ppf rules

ppf rules 2024: The Ministry of Finance has released new guidelines for Public Provident Fund (PPF) accounts that will take effect from October 1, 2024. These changes affect PPF accounts held by minors, individuals with multiple accounts, and NRIs.

PPF interest calculator: Investors in Public Provident Fund (PPF) accounts for the financial year 2024-25 should deposit before April 5 to maximize interest earnings. Delaying deposits can lead to significant financial loss as interest is calculated based on the lowest balance between the 5th and end of each month.

Unlock the potential to become a crorepati with disciplined Public Provident Fund (PPF) investing. This government-backed scheme offers tax-free returns and compounding benefits, making it ideal for long-term wealth creation. Discover who can open an account, investment limits, tax advantages, and how PPF compares to other popular investment options for a secure financial future.

The Department of Post has introduced new criteria for interest calculation on the premature closure of Public Provident Fund (PPF) accounts.

Frequently Asked Questions about Public Provident Funds for Non-Resident Indians

The Public Provident Fund (PPF) is a popular savings-cum-tax-saving investment option in India.

Public Provident Fund (PPF) offers a secure, government-backed investment option with a current interest rate of 7.1%. It matures in 15 years but can be extended in 5-year blocks. A maximum annual investment of Rs 1.5 lakh can lead to significant returns and is eligible for tax benefits under Section 80C.

The Kerala High Court has ruled that deposits in minor children's PPF accounts are combined with the guardian's account for annual deposit limits. Excess interest earned on these over-limit deposits made while the children were minors can be lawfully recovered by the Post Office, clarifying deposit clubbing rules.

PPF is one the most popular saving schemes which offer higher interest rates compared to bank fixed deposits (FDs) along with income tax benefits.

Investors in PPF, SSY, and NPS must make minimum yearly deposits to avoid penalties. Inactive PPF accounts lose loan and withdrawal facilities. SSY accounts can be revived before maturity. NPS accounts may be frozen, but employer contributions can prevent penalties.

New rules now link PPF investments to PAN, making it impossible to hide multiple accounts. Exceeding the Rs 1.5 lakh annual limit can lead to interest clawback on excess contributions. Irregular accounts won't earn interest, with minor accounts earning a mere 4% until regularized.

The economic affairs secretary took to Twitter and said: "Public Provident Fund (PPF) Deposits enjoy protection from being attached. All existing protections have been saved while consolidating PPF Act under proposed Government Savings Promotion Act. Existing and new PPF deposits would continue to have this protection."

Provident Funds (PF) is a saving scheme which encourages employees to invest and plan for their future financial needs.

The value of exempted income, like interest on PPF, savings bank account and loans given to family/friends, will be included along with taxable supplies while calculating the threshold limit for obtaining GST registration, the Authority for Advance Ruling (AAR) has said.

Public Provident Fund (PPF) account has a 15-year lock-in. Funds can be accessed only at the end of that period. However, partial withdrawals are allowed subject to certain conditions. One is allowed withdrawal of up to 50% of balance in the account after completion of five years from the end of the year in which the initial subscription was made.

Who is expected to know more about `T&Cs' of banking, bank or a customer. When answer is an obvious guess for anyone, Union Bank of India does not agree.

Hindu undivided families (HUFs) will now have to mandatorily exit from the public provident fund (PPF) on completion of 15 years.

The Ministry of Finance has issued guidelines for regularizing irregular National Small Savings schemes accounts. Six main categories were identified, including irregular NSS accounts, PPF accounts for minors, multiple PPF accounts, NRIs' PPF account extension, minor's small savings schemes, and SSA opened by grandparents.

The legislative changes proposed in the Finance Bill 2018 are aimed at adding flexibility in operation of the account under Small Savings Schemes (SSS), it said.