Latest Interest Rates of Post Office Savings Schemes: There are more than one savings schemes in the post office. In these, where there is a lot of interest, but in many, income tax exemption is also available. The best thing is that in some schemes, the interest received is also tax free.
Let us know about the post office schemes and their latest interest rates. Like banks, RD can also be done in the post office. Here RD is for 5 years. At present, 6.5 percent interest is being given in the post office on RD. Income tax exemption is not available on this scheme and income tax has to be paid on the interest received in it as per rules.
Apart from this, there is another good scheme in the post office, which is called Monthly Income Scheme. It is also commonly called Post Office MIS. At present, 7.4 percent interest is being given on this scheme. MIS is a 5 year deposit scheme, on which interest is paid every month. A maximum of Rs 9 lakh can be deposited in single name and Rs 15 lakh in joint name. Income tax exemption is not available on the money deposited in this scheme and income tax has to be paid on the interest received as per rules.
Like FD in bank, post office has TD i.e. time deposit. This can be done for 1 year, 2 years, 3 years and 5 years. on one year td
Interest is being given at 6.9 per cent, 7 per cent on 2 and 3 years TD, and 7.5 per cent on 5 years TD. Income tax exemption can be taken under section 80C of income tax on a maximum deposit of Rs 1.5 lakh in a 5-year TD. However, tax has to be paid on the interest as per rules.
Whereas the money deposited in Kisan Vikas Patra doubles in 115 months. Presently 7.5 percent interest is being given in Kisan Vikas Patra (KVP). Income tax exemption is not available on the money deposited in this scheme and income tax has to be paid on the interest received as per rules.
Very good interest is also being given on PPF. At present, 7.1 percent interest is being given on this scheme. This scheme is of 15 years, in which money has to be deposited every year. In this scheme, a maximum of Rs 1.5 lakh can be deposited every year. Income tax exemption can be taken on this deposit under section 80C of income tax. Apart from this, the biggest advantage of depositing money in PPF is that the interest received on completion of the scheme is completely free from income tax.
On the other hand, Sukanya Samriddhi Yojana gives income tax exemption on the money deposited. Account can be opened in the name of girl child under Sukanya Samriddhi Yojana. At present, 8 percent interest is being received under this scheme. This is a 21 year deposit scheme, and the entire money is returned when the girl child grows up.
Another good post office scheme is named National Savings Certificate. It is commonly known as NSC. Presently 7.7 percent interest is being given on Post Office NSC. In this scheme money is deposited for 5 years. By depositing a maximum of Rs 1.5 lakh in this scheme, exemption can be obtained under Section 80C of Income Tax. However, income tax has to be paid on the interest received from this scheme as per rules.
The last scheme is the Senior Citizen Savings Scheme of the Post Office. This scheme is for 5 years. At present, 8.2 percent interest is being given on the money deposited here. Income tax benefits are available in this scheme. Income tax exemption is also available on the money deposited here and the entire interest of this scheme is also tax free.
