It is necessary to deposit minimum amount in PPF – Sukanya till 31st March, know the important rules

Sukanya Samriddhi Yojana: If you have invested in Public Provident Fund (PPF) or Sukanya Samriddhi Yojana (SSY), then it is very important to deposit the minimum amount before the end of the current financial year 2025-26. If you do not make the minimum investment this year, your account may become inactive, which may increase further problems.

Risk of account becoming inactive

According to government rules, it is mandatory to deposit a certain minimum amount every year in both these schemes. If you do not do this, the account becomes inactive. To reopen the closed account, you will have to deposit the minimum outstanding amount and will also have to pay a penalty. Therefore, it is wise to invest on time.

Minimum investment and penalty

It is necessary to deposit at least Rs 500 annually in the PPF account. If this amount is not deposited, the account can be reactivated by paying a penalty of Rs 50 per year. Currently 7.1% interest is being given on PPF.

Whereas, the minimum annual investment in Sukanya Samriddhi Yojana is Rs 250. In case of default, here also a fine of Rs 50 per year has to be paid. Currently, this scheme is offering an attractive interest rate of 8.2%, which gives better returns in the long term.

Big benefit of tax saving

A big benefit of investing in both these schemes is tax exemption. Under Section 80C of the Income Tax Act, you can claim tax deduction on investments up to Rs 1.5 lakh. This reduces your taxable income and tax liability. Besides, the interest and maturity amount received from these schemes are also tax free.

take steps in time

Waiting for the last date can be risky, as transactions may get delayed due to bank holidays or technical problems. Therefore, complete the minimum investment before March 31, 2026, so that your account remains active and you continue to get interest benefits.

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