PPF, NSC and Sukanya Samriddhi schemes are one of the most popular investment options. The biggest reason for this is that the customer’s investment in it is safe. Along with this, tax rebates on investments in these schemes are also available. Today we are telling you how much income tax exemption is available on investing in these options.
Public Provident Fund ( PPF)
This scheme comes with EEE status. There is a tax benefit in three places.
Contribution, interest income and the amount received at the time of maturity, all three are tax free.
There is a benefit of tax exemption under Section 80C of Income Tax Act.
Sukanya Samriddhi Yojana (SSY)
Interest is tax free on the amount invested during maturity.
Investment in the scheme is eligible for tax exemption under Section 80C of the Income Tax Act.
National Savings Certificates (NSC)
Investment in NSC is eligible for tax exemption under Section 80C of Income Tax Act.
Interest received from investment is eligible for tax rebate.
Income from investment is virtually tax free, except for the year of maturity.