5 Great Post Office Schemes: Apart from the small savings scheme run by the government, many investment schemes of the post office are also run. But on this type of investment, you do not get tax benefit under section 80C of the Income Tax Act 1961.
Post Office Saving Schemes: Every person wants that his investment should be safe and give good returns. Many times people invest in small savings schemes run by the government like PPF, Sukanya Samriddhi etc. But some people like to invest in the saving scheme of the post office. In many investment schemes of the post office, you get tax exemption under section 80C. But there are many schemes to be invested here, which do not get the benefit of 80C. You get good returns on these schemes but TDS is deducted from your maturity amount. Let us know about these schemes, under which you do not get the benefit of 80C.
Mahila Samman Saving Scheme
The government started Mahila Samman Saving Scheme 2023 (Mahila Samman Savings Certificate) especially for women. The purpose of starting this scheme is to develop the habit of saving among Indian women. There is no age limit to avail the scheme but it is necessary for you to live in India. The interest received in this is taxed. Simply put, you will not get exemption on this like tax saving FD. TDS will be deducted on the interest received from Mahila Samman Saving Scheme on the basis of each tax slab (tax category) and the income from interest. In this, interest is available at the rate of 7.5%.
National Savings Time Deposit Account
You can open a time deposit account in the post office for one, two, three or five years. You can later extend its period. Under this, 6.9% interest is available for one year, 7.0% for two years, 7.1% for three years and 7.5 percent interest for five years. Under this, you can get income tax exemption on five-year deposits. Under the Income Tax Act 1961, tax exemption is available on investment up to Rs 1.5 lakh on five-year deposits.
National Savings Recurring Deposit Account
In this guaranteed scheme of the post office, you get an interest of 6.7% on an annual basis for five years. You also get the benefit of compound interest every year. Its special feature is that you can open an account alone or with three people. The good thing about this is that you can take advantage of the scheme by depositing at least Rs 100 or its multiples every month. There is no limit to deposit in this.
Kisan Vikas Patra
You will not get income tax exemption on Kisan Vikas Patra as well. Many people have this confusion that there is a tax benefit on the investment made under this. The annual interest on the amount deposited in Kisan Vikas Patra is taxable as ‘income from other sources’. The good thing is that TDS is not deducted on the money withdrawn after maturity. However, despite not getting tax exemption, Kisan Vikas Patra is a safe investment option. It gives interest at the rate of 7.5% per annum.
Post Office Monthly Income Scheme
Post Office Monthly Income Scheme can be a good option for investment. You can invest in it starting from Rs 1,500 to a maximum of Rs 9 lakh. You can invest up to Rs 15 lakh in a joint account. You will get 7.4% interest every year, but it is taxed. This investment does not come under Section 80C of the Income Tax Act 1961. TDS is deducted on interest above Rs 40,000. For senior citizens, the limit is on interest amount above Rs 50,000.
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