BANKING AFFAIRS

Detailed explanation-1: -1) These rules may be called the National Savings Scheme Rules, 1992. (2) They shall into force on the 1st day of October, 1992. 2. Definitions:-In these rules, unless the context otherwise requires: (a) “Account” means a savings account opened by a depositor in accordance with the scheme.

Detailed explanation-2: -National Savings Scheme NSS is a tax-saving investment backed by the Indian government that Indian residents can purchase at any post office. Here is a comprehensive guide on National Savings Schemes and how to invest in them.

Detailed explanation-3: -Tax benefits Allowed – Both the investment amount and the accumulated returns are exempted from tax under Section 80C.

Detailed explanation-4: -NSC comes with a fixed maturity period of five years. There is no maximum limit on the purchase of NSCs, but only investments of up to Rs.1.5 lakh can earn you a tax break under Section 80C of the Income Tax Act. The certificates earn a fixed interest, which is currently at a rate of 7% per annum.