Coronavirus: Extended deadline for submission of minimum balance in PPF, Sukanya Samriddhi Yojana.
By : Samarjeet Singh | Updated On : 23 Jul, 2020
In the wake of the Corona epidemic, the government has relaxed deposit and account opening rules for several small savings schemes, including the Public Provident Fund (PPF) and the Sukanya Samriddhi yojana. These discounts expire on 31 July. Under this, PPF account holders are allowed to deposit minimum and maximum amount in their accounts by 31 July for the financial year 2019-20. At the same time, relief has also been given to open an account under Sukanya Samriddhi Yojna.
The Income Tax Department has extended various investment deadlines to 31 July, including sections 80C, 80D, 80G, etc., to claim a deduction for 2019-20 under the IT Act. Under this, now PPF account holders will be able to invest in it till 31 July to take advantage of tax exemption. Apart from this, you have to deposit at least 500 rupees a year in the account, failing which penalty is collected. This minimum account will also have to be deposited by 31 July. PPF is getting a return of 7.1% per annum.
PPF account can be extended till 31 July 2020. That is, those who want to extend PPF account but one year grace period after maturity of the account has ended in lockdown and if they are not able to submit the extension form then they can submit this form till 31 July. Earlier, the last date for submission of this form was fixed as June 30. After completion of 15 years maturity of PPF account, it can be extended for a period of 5 years. For this, the form has to be submitted within 1 year from the maturity date of the account.
The government has also given permission to daughters who have completed 10 years of age to open an account under Sukanya Samriddhi Yojana during the lockdown. That is, daughters who have completed 10 years of age from 25 March to 30 June can also open an account under this scheme from 31 July. Under the current rules, only daughters who have completed 10 years of birth can open an account under Sukanya Samriddhi Yojana. But during the lockdown, a large number of parents could not open their daughters account under Sukanya Samriddhi Yojana.
Special features of Sukanya Samriddhi account
- Under this, the account can be opened before the age of 10 years after the birth of a girl child.
- You can open this account for only 250 rupees. In this, interest is being paid at a rate of 7.6 per cent per annum.
- Sukanya Samriddhi account is opened for a period of 15 years.
- After completing the age of 18 years, partial withdrawal is available at the time of marriage of the daughter.
- This account can be closed after the daughter completes 21 years of age.
- Money can also be deposited in this account online.
- In case of death of the parent or account holder, this account can be closed before maturity.
- As of May 2020, more than 16 million accounts have been opened under Sukanya Samriddhi Yojana.