BP · VIDEOLECTURE

TAX LAWS, PPF,SCSS,LLP

Chapter notes, video classes, MCQ practice tests and quick-revision one-liners for VIDEO LECTURES OF ASHISH SIR (FOR ALL SCALES) — Bank Promotions.

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Q

What is the current rate of interest on Public Provident Fund (PPF) accounts?

A

The PPF interest rate is 7.1% per annum (compounded annually), notified by the Government of India on a quarterly basis.

Q

What is the minimum annual deposit required to keep a PPF account active?

A

Minimum Rs. 500 per year is required.

Q

What is the maximum annual deposit limit allowed in a PPF account?

A

The maximum deposit allowed in a PPF account is Rs. 1,50,000 per financial year, and the minimum deposit required to keep the account active is Rs. 500 per year.

Q

In how many instalments can deposits be made in a PPF account annually?

A

Maximum 12 instalments per financial year allowed.

Q

What is the lock-in period for a PPF account?

A

A PPF account has a mandatory lock-in period of 15 years from the end of the financial year in which the account was opened.

Q

What is the extension period available for PPF accounts after maturity?

A

PPF can be extended in blocks of 5 years.

Q

Can a PPF account be opened in the name of a minor?

A

Yes, a PPF account can be opened by a guardian on behalf of a minor, but the combined deposits in the guardian's own account and the minor's account cannot exceed Rs. 1,50,000 per year.

Q

From which year of a PPF account can partial withdrawal be made?

A

Partial withdrawal is allowed from the 7th year onwards.

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