Interest earned on the investment is completely exempt from tax under Section 10 (11) of the Income Tax Act.. On maturity, the entire amount including the interest is non-taxable. One should show the interest income of PPF account in the section of exempt income as shown in our articleFill...
1.5 lakhs per financial year under Section 80C SIP or PPF – Which is better? The differences between PPF or SIP are as follows: FactorsPPFSIP Investment type Debt-oriented Market-linked Returns Fixed Potentially higher, but also more volatile Liquidity Low High Tax benefits Available Available ...
Any investment is tax free (under section 80C of Income Tax laws). The interest earned in your PPF account and the amount you withdraw is also tax free as of now. (Called EEE tax status. Each E is for Except at the Pricipal-Interest-Withdraw stages.) PPFused to have 12% return every...
Today, it is a preferred investment option since it is backed by the Government of India and comes with an attractive interest rate and guaranteed returns. These returns are entirely exempt from tax under Section 80C of the Income Tax Act. Investors can save tax ranging from Rs. 500 to Rs...
the deposits made into a ppf account qualify for tax deduction under sec.80-c of the income tax act. the interest earned is also free from income tax under section-10 of the i.t. act. safe investment option - the government of india manages the ppf scheme. hence it is a safer ...
Union Budget 2021 proposal which comes into effect from 1 Apr 2021, that employee contributions made to the Employees’ Provident Fund (EPF) or exempted PF trusts above₹2.5 lakh would trigger taxability on the interest accrued on the amount above the threshold limit. The tax would eat into...