- By Aditya Pratap Singh
- Mon, 18 Dec 2023 12:56 PM (IST)
- Source:JND
Government Investment Schemes: The investment schemes managed by the government have always been a preferred instrument for investors. These schemes give a sense of safety and better return on investment too. The majority of government-run saving and investment schemes come with tax-saving benefits.
The government saving schemes are being operated by post offices and banks. Below, we have listed 05 government schemes where you can invest your money with tax-saving benefits and get a handsome return.
Monthly Income Scheme (MIS)
The scheme is operated by the post office. An investor can deposit a minimum of Rs 1000 and a maximum of Rs 9 lakh in an individual account, and a maximum of Rs 15 lakh can be invested in a joint account. The maturity period of the scheme is 5 years. It comes with early closure options too, and investors can opt out after one year from the date of investment. However, in that case, there will be a reduction of 2 per cent. If it is closed after three years, 1 per cent of the amount will be deducted. At present the benefit of interest is being given at the rate of 7.4 percent per annum.
National Time Deposit Scheme
It is also a post office scheme, and investors can deposit their money for 1 year, 2 years, 3 years and 5 years. Under the scheme, a minimum deposit of Rs 1000 can be made. However, there is no maximum limit for depositing money in the National Time Deposit Scheme. One of the big benefits of in depositing the National Time Deposit Scheme is that it provides the benefit of deduction under Section 80-C of the Income Tax Act. The interest for 1 year is 6.90 percent, for 2 years is 7 percent, for 3 years is 7 percent and for 5 years is 7.5 percent.
Also Read: Follow These Easy Steps To Claim TDS Refund
Senior Citizens Saving Scheme
The post office scheme is being operated especially for senior citizens (age 60 and above). However, Retired people above 55 years of age can also open their account in Senior Citizens Saving Scheme. The scheme provides the benefit of tax deduction under Section 80-C of the Income Tax Act. At present, on investment senior citizens are getting an 8.20 per cent interest rate.
National Savings Certificate
This is a special post office scheme that comes with a 5-year maturity period. You can start investing with a minimum deposit of Rs 100. There is no maximum limit for investing in the National Saving Certificate. At present, interest is being given in the scheme at the rate of 7.7 per cent per annum.
Public Provident Scheme
A PPF account can be opened either in the post office or any government-recognised bank. Investors can start investing with a minimum deposit of Rs 500 and a maximum of Rs 1,50,000 in a year. The post office scheme gives a to taking a loan on investment. Depositors get a tax saving option under Income Tax Act 80C. At present the interest under this scheme is 7.1 percent per annum.
