BANKING GENERAL KNOWLEDGE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Public Provident Follow
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Public Provident Firm
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Public Provident Fund
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Public Personal Fund
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Detailed explanation-1: -7.1% per annum. Rs 1.5 lakh per annum. Public Provident Fund (PPF) scheme is a long-term investment option that offers an attractive rate of interest and returns on the amount invested. The interest earned and the returns are not taxable under Income Tax.
Detailed explanation-2: -For long-term, risk-free investments, the Public Provident Fund (PPF) remains one of the most preferred instruments among investors. Tax-saving benefits and tax-free returns make PPF an ideal investment for long-term financial goals.
Detailed explanation-3: -Deposits to a PPF account are exempted from the taxation up to a maximum of Rs. 1.5 lakh in a FY under Section 80C of the Income Tax Act, 1961. The second exemption is on the interest earned from your PPF deposits.
Detailed explanation-4: -1, 50, 000 is deductible from your taxable income, the interest you earn is non-taxable and the maturity amount you get after 15 years is also tax exempt. This makes it one of the most tax efficient investments. Small savings, good returns: The PPF allows you a lot of flexibility in the investment amount.