If you are also planning to invest in a scheme that will give you maximum returns and also save a lot of tax, then this scheme is best for you.
Government of India runs many schemes for every section of the country. Many of these are Small Saving Scheme in which you can get strong returns by investing. The financial year 2022-23 has come to an end. In such a situation, if you have not done tax planning yet, then definitely do it. If you are looking for a scheme in which you get the benefit of tax exemption along with strong returns, then Public Provident Fund Scheme is a good option for you. This is a government scheme in which you get 100% guarantee of security. Under this scheme, you can open an account in any government bank including post office. We are giving you information about the complete details of this scheme-
Know the eligibility to open PPF account
Any Indian citizen can invest in the Post Office PPF Scheme if he is above 18 years of age. At the same time, PPF account can also be opened for children above 10 years of age, but under the supervision of parents. A person can open only one PPF account. This account can be opened for a period of 15 years. In this, you can invest from Rs 500 to Rs 1.5 lakh in a financial year.
Know the details of interest rate and tax exemption
Investing in the Public Provident Fund Scheme of the Post Office, you get a compounding interest rate of 7.1 percent every year. The biggest feature of this scheme is that you can also get the benefit of tax exemption. Under Section 80C of Income Tax, you can get a rebate of up to Rs 1.5 lakh in a financial year. Along with this, you will not have to pay any kind of tax on the interest received on this scheme.
Easy loan
You also get the facility of loan on the money deposited under the Public Provident Fund Scheme. You can avail the loan facility after three years of opening the PPF account. You can get up to 75 percent of the entire amount deposited in the PPF account as a loan. Keep in mind that the central government reviews the interest rates of PPF every quarter.
