Feb. 14, 2021, 6:28 p.m.
Major Attractions of PPF :
(1)Risk Free Investment Instrument.
(2)Helps to create Retirement corpus and hence a long term investment instrument.
(3)Interest Earned and the Returns are not taxable.
(4)Deduction of Maximum Rs.1,50,000 is allowed under section 80C of Income Tax Act for Investment made in PPF.
Major Attractions of PPF :
(1)Risk Free Investment Instrument.
(2)Helps to create Retirement corpus and hence a long term investment instrument.
(3)Interest Earned and the Returns are not taxable.
(4)Deduction of Maximum Rs.1,50,000 is allowed under section 80C of Income Tax Act for Investment made in PPF.
Features of PPF :
(1)Account can be opened with Just Rs.100 and Annual Investment over Rs.150,000 is not eligible for tax savings.
(2)Minimum Investment Rs.500 and Maximum Investment Rs.150,000 which can be made in lumpsum or in installment as per the convenience of the Investor.
(3)Minimum Tenure 15 Years which can be extended in blocks of 5 years as per the Investor's Choice.
(4)Deposit Frequency, deposits to be made atleast once every year for 15 years.
(5)Risk Free since backed by Indian Government, Guaranteed returns and Capital Protection.
(6)Mode of Deposit, either by Cash/Cheque/DD/Online Transfer.
Eligibility to Invest in PPF :
(1)Indian Citizen
(2)One Citizen Can have only one PPF Account unless the Second account is in the name of Minor.
(3)NRI and HUF are not eligibleto invest in PPF.