Govt. business: Public Provident Fund:
- Opening of A/c.
PF A/c. can be opened in any authorized branch by any individual in his single name. PPF
A/c. in Joint names is not permissible. PPF A/c. can also be opened by any individual on
behalf of each minor. If two accounts are opened in the name of an individual by mistake,
the second account will be treated as irregular account and will not carry interest.
- Limit of Subscription:
Minimum - Rs.500/-, Maximum Rs.70,000/- (in multiple of Rs.5/-) in a financial year. The
subscription can be deposited in lump sum or in convenient installments not exceeding 12
installments in a year.
- Interest : Presently @ 8% p.a
- Tenure : 15 years, can be extended for one or more block of 5 years.
- Premature withdrawal :
No withdrawal is permitted before expiry of 5 years from the end of the year in which the
initial subscription was made. A subscriber may withdraw 50% of the balance to his credit
at the end of 4th year immediately preceeding the year of withdrawal or the amount at the
end of the preceding year whichever is lower
- Nomination:
A subscriber may nominate one or more person. Nomination is not permitted in minor’s
account and HUF A/c.
Senior Citizen Saving Scheme:
Minimum eligible age : 60 years ( 55 years
for those who have retired under a voluntary scheme provided investment is made within one
month of the date of receipt of retirement benefits only). Defence personnel excluding
Civilian Defence Employees retired on Superannuation will be eligible to subscribe
irrespective of the age limit.
Tenure : 5 years which can be extended by 3
years more.
Deposit : The deposit amount must be in
multiple of Rs.1000/- not exceeding Rs.15.00 lac. A depositor can operate more than one
account within the overall ceiling of Rs.15.00 lac.
Interest : 9% p.a. simple interest payable
quarterly.
Tax aspects : Interest is fully taxable.
TDS is deducted if the interest payable exceeds Rs.5000/- in a year. However, on
furnishing declaration in Form 15-H (for 65 years and above) and Form 15-G (below 65
years) tax is not deducted on the interest income.
Transferability & Tradability : Not
available.
Premature withdrawal : Available after one
year of holding but with penalty.
Mode of holding : Generally single, Joint
mode is permitted but only spouses will be allowed to open accounts jointly with
beneficiaries.
Nomination facility : Available.
Transfer of Account : Permitted.
Saving Bond:
Only 8% Savings (Taxable) Bonds are accepted at the authorized branches.
| a) |
Applicants |
: |
Individual including HUF (excluding NRIs), charitable
institution and universities. |
| b) |
Tenure |
: |
6 years. |
| c) |
Interest |
: |
8% p.a. payable half yearly on 1st February & 1st
August. |
| d) |
Premature redemption |
: |
Not Available. |
| e) |
Tax Concession |
: |
Taxable but tax in not deductible at source. |
| f) |
Limit of Investment |
: |
No Ceiling. |
| g) |
Type of Bond |
: |
Cumulative and non cumulative. |
| h) |
Loans & Advance |
: |
Not available. |
| i) |
Nomination |
: |
Available to Sole Individual holder. NRIs can also be
nominated. |
| j) |
Transferability |
: |
Not transferable except to nominee in case of death
of holder. |
| k) |
Post maturity interest |
: |
Not payable. |
| l) |
Tradability |
: |
Not tradable. |
Disbursement of Pension:
All types of Central Govt. Pension and State Pension are disbursed through the
authorized branches. Pensioners are required to submit Life Certificate and
Non-Employment/ Re-employment Certificate to the disbursing branches positively in
November each year.
|
